Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous Innovation

Digital transformation (DT) has become the new normal. Research has focused on the effect of the overall level of DT in enterprises. However, the effects of DT across different dimensions remain unclear. This study divided DT into technology- (TDT) and market-based digital transformation (MDT). It e...

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Main Authors: Ying Ying, Shanyue Jin
Format: Article
Language:English
Published: MDPI AG 2023-07-01
Series:Systems
Subjects:
Online Access:https://www.mdpi.com/2079-8954/11/7/344
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author Ying Ying
Shanyue Jin
author_facet Ying Ying
Shanyue Jin
author_sort Ying Ying
collection DOAJ
description Digital transformation (DT) has become the new normal. Research has focused on the effect of the overall level of DT in enterprises. However, the effects of DT across different dimensions remain unclear. This study divided DT into technology- (TDT) and market-based digital transformation (MDT). It examined the effects on corporate sustainability and how ambidextrous innovation affects the relationship between both types and corporate sustainability. This study used the two-way fixed-effects model and the two-stage least squares method to study A-share listed companies in China from 2013 to 2021. The results showed that both TDT and MDT had positive effects on corporate sustainability. The higher the levels of exploratory and exploitative innovation in enterprises, the stronger the contribution of both types of DT to corporate sustainability. The findings validate the research on DT in line with the resource-based view, enrich the literature on and expand the boundary conditions of DT applications across various dimensions, and offer useful insights for practitioners.
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spelling doaj.art-e9b382c70211463b85df392007cca2262023-11-18T21:35:54ZengMDPI AGSystems2079-89542023-07-0111734410.3390/systems11070344Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous InnovationYing Ying0Shanyue Jin1College of Business, Gachon University, Seongnam 13120, Republic of KoreaCollege of Business, Gachon University, Seongnam 13120, Republic of KoreaDigital transformation (DT) has become the new normal. Research has focused on the effect of the overall level of DT in enterprises. However, the effects of DT across different dimensions remain unclear. This study divided DT into technology- (TDT) and market-based digital transformation (MDT). It examined the effects on corporate sustainability and how ambidextrous innovation affects the relationship between both types and corporate sustainability. This study used the two-way fixed-effects model and the two-stage least squares method to study A-share listed companies in China from 2013 to 2021. The results showed that both TDT and MDT had positive effects on corporate sustainability. The higher the levels of exploratory and exploitative innovation in enterprises, the stronger the contribution of both types of DT to corporate sustainability. The findings validate the research on DT in line with the resource-based view, enrich the literature on and expand the boundary conditions of DT applications across various dimensions, and offer useful insights for practitioners.https://www.mdpi.com/2079-8954/11/7/344digital transformationcorporate sustainabilitytechnology-basedmarket-basedambidextrous innovation
spellingShingle Ying Ying
Shanyue Jin
Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous Innovation
Systems
digital transformation
corporate sustainability
technology-based
market-based
ambidextrous innovation
title Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous Innovation
title_full Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous Innovation
title_fullStr Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous Innovation
title_full_unstemmed Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous Innovation
title_short Digital Transformation and Corporate Sustainability: The Moderating Effect of Ambidextrous Innovation
title_sort digital transformation and corporate sustainability the moderating effect of ambidextrous innovation
topic digital transformation
corporate sustainability
technology-based
market-based
ambidextrous innovation
url https://www.mdpi.com/2079-8954/11/7/344
work_keys_str_mv AT yingying digitaltransformationandcorporatesustainabilitythemoderatingeffectofambidextrousinnovation
AT shanyuejin digitaltransformationandcorporatesustainabilitythemoderatingeffectofambidextrousinnovation