IDEAS home Printed from https://ideas.repec.org/a/spr/intemj/v21y2025i1d10.1007_s11365-024-01053-6.html
   My bibliography  Save this article

Impact of digital technology innovation on entrepreneurial activity

Author

Listed:
  • Jie Zhu

    (Jiangxi University of Finance and Economics
    Jiangxi Economic Forecasting and Decision Research Center)

  • Zhichao Wang

    (Jiangxi University of Finance and Economics
    Jiangxi Economic Forecasting and Decision Research Center)

  • Zhi Xu

    (Jiangxi University of Finance and Economics
    Jiangxi Economic Forecasting and Decision Research Center)

  • Ye Xu

    (Jiangxi University of Finance and Economics
    Jiangxi Economic Forecasting and Decision Research Center)

  • ChangQi Tao

    (Jiangxi University of Finance and Economics
    Jiangxi Economic Forecasting and Decision Research Center)

Abstract

Using the data of A-share listed companies in Shanghai and Shenzhen from 2009 to 2020, this paper investigates the impact of digital technological innovation on entrepreneurial activity and its mechanism of action. It is found that: (Bachmann et al., 2024) digital technological innovation significantly improves entrepreneurial activity, and the higher the level of digital technological innovation, the more entrepreneurial activity can be improved, the above conclusions still hold after a series of robustness tests such as replacing the explanatory variables and instrumental variables method; the mechanism test shows that the digital technological innovation improves entrepreneurial activity by reducing the transaction cost and entrepreneurial risk; (Bonilla & Fica, 2022) the heterogeneity test suggests that digital technological innovation is more likely to increase the level of entrepreneurial activity in regions with strong intellectual property protection, high city administrative rank, and high market potential.

