IDEAS home Printed from https://ideas.repec.org/a/eee/finlet/v62y2024ipbs1544612324002708.html

Digital transformation and corporate innovation with herd effects

Author

Listed:
  • Wang, Zhiwei
  • Yang, Fan

Abstract

This paper empirically examines the impact of digital transformation on the herd behavior in corporate innovation based on the A-share listed companies in the Chinese capital market. The empirical results show that digital transformation significantly enhances the herd behavior in corporate innovation. Further analysis of heterogeneity reveals that the promoting effect of digital transformation on corporate innovation herd behavior is more pronounced in non-state-owned enterprises and in companies with high levels of competition. This study provides empirical evidence and theoretical references for promoting corporate digital transformation and aiding in high-quality economic development.

Suggested Citation

  • Wang, Zhiwei & Yang, Fan, 2024. "Digital transformation and corporate innovation with herd effects," Finance Research Letters, Elsevier, vol. 62(PB).
    • Handle: RePEc:eee:finlet:v:62:y:2024:i:pb:s1544612324002708
    DOI: 10.1016/j.frl.2024.105240
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1544612324002708
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.frl.2024.105240?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Orihara, Masanori & Eshraghi, Arman, 2022. "Corporate governance compliance and herding," International Review of Financial Analysis, Elsevier, vol. 80(C).
    2. Sin-Huei Ng & Zhehan Zhuang & Moau-Yong Toh & Tze-San Ong & Boon-Heng Teh, 2022. "Exploring herding behavior in an innovative-oriented stock market: evidence from ChiNext," Journal of Applied Economics, Taylor & Francis Journals, vol. 25(1), pages 523-542, December.
    3. Lin, Mei-Chen, 2018. "The impact of aggregate uncertainty on herding in analysts' stock recommendations," International Review of Financial Analysis, Elsevier, vol. 57(C), pages 90-105.
    4. Jiang, Kangqi & Du, Xinyi & Chen, Zhongfei, 2022. "Firms' digitalization and stock price crash risk," International Review of Financial Analysis, Elsevier, vol. 82(C).
    5. Zhang, Ping & Wang, Yiru, 2023. "The bright side of analyst coverage on corporate innovation: Evidence from China," International Review of Financial Analysis, Elsevier, vol. 89(C).
    6. Tian, Xin & Song, Yan & Luo, Chunlin & Zhou, Xiaoyang & Lev, Benjamin, 2021. "Herding behavior in supplier innovation crowdfunding: Evidence from Kickstarter," International Journal of Production Economics, Elsevier, vol. 239(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Peng Shao & Xiaojie Qiu & Xingnan Li, 2025. "Multi-Source Peer Pressure, Digital Transformation and Enterprise Sustainable Innovation," SAGE Open, , vol. 15(3), pages 21582440251, September.
    2. Chao, Li & Hongdi, Qin & Yijie, Chen, 2024. "Digital transformation and high-quality development of sports-listed companies: An analysis of vocabulary from annual report texts," Finance Research Letters, Elsevier, vol. 67(PA).
    3. Cheng, Yang & Zhao, Jingyi, 2025. "Enterprise marketing models: Mechanisms of digital transformation," Finance Research Letters, Elsevier, vol. 72(C).
    4. Ma, Jinghao & Shang, Yujie & Liang, Zhenghan, 2025. "Digital transformation, artificial intelligence and enterprise innovation performance," Finance Research Letters, Elsevier, vol. 78(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Li, Zhimin & Zhu, Weidong & Wu, Yong & Wu, Zihao, 2024. "Research on information fusion of security analysts’ stock recommendations based on two-dimensional D-S evidence theory," The North American Journal of Economics and Finance, Elsevier, vol. 74(C).
    2. Li Li & Senwei Huang & Junjie Lin & Jing Cui, 2024. "The Impact of Analysts’ Attention on the Quantity and Quality of Enterprise Green Innovation: Evidence from Chinese Manufacturing Companies," SAGE Open, , vol. 14(4), pages 21582440241, November.
    3. Reveley Callum & Shanaev Savva & Bin Yu & Panta Humnath & Ghimire Binam, 2023. "Analyst herding—whether, why, and when? Two new tests for herding detection in target forecast prices," Economics and Business Review, Sciendo, vol. 9(4), pages 25-55, December.
