IDEAS home Printed from https://ideas.repec.org/a/eee/finlet/v74y2025ics1544612324017306.html
   My bibliography  Save this article

Enterprise financialization, technological empowerment, and enterprise risk-taking

Author

Listed:
  • Zhao, Rui
  • Wang, Yining
  • Lun, Xi
  • Li, Na
  • Wang, Rong
  • Zhang, Yin
  • Wang, Menglu

Abstract

Based on data from Chinese listed companies from 2012 to 2022, this study examined the relationship between enterprise financialization, technological empowerment, and enterprise risk-taking. The findings indicate that enterprise financialization and technological empowerment enhanced enterprise risk-taking. Enterprise scale moderated the relationship between enterprise risk-taking and enterprise financialization. Moreover, the impact of technological empowerment on risk-taking in state-owned enterprises (SOEs) and non-SOEs was heterogeneous.

Suggested Citation

  • Zhao, Rui & Wang, Yining & Lun, Xi & Li, Na & Wang, Rong & Zhang, Yin & Wang, Menglu, 2025. "Enterprise financialization, technological empowerment, and enterprise risk-taking," Finance Research Letters, Elsevier, vol. 74(C).
    • Handle: RePEc:eee:finlet:v:74:y:2025:i:c:s1544612324017306
    DOI: 10.1016/j.frl.2024.106701
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1544612324017306
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.frl.2024.106701?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 search for a different version of it.