Suggested Citation

  • Jie Zhu & Zhichao Wang & Zhi Xu & Ye Xu & ChangQi Tao, 2025. "Impact of digital technology innovation on entrepreneurial activity," International Entrepreneurship and Management Journal, Springer, vol. 21(1), pages 1-21, December.
    • Handle: RePEc:spr:intemj:v:21:y:2025:i:1:d:10.1007_s11365-024-01053-6
    DOI: 10.1007/s11365-024-01053-6
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11365-024-01053-6
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.
    File URL: https://libkey.io/10.1007/s11365-024-01053-6?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. Caggese, Andrea, 2012. "Entrepreneurial risk, investment, and innovation," Journal of Financial Economics, Elsevier, vol. 106(2), pages 287-307.
    2. Bonilla, Claudio A. & Fica, Diego, 2022. "Loss aversion and risky entrepreneurship," Finance Research Letters, Elsevier, vol. 48(C).
    3. Patricia Kotnik & Rok Stritar, 2015. "ICT as the Facilitator of Entrepreneurial Activity: An Empirical Investigation," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 17(38), pages 277-277, February.
    4. Yang, Laifeng & Wang, Qing Sophie & Lai, Shaojie, 2023. "Fair and square: The impact of judicial independence on entrepreneurship," Finance Research Letters, Elsevier, vol. 55(PB).
    5. Dabbous, Amal & Barakat, Karine Aoun & Kraus, Sascha, 2023. "The impact of digitalization on entrepreneurial activity and sustainable competitiveness: A panel data analysis," Technology in Society, Elsevier, vol. 73(C).
    6. Bachmann, Nina & Rose, Robert & Maul, Valeska & Hölzle, Katharina, 2024. "What makes for future entrepreneurs? The role of digital competencies for entrepreneurial intention," Journal of Business Research, Elsevier, vol. 174(C).
    7. Johan Hombert & Antoinette Schoar & David Sraer & David Thesmar, 2020. "Can Unemployment Insurance Spur Entrepreneurial Activity? Evidence from France," Journal of Finance, American Finance Association, vol. 75(3), pages 1247-1285, June.
    8. Yu, Linhui & Tang, Xuepeng & Huang, Xianhai, 2023. "Does the business environment promote entrepreneurship?——Evidence from the China Household Finance Survey," China Economic Review, Elsevier, vol. 79(C).
    9. Yang, Haiyan & Zhang, Shuyuan & Hu, Fang & Yao, Daifei Troy, 2023. "Political conformity and entrepreneurship: Evidence from China," Finance Research Letters, Elsevier, vol. 58(PC).
    10. Kong, Dongmin & Qin, Ni & Xiang, Junyi, 2021. "Minimum wage and entrepreneurship: Evidence from China," Journal of Economic Behavior & Organization, Elsevier, vol. 189(C), pages 320-336.
    11. Yang, Senmiao & Wang, Jianda & Dong, Kangyin & Jiang, Qingzhe, 2023. "A path towards China's energy justice: How does digital technology innovation bring about a just revolution?," Energy Economics, Elsevier, vol. 127(PA).
    12. Zhang, Wenlong & Wang, Haijun, 2021. "Entrepreneurial decisions with idiosyncratic risk and unknown profitability," Economic Modelling, Elsevier, vol. 103(C).
    13. Youngjin Yoo & Ola Henfridsson & Kalle Lyytinen, 2010. "Research Commentary ---The New Organizing Logic of Digital Innovation: An Agenda for Information Systems Research," Information Systems Research, INFORMS, vol. 21(4), pages 724-735, December.
    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. Fang, Hongxing & Chen, Linghong & Xiong, Jiacai & Zhu, Yushu, 2024. "Social Trust and Entrepreneurship: Insights from China's Social Credit System," Finance Research Letters, Elsevier, vol. 62(PA).
    2. Xiong, Jiacai & Huang, Ling & Wang, Xin & Bai, Martin & Qin, Yafeng, 2024. "Local government fiscal stress and regional entrepreneurship: Evidence from a natural experiment in China," Economic Analysis and Policy, Elsevier, vol. 84(C), pages 177-193.
    3. Chi, Cheng & Ren, Baozeng & Guo, Xiaoli, 2024. "Judicial independence and entrepreneurship – A quasi-natural experiment based on the judicial delocalization reform," Finance Research Letters, Elsevier, vol. 70(C).
    4. Li, Shan & Xing, Kai & Meng, Jixian & Yang, Xiaoguang, 2025. "How does the innovation of digital and green technology integration promote corporate environmental performance," International Review of Economics & Finance, Elsevier, vol. 99(C).
    5. Ruonan Wang & Guangsheng Zhang, 2025. "Does optimising the business environment enhance enterprise resilience? The role of digital innovation and entrepreneurial spirit," Palgrave Communications, Palgrave Macmillan, vol. 12(1), pages 1-15, December.
    6. Xu, Ru-Yu & Wang, Ke-Liang & Miao, Zhuang, 2024. "The impact of digital technology innovation on green total-factor energy efficiency in China: Does economic development matter?," Energy Policy, Elsevier, vol. 194(C).
    7. Swen Nadkarni & Reinhard Prügl, 2021. "Digital transformation: a review, synthesis and opportunities for future research," Management Review Quarterly, Springer, vol. 71(2), pages 233-341, April.
    8. Shaheer, Noman Ahmed & Li, Sali, 2020. "The CAGE around cyberspace? How digital innovations internationalize in a virtual world," Journal of Business Venturing, Elsevier, vol. 35(1).
    9. Muhammad Farooq Islam & Ozge Can, 2024. "Integrating digital and sustainable entrepreneurship through business models: a bibliometric analysis," Journal of Global Entrepreneurship Research, Springer;UNESCO Chair in Entrepreneurship, vol. 14(1), pages 1-18, December.
    10. repec:osf:socarx:qhs6j_v1 is not listed on IDEAS
    11. Wei, Lihong & Zhang, Xiaosan & Yang, Muhan & Lin, Liming, 2024. "Understanding the relationship between entrepreneur courage quotient and enterprises' sustainable growth," Finance Research Letters, Elsevier, vol. 59(C).
    12. Stefano D’Angelo & Angelo Cavallo & Antonio Ghezzi & Francesco Di Lorenzo, 2024. "Understanding corporate entrepreneurship in the digital age: a review and research agenda," Review of Managerial Science, Springer, vol. 18(12), pages 3719-3774, December.
    13. Hou, Qingsong & Hu, May & Yuan, Yuan, 2017. "Corporate innovation and political connections in Chinese listed firms," Pacific-Basin Finance Journal, Elsevier, vol. 46(PA), pages 158-176.
    14. Ma, Shuang & Li, Xuan & Wu, Xi, 2024. "Minimum wage and internal labor migration: Evidence from China," Journal of Economic Behavior & Organization, Elsevier, vol. 226(C).
    15. Shenhua Liu & Deheng Xiao, 2024. "Can Big Data Comprehensive Pilot Zone Promote Low-Carbon Urban Development? Evidence from China," Sustainability, MDPI, vol. 17(1), pages 1-15, December.
    16. Christian Bartelheimer, Philipp zur Heiden, Hedda Lüttenberg, Daniel Beverungen, 2021. "Systematizing the Lexicon of Platforms in Information Systems: A Data-Driven Study," Working Papers Dissertations 79, Paderborn University, Faculty of Business Administration and Economics.
    17. Mina Nasiri & Minna Saunila & Tero Rantala & Juhani Ukko, 2022. "Sustainable innovation among small businesses: The role of digital orientation, the external environment, and company characteristics," Sustainable Development, John Wiley & Sons, Ltd., vol. 30(4), pages 703-712, August.
    18. Jean-Michel Sahut & Luca Iandoli & Frédéric Teulon, 2021. "The age of digital entrepreneurship," Small Business Economics, Springer, vol. 56(3), pages 1159-1169, February.
    19. Hui Fang & Chunyu Jiang & Tufail Hussain & Xiaoye Zhang & Qixin Huo, 2022. "Input Digitization of the Manufacturing Industry and Carbon Emission Intensity Based on Testing the World and Developing Countries," IJERPH, MDPI, vol. 19(19), pages 1-28, October.
    20. Cong Cheng & Hongfang Cui, 2024. "Combining digital and legacy technologies: firm digital transformation strategies—evidence from Chinese manufacturing companies," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-14, December.
    21. Zhewei Zhang & Youngjin Yoo & Kalle Lyytinen & Aron Lindberg, 2021. "The Unknowability of Autonomous Tools and the Liminal Experience of Their Use," Information Systems Research, INFORMS, vol. 32(4), pages 1192-1213, December.

    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:spr:intemj:v:21:y:2025:i:1:d:10.1007_s11365-024-01053-6. 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    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.