TY - JOUR

T1 - Enhancing ESG performance through digital transformation: Insights from China's manufacturing sector

AU - Вукович, Дарко

AU - Ding, Xiaowei

AU - Соколов, Борис Иванович

AU - Vukovic , Natalia

AU - Лю, Яли

N1 - Ding, X., Vukovic, D. B., Sokolov, B. I., Vukovic, N., & Liu, Y. (2024). Enhancing ESG Performance through Digital Transformation: Insights from China's Manufacturing Sector. Technology in Society, 79 (December 2024), 102753. doi: https://doi.org/10.1016/j.techsoc.2024.102753

PY - 2024/12/1

Y1 - 2024/12/1

N2 - This study uses sustainability and stakeholder theories to examine how corporate digital transformation (DIT) impacts ESG (Environmental, Social, Governance) performance, focusing on listed Chinese manufacturing firms from 2015 to 2020. The analysis employs two-stage least squares model (2SLS) and propensity score matching-differences in differences (PSM-DID) technique to address endogeneity, and a series of robustness checks to validate the results. Findings reveal that DIT enhances ESG performance by fostering green innovation, encouraging risk-taking, and optimizing resource allocation. Economic policy uncertainty and executives' gender diversity impede these benefits, while party organization embeddedness shows no moderating effect. Additionally, the study identifies spatial spillover effects of DIT on ESG performance, with synergistic effects observed among companies within the same locality and industry. These insights offer profound implications for governmental efforts to improve the business environment and promote green development, ensuring the equitable distribution of "digital dividends” among stakeholders.

AB - This study uses sustainability and stakeholder theories to examine how corporate digital transformation (DIT) impacts ESG (Environmental, Social, Governance) performance, focusing on listed Chinese manufacturing firms from 2015 to 2020. The analysis employs two-stage least squares model (2SLS) and propensity score matching-differences in differences (PSM-DID) technique to address endogeneity, and a series of robustness checks to validate the results. Findings reveal that DIT enhances ESG performance by fostering green innovation, encouraging risk-taking, and optimizing resource allocation. Economic policy uncertainty and executives' gender diversity impede these benefits, while party organization embeddedness shows no moderating effect. Additionally, the study identifies spatial spillover effects of DIT on ESG performance, with synergistic effects observed among companies within the same locality and industry. These insights offer profound implications for governmental efforts to improve the business environment and promote green development, ensuring the equitable distribution of "digital dividends” among stakeholders.

KW - Corporate digital transformation

KW - ESG performance

KW - Impact mechanisms

KW - Spatial spillover effect

KW - Two-way fixed effects model

UR - https://www.mendeley.com/catalogue/e8433950-bcce-3a75-baf8-6a75b6a4342e/

U2 - 10.1016/j.techsoc.2024.102753

DO - 10.1016/j.techsoc.2024.102753

M3 - Article

VL - 79

JO - Technology in Society

JF - Technology in Society

SN - 0160-791X

IS - December 2024

M1 - 102753

ER -