The effect of digital transformation on real economy enterprises’ total factor productivity

The digital transformation of real economy enterprises is essential for optimizing resource allocation, improving operation efficiency, and realizing high-quality innovation and development. Using the data of listed companies from 2007 to 2020, this study empirically explores the impact mechanism of the advancement of real economy enterprises' digital transformation on total factor productivity (TFP). The results reveal a positive nonlinear U-shaped relationship, demonstrating that real economy enterprises' TFP is reduced at the initial stage of digital transformation, then improves after exceeding a critical threshold value. Real economy enterprises' digital transformation impacts TFP through working capital…

• NO
  National Office for Philosophy and Social Sciences
• NS
  National Social Science Fund of China

  Award: 21BJL084