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The impact of digital transformation on corporate financialization: The mediating effect of green technology innovation

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  • Sui, Bo
  • Yao, Liuyang

Abstract

This research mainly investigates the impact of digital transformation on corporate financialization and which type of digital technology influences such financialization by utilizing data of listed companies from 2010 to 2020. We further discuss the mediating effect of green technology innovation between digital transformation and corporate financialization. The panel estimations support the negative impact of digital technology on corporate financialization, and cloud computing technology significantly inhibits the corporate financialization level. Moreover, green technology innovation plays a mediating role that digital transformation promotes green technological innovation and thus inhibits corporate financialization. Finally, the inhibitory effect of digital transformation on corporate financialization is obvious in private companies, and this governance role is significant in the east region of China. The research shows that deeper digital transformation impacts corporate decisions through green technology innovation, and that companies should consider the combination of digital technology and green projects.

Suggested Citation

  • Sui, Bo & Yao, Liuyang, 2023. "The impact of digital transformation on corporate financialization: The mediating effect of green technology innovation," Innovation and Green Development, Elsevier, vol. 2(1).
    • Handle: RePEc:eee:ingrde:v:2:y:2023:i:1:s2949753122000327
    DOI: 10.1016/j.igd.2022.100032
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    Cited by:

    1. Han, Jixuan & Li, Tianshu & Philbin, Simon P., 2023. "Does low-carbon pilot policy in China improve corporate profitability? The role of innovation and subsidy," Innovation and Green Development, Elsevier, vol. 2(2).
    2. Li, Shuangyan & Chang, Ge & Zunong, Reyihanguli, 2023. "Does regional digital economy development influence green investment?," Innovation and Green Development, Elsevier, vol. 2(3).
    3. Niu, Peng & Yang, Yujia & Sun, Lirong, 2023. "High quality imports and green innovation," Innovation and Green Development, Elsevier, vol. 2(2).

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    More about this item

    Keywords

    Digital transformation; Corporate financialization; Green technology innovation;
    All these keywords.

    JEL classification:

    • H30 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - General
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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