IDEAS home Printed from https://ideas.repec.org/a/eee/finlet/v85y2025ipes1544612325014102.html

Digital business model innovation and production efficiency

Author

Listed:
  • Zhou, Yan
  • Chen, Yinda
  • Hu, Zhenyan

Abstract

Using financial data from Chinese listed companies spanning 2010–2023, this study investigates the impact of digital business model innovation on corporate efficiency. The findings indicate that digital business model innovation can substantially enhance enterprise working capital turnover through optimized resource allocation; however, it has a heterogeneous effect on the management cost ratio. Specifically, nonstate-owned enterprises (non-SOEs) and high-tech enterprises exhibit significant cost reduction effects, whereas SOEs’ and nonhigh-tech enterprises’ outcomes are insignificant. Furthermore, life cycle analysis reveals that the positive influence of artificial intelligence technology on management expenses intensifies as enterprises mature.

Suggested Citation

  • Zhou, Yan & Chen, Yinda & Hu, Zhenyan, 2025. "Digital business model innovation and production efficiency," Finance Research Letters, Elsevier, vol. 85(PE).
    • Handle: RePEc:eee:finlet:v:85:y:2025:i:pe:s1544612325014102
    DOI: 10.1016/j.frl.2025.108155
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1544612325014102
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.frl.2025.108155?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. Sun, Zhaoyang & Rao, Meng & Yao, Baoshuai & Ci, Huifang & Li, Zongrun & Feng, Chao, 2025. "Driving enterprise new quality productivity: The role of big data tax collection," International Review of Financial Analysis, Elsevier, vol. 103(C).
    2. Gang Li & Yanan Chen & Yan Cheng, 2024. "Can the Synergy of Digitalization and Servitization Boost Carbon-Related Manufacturing Productivity? Evidence from China’s Provincial Panel Data," Sustainability, MDPI, vol. 16(7), pages 1-23, March.
    3. Ferschli Benjamin & Rehm Miriam & Schnetzer Matthias & Zilian Stella, 2021. "Digitalization, Industry Concentration, and Productivity in Germany," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 241(5-6), pages 623-665, November.
    4. Fu, Xintong & Guo, Chunjuan, 2025. "Digital inclusive finance and the construction of agricultural modernization," International Review of Economics & Finance, Elsevier, vol. 102(C).
    5. Wood, Steven, 2025. "Owners vs. agents: A global examination of the behavior of owner operators," International Review of Financial Analysis, Elsevier, vol. 103(C).
    6. Su, Xiaomei & Razi, Ummara & Zhao, Shangmei & Li, Wei & Gu, Xiao & Yan, Jiale, 2025. "Geopolitical risk and energy markets in China," International Review of Financial Analysis, Elsevier, vol. 103(C).
    7. Jiang, Yong & Klein, Tony & Ren, Yi-Shuai & Dai, Jia-Hang, 2025. "Through the looking glass: Unveiling geopolitical risks and sovereign bond spillovers in the eurozone," International Review of Financial Analysis, Elsevier, vol. 103(C).
    8. Yang, Yi & Shen, Liyin & Sang, Meiyue & Ding, Xinyi, 2025. "The impact of digitalization on urban sustainable development – An economic perspective," Technological Forecasting and Social Change, Elsevier, vol. 212(C).
    Full references (including those not matched with items on IDEAS)