    References listed on IDEAS

    as
    1. Chen, Min & Zhu, Zhaobo & Han, Peiwen & Chen, Bo & Liu, Jia, 2022. "Economic policy uncertainty and analyst behaviours: Evidence from the United Kingdom," International Review of Financial Analysis, Elsevier, vol. 79(C).
    2. He, Miao & Song, Ge & Chen, Qianqian, 2023. "Fintech adoption, internal control quality and bank risk taking: Evidence from Chinese listed banks," Finance Research Letters, Elsevier, vol. 57(C).
    3. Lou, Zhukun & Chen, Siyu & Yin, Wenwei & Zhang, Chuan & Yu, Xiaoyu, 2022. "Economic policy uncertainty and firm innovation: Evidence from a risk-taking perspective," International Review of Economics & Finance, Elsevier, vol. 77(C), pages 78-96.
    4. Zhong, Huaming & Al-Duais, Zinb Abduljabbar Mohamed & Peng, Biyu, 2023. "The impact of idiosyncratic risk on corporate financialisation——Evidence from China," International Review of Financial Analysis, Elsevier, vol. 86(C).
    5. He, Feng & Ding, Cong & Yue, Wei & Liu, Guanchun, 2023. "ESG performance and corporate risk-taking: Evidence from China," International Review of Financial Analysis, Elsevier, vol. 87(C).
    6. Abou-El-Sood, Heba, 2021. "Board gender diversity, power, and bank risk taking," International Review of Financial Analysis, Elsevier, vol. 75(C).
    7. Zhou, Mengling & Jiang, Kangqi & Chen, Zhongfei, 2022. "Temperature and corporate risk taking in China," Finance Research Letters, Elsevier, vol. 48(C).
    8. Marcelin, I. & Sun, W. & Teclezion, M. & Junarsin, E., 2022. "Financial inclusion and bank risk-taking: the effect of information sharing," Finance Research Letters, Elsevier, vol. 50(C).
    9. Liu, Yang & Dilanchiev, Azer & Xu, Kaifei & Hajiyeva, Aytan Merdan, 2022. "Financing SMEs and business development as new post Covid-19 economic recovery determinants," Economic Analysis and Policy, Elsevier, vol. 76(C), pages 554-567.
    10. He, Feng & Ma, Yaming & Zhang, Xiaojie, 2020. "How does economic policy uncertainty affect corporate Innovation?–Evidence from China listed companies," International Review of Economics & Finance, Elsevier, vol. 67(C), pages 225-239.
    11. Lin, Boqiang & Wu, Nan, 2022. "Will the China's carbon emissions market increase the risk-taking of its enterprises?," International Review of Economics & Finance, Elsevier, vol. 77(C), pages 413-434.
    12. Yuan, Mengyi & Zhang, Lin & Lian, Yonghui, 2022. "Economic policy uncertainty and stock price crash risk of commercial banks: Evidence from China," Economic Analysis and Policy, Elsevier, vol. 74(C), pages 587-605.
    13. Ying Zhang & J. Andrew Hansz & Wikrom Prombutr, 2022. "Economic Policy Uncertainty and Real Estate Market: Evidence from U.S. REITs," International Real Estate Review, Global Social Science Institute, vol. 25(1), pages 55-87.
    14. Zhang, Xing & Li, Fengchao & Ortiz, Jaime, 2021. "Internal risk governance and external capital regulation affecting bank risk-taking and performance: Evidence from P.R. China," International Review of Economics & Finance, Elsevier, vol. 74(C), pages 276-292.
    15. Xu, Xingmei & Xuan, Chao, 2021. "A study on the motivation of financialization in emerging markets: The case of Chinese nonfinancial corporations," International Review of Economics & Finance, Elsevier, vol. 72(C), pages 606-623.
    16. Wen, Fenghua & Li, Cui & Sha, Han & Shao, Liuguo, 2021. "How does economic policy uncertainty affect corporate risk-taking? Evidence from China," Finance Research Letters, Elsevier, vol. 41(C).
    17. Yang, Xingquan & Zhao, Rui & Yang, Zheng, 2024. "Preventive regulation and corporate financialization: Evidence from China Securities Regulatory Commission's random inspections," International Review of Financial Analysis, Elsevier, vol. 91(C).
    18. Chen, Huihui & Ho, Kung-Cheng & Zhang, Ming & Zhang, Qidi, 2023. "Effect of managerial ability toward corporate social responsibility on enterprise default risk," Finance Research Letters, Elsevier, vol. 54(C).
    19. Wu, Ji & Li, Huimin & Zheng, Dazhi & Liu, Xiaoyan, 2021. "Economic uncertainty or financial uncertainty? An empirical analysis of bank risk-taking in Asian emerging markets," Finance Research Letters, Elsevier, vol. 39(C).
    20. Yuan, Di & Li, Sufang & Li, Rong & Zhang, Feipeng, 2022. "Economic policy uncertainty, oil and stock markets in BRIC: Evidence from quantiles analysis," Energy Economics, Elsevier, vol. 110(C).
    21. Tian, Guangning & Li, Bo & Cheng, Yue, 2022. "Does digital transformation matter for corporate risk-taking?," Finance Research Letters, Elsevier, vol. 49(C).
    22. Huang, Shuo, 2022. "Does FinTech improve the investment efficiency of enterprises? Evidence from China’s small and medium-sized enterprises," Economic Analysis and Policy, Elsevier, vol. 74(C), pages 571-586.
