A Mechanistic Examination of the Impact of Digital Transformation on the Performance of Chinese Manufacturing Firms: An Analysis of the Mediating Role of Firm Innovation
DOI:
https://doi.org/10.70301/JOUR/SBS-JABR/2026/14/1/4Keywords:
digital transformation, business performance, business innovation, manufacturing companiesAbstract
The study explores the relationship between digital transformation and corporate performance in Chinese manufacturing enterprises. It incorporates corporate innovation as a new variable into the scope of the study and systematically discusses the interactive mechanisms and transmission paths between the three. Finally, a comparison was made between enterprises with different types of ownership.This study conducts theoretical research through a literature review and proposes research hypotheses. In the empirical study, statistical data from Chinese A-share manufacturing enterprises from 2014 to 2021 are selected as the sample, and a multiple regression model is constructed to test the hypotheses. Descriptive analysis, regression analysis, and correlation analysis are used to determine the relationship between enterprise digital transformation and enterprise performance, as well as the mediating role of enterprise innovation. Finally, robustness analysis is used to validate the research results. The research results emphasise that enterprise digital transformation can significantly improve enterprise performance: enterprise innovation plays an intermediary role between enterprise digital transformation and enterprise performance. In addition, the Szfix regression coefficient of non-state-owned enterprises is much lower than that of state-owned enterprises, and the impact of enterprise digital transformation on the performance of state-owned enterprises is more significant.This study deepens the scope of research on the impact of enterprise digitisation on enterprise performance by introducing enterprise innovation. The originality of this study lies in its consideration of different types of enterprise property rights. Compared with existing literature, this study provides strong empirical evidence and unique contributions.
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