Corporate Digital Transformation and Green Technology Innovation: Evidence from China’s Listed Companies in the Manufacturing Industry

Abstract

Digital transformation has brought new vitality into enterprises' innovative development. Traditional manufacturing industries have leveraged digitalization to drive technological advancements, thereby promoting corporate green technology innovation and achieving the goal of coordinated transformation toward digital and green development. This paper employs annual data of China's A-share listed manufacturing companies from 2007 to 2020 to examine the impact of digital transformation on corporate green technology innovation and the underlying mechanism of this impact. The results indicate that digital transformation significantly enhances corporate green technology innovation, and this enhancing effect is even more significant in state-owned enterprises and high-tech enterprises. The mechanism test reveals that enhancing digital transformation can not only improve enterprises' information transparency and strengthen positive market expectations, but also encourage enterprises to increase R&D investment, ultimately enhancing the level of their green technology innovation. The empirical findings of this paper can provide valuable insights for government departments to formulate strategies that can promote green innovation in the manufacturing industry, drive high-quality development, and contribute to the achievement of carbon peaking and carbon neutrality targets.

Keywords

digital transformation / green technology innovation / information transparency / R&D investment

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2024 Higher Education Press