    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. Zhou, Zhiping & Wang, Kai, 2025. "War discourse predicts stock market volatility: A century of evidence," Finance Research Letters, Elsevier, vol. 82(C).
    2. Han, Lin & Ning, Depeng & Xin, Shiguan, 2026. "Geopolitical risk and economic growth: Evidence from ASEAN countries," Finance Research Letters, Elsevier, vol. 88(C).
    3. Sun, Yaoxin, 2025. "A study of the impact of digital finance on the economic development of Latin American countries," International Review of Financial Analysis, Elsevier, vol. 107(C).
    4. Yuan Zheng & Mazni Abdullah & Nurliana Md Rahin, 2025. "Environmental, Social, and Governance (ESG) Performance and New Quality Productivity in China: The Mediating Role of Patient Capital," SAGE Open, , vol. 15(4), pages 21582440251, November.
    5. Ren, Yu & Liu, Xiongfei & Zhu, Yi, 2025. "The role of renewable energy investment in energy economic efficiency under the “dual carbon” policy," International Review of Economics & Finance, Elsevier, vol. 103(C).
    6. Dahal, Utsav & Krarti, Moncef, 2026. "Integration of dynamic insulation and dynamic phase change materials systems for residential building envelopes," Renewable Energy, Elsevier, vol. 256(PG).
    7. Chu, Zhaopeng & Chen, Xin & Yang, Jun, 2025. "Impact of data factor and data integration on economic development: Empirical insights from China," Telecommunications Policy, Elsevier, vol. 49(8).
    8. Liu, Jianwang & Xia, Weifeng, 2025. "Government subsidies and innovation quality: The role of economic policy uncertainty and financial technology," Finance Research Letters, Elsevier, vol. 83(C).
    9. Elbahnasawy, Nasr G. & Sweidan, Osama D., 2026. "Do political parties shape global risk? Evidence from United States presidential leadership and geopolitical volatility," International Economics, Elsevier, vol. 185(C).
    10. Song, Qinyue & Yan, Mingyi & Shi, Zhengxin & Han, Zhenfu, 2026. "Exploring the financial mechanisms of digital inclusion in promoting farmers’ income," Finance Research Letters, Elsevier, vol. 92(C).
    11. Yang, Lili & Li, Meiqi, 2025. "Rural financial services and agricultural technological innovation," Finance Research Letters, Elsevier, vol. 86(PB).
    12. Fabio Anobile & Alberto Costantiello & Carlo Drago & Massimo Arnone & Angelo Leogrande, 2026. "Beyond Shocks: How ESG Fundamentals Shape Geopolitical Risk Across Countries," Economies, MDPI, vol. 14(3), pages 1-73, March.
    13. David Benček & Hannah Rosenbaum & John P. Weche, 2022. "Marktstrukturen und Wettbewerb im Kontext wirtschaftlicher Transformation [Market Structure and Competition During Economic Transformation]," Wirtschaftsdienst, Springer;ZBW - Leibniz Information Centre for Economics, vol. 102(11), pages 885-890, November.
    14. Deng, Lirong & Tian, Yaoqing & Fu, Yang, 2026. "Harnessing offshore wind for ammonia production: A review of pathways and developments," Renewable and Sustainable Energy Reviews, Elsevier, vol. 226(PD).
    15. Kotsompolis, Giorgos & Prelorentzos, Arsenios-Georgios N. & Xidonas, Panos & Konstantakis, Konstantinos N. & Michaelides, Panayotis G., 2025. "European financial markets, energy returns and geopolitical risk: A frequency domain spectral analysis," Energy Economics, Elsevier, vol. 150(C).
    16. Cai, Bowen & Liu, Yingqi, 2025. "Automotive industry development versus environment and policy:An integration of system dynamics and life cycle assessment," International Review of Economics & Finance, Elsevier, vol. 103(C).
    17. Qiu, Ziang & Zhang, Xibin & Zhang, Yang, 2025. "Empowering energy security: The impact of geopolitical risks on green total factor energy efficiency," Energy Economics, Elsevier, vol. 151(C).
    18. Huang, Luyan & Cao, Zhan & Liu, Dongxun, 2025. "Digital inclusion, transaction costs, and rural revitalization industrialization: Evidence from rural e-commerce clusters in China," Finance Research Letters, Elsevier, vol. 86(PF).
    19. Yu, Senyuan & Li, Jianfeng & Tao, Zhensheng & Yao, Xiaoyang & Wang, Hui, 2025. "The risk connectedness between international crude oil market and Chinese asset markets: From the perspective of common and idiosyncratic information," International Review of Financial Analysis, Elsevier, vol. 108(PA).
    20. Zhang, Rongguang & Chen, Liang, 2025. "Enterprise positioning in global technology markets: How innovation capability and data-asset transparency shape export technology complexity," Finance Research Letters, Elsevier, vol. 86(PD).

    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:85:y:2025:i:pe:s1544612325014102. 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.