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Impact of CEO overconfidence on enterprise digital transformation: Moderating effect based on digital finance

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  • Zhu, Changchun
  • Li, Na
  • Ma, Jing

Abstract

The rapidly expanding digital economy has driven enterprises’ digital transformation. This study examines the influence of CEO overconfidence on an enterprise's digital transformation using a behavioral finance approach. We discovered that (1) CEO overconfidence contributes significantly and positively to enterprise digital transformation. (2) Digital finance and its breadth of coverage, depth of use, and level of digitization positively moderate CEO overconfidence and enterprise digital transformation. (3) The promotional effect of CEO overconfidence on the digital transformation of high-tech, noncapital-intensive, and non-heavily polluting firms is significant.

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  • Zhu, Changchun & Li, Na & Ma, Jing, 2024. "Impact of CEO overconfidence on enterprise digital transformation: Moderating effect based on digital finance," Finance Research Letters, Elsevier, vol. 59(C).
    • Handle: RePEc:eee:finlet:v:59:y:2024:i:c:s1544612323010607
    DOI: 10.1016/j.frl.2023.104688
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