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Digital transformation and enterprise resilience: Enabling or burdening?

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  • Cheng Li
  • Yewen Wang

Abstract

Based on data from A-share listed companies from 2007 to 2021, this study constructs an enterprise resilience index using the entropy-weighted TOPSIS method. On this basis, the impact of digital transformation on enterprise resilience is examined through empowerment theory. The empirical results indicate that digital transformation significantly enhances enterprise resilience, a conclusion that remains valid after a series of robustness tests. Mechanism analysis reveals that digital transformation enhances enterprise resilience by reducing agency costs, increasing information transparency, and alleviating financing constraints. Heterogeneity analysis shows that micro-characteristics of enterprises, such as the stage of the life cycle and factor intensity, as well as macro-environmental factors like regional intellectual property rights protection and industry competition level, have differential impacts on the resilience-enhancing effects of digital transformation. Further analysis suggests that the level of corporate governance influences the positive impact of digital transformation on enterprise resilience.

Suggested Citation

  • Cheng Li & Yewen Wang, 2024. "Digital transformation and enterprise resilience: Enabling or burdening?," PLOS ONE, Public Library of Science, vol. 19(7), pages 1-23, July.
    • Handle: RePEc:plo:pone00:0305615
    DOI: 10.1371/journal.pone.0305615
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    References listed on IDEAS

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