Digital transformation, ESG practice, and total factor productivity
Liaoning Normal University · University of Science and Technology Beijing · +3 more institutions
Abstract
Abstract Recent research provides limited knowledge about how and whether digital transformation related to environmental, social, and governance (ESG) affects the total factor productivity (TFP). To fill the gap, this study explores the impact of digital transformation on TFP based on a fixed‐effect model and the staggered difference‐in‐differences method and reveals that digital transformation can boost corporate TFP. Mechanism analysis reveals that digital transformation promotes ESG performance in companies, thereby affecting TFP. Social performance in ESG plays a mediating effect, while environmental performance plays a suppressing effect. Besides, the primary driver of TFP improvement through digital…
Citation impact
- FWCI
- 57.42
- Percentile
- 100%
- References
- 66
Authors
5Topics & keywords
- Digital transformation
- Transformation (genetics)
- Factor (programming language)
- Business
- Productivity
- Total factor productivity
- Economics
- Computer science
- Decent work and economic growth