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Supply chain digitalization and corporate ESG performance

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  • Siqian Chen
  • Xin Leng
  • Kun Luo

Abstract

In the wave of the digital economy, supply chain digitalization is a visual manifestation of businesses integrating digital technology into their production and operations. It helps companies enhance operational efficiency and competitiveness, gradually becoming a key driver for corporate sustainable development. This study selects Chinese A‐share listed companies from 2012 to 2021 as research samples and empirically tests the impact of supply chain digitalization on corporate environment (E), social responsibility (S), and corporate governance (G) (ESG) performance. We find that supply chain digitalization significantly promotes corporate ESG performance, which is achieved by reducing information asymmetry and easing financing constraints. The positive effect of supply chain digitalization on corporate ESG performance varies significantly among different enterprises, with more prominent effects in mature enterprises, those at both ends of the industrial chain, and those located in regions with lower degree of marketization. Further analysis reveals that supply chain digitalization brings about an innovation effect for enterprises. These findings enrich the research on supply chain digitalization and corporate ESG performance, providing valuable insights for promoting supply‐side structural reforms and corporate sustainable development.

Suggested Citation

  • Siqian Chen & Xin Leng & Kun Luo, 2024. "Supply chain digitalization and corporate ESG performance," American Journal of Economics and Sociology, Wiley Blackwell, vol. 83(4), pages 855-881, September.
    • Handle: RePEc:bla:ajecsc:v:83:y:2024:i:4:p:855-881
    DOI: 10.1111/ajes.12596
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    2. Huang, Minmin & Hu, Jin & Hu, Mingjun & Irfan, Muhammad & Wu, Kaiya, 2026. "How technological and regulatory factors shape the impact of supply chain digitalization on energy utilization efficiency," Economic Analysis and Policy, Elsevier, vol. 89(C), pages 663-680.
    3. Arpit Singh & Ashish Dwivedi & Dindayal Agrawal & Surajit Bag & Anurag Chauhan, 2024. "Can sustainable and digital objectives synchronize? A study of ESG activities for digital supply chains using multi‐methods," Business Strategy and the Environment, Wiley Blackwell, vol. 33(8), pages 8413-8435, December.
    4. Yu, Yang & Chan, Hau-Ling & Cho, Erin, 2026. "Enhancing ESG performance through digital transformation: Recent development, cases and relationships," Journal of Business Research, Elsevier, vol. 202(C).
    5. Amal Jishnu HM & Hareendrakumar VR & Suresh Subramoniam, 2025. "Digital Technology Adoption in Supply Chains: Uncovering the Research Collaborations and Trends by Bibliometric Analysis," Paradigm, , vol. 29(2), pages 161-182, December.
    6. Changhee Yang & Yongjin Lee & Chulung Lee, 2025. "Data-Driven Order Consolidation with Vehicle Routing Optimization," Sustainability, MDPI, vol. 17(3), pages 1-29, January.
    7. Vittorio Laus & Enrico Battisti & Samuel Ribeiro-Navarrete, 2026. "Merging innovation and responsibility: the role of digital M&A in shaping ESG performance," International Entrepreneurship and Management Journal, Springer, vol. 22(2), pages 1-29, June.
    8. An, Suxia & Gu, Yu & Pan, Lu & Yu, Ying, 2024. "Supply chain digitalization and firms' green innovation: Evidence from a pilot program," Economic Analysis and Policy, Elsevier, vol. 84(C), pages 828-846.
    9. Xu, Bin & Guo, Qin & Chen, Lingming, 2025. "The influence of supply chain digitalization on enterprise ESG performance: A quasi-natural experiment based on pilot policies for supply chain innovation and application," Economic Analysis and Policy, Elsevier, vol. 87(C), pages 1058-1072.

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