    4. Wang, Ying & Tai, Peisen & Pang, Mengmiao, 2024. "Corporate social responsibility and corporate fraud: The mediating effect of analyst attention," Finance Research Letters, Elsevier, vol. 64(C).
    5. Jiali Liu & Xinran Xie & Yu Duan & Liang Tang, 2023. "Peer effects and the mechanisms in corporate capital structure: evidence from Chinese listed firms," Oeconomia Copernicana, Institute of Economic Research, vol. 14(1), pages 295-326, March.
    6. Qian, Zishun & Yan, Tingting & Li, Jianbin & Zhang, Yicheng, 2026. "Unleashing resilience through digitalization: Do upstream and downstream firms differ?," Omega, Elsevier, vol. 138(C).
    7. Chen, Pengyu & Chu, Zhongzhu & Zhao, Miao, 2024. "The Road to corporate sustainability: The importance of artificial intelligence," Technology in Society, Elsevier, vol. 76(C).
    8. Wang, Xiaoxiao & Dong, Huimin, 2025. "Audit informatization, digital economy development, and corporate risk costs," Finance Research Letters, Elsevier, vol. 83(C).
    9. Cao, Ning & McGuinness, Paul B. & Xi, Chao, 2024. "Majority-of-the-minority shareholder votes and investment efficiency," Journal of Corporate Finance, Elsevier, vol. 89(C).
    10. Xiao, Zhongyi & Li, Yuanling & Xiang, Cheng, 2025. "Do suppliers value customer firms' digital transformation? Evidence from trade credit provision," International Review of Financial Analysis, Elsevier, vol. 99(C).
    11. Weiyao Kang & Bingjia Shao & Hongquan Chen, 2024. "What influences users’ continuance intention of internet wealth management services? A perspective from network externalities and herding," Electronic Commerce Research, Springer, vol. 24(1), pages 205-238, March.
    12. Cheng, Xuemei & Zheng, Yinglong & Tu, Yongqian, 2025. "Research on the dynamic interaction effects of litigation events, financing constraints, and the risk of corporate stock price crashes," International Review of Economics & Finance, Elsevier, vol. 99(C).
    13. Zheng, Xian & Du, Xinyi & Wu, Weihao, 2025. "The impact of digital government on cross-regional investment: Evidence from Chinese cities," Economic Analysis and Policy, Elsevier, vol. 87(C), pages 99-122.
    14. Junjuan Du, 2023. "Rational or Impulsive? Early Backers’ Investment Behavior in Agri-Food Crowdfunding from 4P–4C Perspectives," SAGE Open, , vol. 13(3), pages 21582440231, August.
    15. Elsayed, Mohamed & Elshandidy, Tamer & Ahmed, Yousry, 2022. "Corporate failure in the UK: An examination of corporate governance reforms," International Review of Financial Analysis, Elsevier, vol. 82(C).
    16. Xiaoyang, Xu & Ali, Shoaib & Naveed, Muhammad, 2024. "Artificial intelligence and big data tokens: Where cognition unites, herding patterns take flight," Research in International Business and Finance, Elsevier, vol. 72(PA).
    17. Liu, Bei & Wang, Yuan & Yang, Lufei & Bian, Huabin, 2025. "Managerial ownership pays off: Controlling shareholders' share pledging and corporate innovation quality in China," Pacific-Basin Finance Journal, Elsevier, vol. 93(C).
    18. Liukai Wang & Caiting Wang & Larisa Yarovaya & Heshu Huang, 2024. "Trade credit and corporate digital transformation: The role of managerial ability," The Financial Review, Eastern Finance Association, vol. 59(3), pages 779-806, August.
    19. Guo, Panting & Bi, Jiefeng & Zhu, Mengnan, 2025. "Enterprise digital transformation and investment efficiency: Empirical evidence from listed enterprises in China," Journal of Asian Economics, Elsevier, vol. 97(C).
    20. Chen, Zhenni & Li, Bin & Lou, Xinna & Liang, Yilan & Feng, Tong, 2025. "Is the increasing carbon pressure an incentive or obstacle to corporate creativity? Evidence from Chinese listed firms," Structural Change and Economic Dynamics, Elsevier, vol. 74(C), pages 186-201.

    More about this item

    Keywords

    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:finlet:v:62:y:2024:i:pb:s1544612324002708. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/frl .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.