    23. Min Chen & Zhaobo Zhu & Peiwen Han & Bo Chen & Jia Liu, 2022. "Economic policy uncertainty and analyst behaviours: Evidence from the United Kingdom," Post-Print hal-03628930, HAL.
    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. Lin, Cuiliang & Long, Yue'e, 2025. "Hometown CEOs and corporate financialization✰," Finance Research Letters, Elsevier, vol. 76(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. Yin, Zhujia & Deng, Rantian & Xia, Jiejin & Zhao, Lili, 2024. "Climate risk and corporate ESG performance: Evidence from China," The North American Journal of Economics and Finance, Elsevier, vol. 74(C).
    2. Zhu, Zhaobo & Lin, Hang & Chen, Min & Han, Peiwen, 2023. "The spillover effect of economic policy uncertainty: Evidence from analyst behaviors in Hong Kong," Finance Research Letters, Elsevier, vol. 52(C).
    3. Lin, Boqiang & Song, Yijie, 2025. "Do coal price shocks affect the risk-taking of listed companies in China?," Resources Policy, Elsevier, vol. 101(C).
    4. Deng, Hong & Li, You & Lin, Yongjia, 2023. "Green financial policy and corporate risk-taking: Evidence from China," Finance Research Letters, Elsevier, vol. 58(PB).
    5. Xiao, Lingmin & Zhao, Liang & Zhu, Qianyu, 2024. "Host country economic policy uncertainty, trade openness and Chinese enterprise overseas investment," International Review of Economics & Finance, Elsevier, vol. 96(PA).
    6. Wu, Kai & Lu, Yufei, 2023. "Corporate digital transformation and financialization: Evidence from Chinese listed firms," Finance Research Letters, Elsevier, vol. 57(C).
    7. Sheng, Lin Wen & Uddin, Gazi Salah & Sen, Ding & Hao, Zhu Shi, 2024. "The asymmetric volatility spillover across Shanghai, Hong Kong and the U.S. stock markets: A regime weighted measure and its forecast inference," International Review of Financial Analysis, Elsevier, vol. 91(C).
    8. Li, Zengfu & Yu, Zhijun & Yang, Zhihao & Ding, Zijia, 2025. "Specialization in Bank Lending and short-term debt for long-term use: Evidence from China," Finance Research Letters, Elsevier, vol. 75(C).
    9. Wang, Jianghang & Zhu, Shan, 2025. "Impact of economic policy uncertainty on corporate investment efficiency: Moderating roles of financing constraints and financialisation," International Review of Economics & Finance, Elsevier, vol. 98(C).
    10. Liu, Xue-Ying & He, Wei & Duan, Hai-Peng & Fan, Rui, 2024. "The impact of financial sanctions on economic policy uncertainty: Global evidence," Pacific-Basin Finance Journal, Elsevier, vol. 88(C).
    11. Shabir, Mohsin & Jiang, Ping & Shahab, Yasir & Wang, Peng, 2023. "Geopolitical, economic uncertainty and bank risk: Do CEO power and board strength matter?," International Review of Financial Analysis, Elsevier, vol. 87(C).
    12. Weilong Wang & Deheng Xiao & Jianlong Wang, 2025. "The Construction of Free Trade Zones Drives Digital Transformation: Empirical Evidence from Chinese Listed Enterprises," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 16(1), pages 1204-1235, March.
    13. Lee, Chien-Chiang & Wang, Chih-Wei & Wu, Yu-Ching, 2023. "CEO inside debt and downside risk: Evidence from internal and external environments," Pacific-Basin Finance Journal, Elsevier, vol. 80(C).
    14. Le, Cao Hoang Anh & Shan, Yaowen & Taylor, Stephen, 2024. "International economic policy uncertainty and analysts' earnings forecasts," Pacific-Basin Finance Journal, Elsevier, vol. 85(C).
    15. Chen, Juan & Liu, Chenyan & Jin, Daxiang & Xiao, Zuoping, 2025. "Impact of economic policy uncertainty on China's urban construction investment bond financing costs," International Review of Financial Analysis, Elsevier, vol. 100(C).
    16. Huang, Yin-Siang & Lee, Cheng-Few & Lin, Chih-Yung, 2023. "Applications of fixed effect models to managerial risk-taking incentives," The Quarterly Review of Economics and Finance, Elsevier, vol. 92(C), pages 249-261.
    17. Huang, Xiaodong & Zhao, Jiayi & Hu, Boqiang & Zhu, Chenzhi, 2025. "Analysis of changes in corporate external guarantee behavior and the role of governance factors under economic policy uncertainty," International Review of Financial Analysis, Elsevier, vol. 97(C).
    18. Cui, Xin & Wang, Chunfeng & Sensoy, Ahmet & Liao, Jing & Xie, Xiaochen, 2023. "Economic policy uncertainty and green innovation: Evidence from China," Economic Modelling, Elsevier, vol. 118(C).
    19. Silvia-Andreea Peliu, 2024. "Exploring the impact of ESG factors on corporate risk: empirical evidence for New York Stock Exchange listed companies," Future Business Journal, Springer, vol. 10(1), pages 1-34, December.
    20. Wang, Weilong & Xiao, Deheng & Wang, Jianlong & Wu, Haitao, 2024. "The cost of pollution in the digital era: Impediments of air pollution on enterprise digital transformation," Energy Economics, Elsevier, vol. 134(C).

    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:74:y:2025:i:c:s1544612324017306. 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.