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ABSTRACT Corporate digital transformation influences not only internal business processes and strategic management models, but also the way the stakeholders engage in corporate sustainable development. We explore the impacts of corporate digital transformation on stakeholder green engagement at three levels of stakeholders, inner‐layer, mid‐layer, and outer‐layer stakeholders, as well as the moderating effect of digitalization depth and breadth. Based on stakeholder theory and stakeholder stratification perspective, we find that corporate digital transformation significantly improves stakeholder green engagement in different ways: it improves green investment efficiency for inner‐layer stakeholders, enhances green disclosure quality for mid‐layer stakeholders, and strengthens responsiveness to green policies for outer‐layer stakeholders. Besides, the impact of digitalization is asymmetric: depth enhances engagement through integration of capabilities, whereas breadth undermines engagement through the dispersion of resources and organizational complexity. The significance of these findings is that they combine the stakeholder stratification theory with the digitalization studies and contain the realistic advice that managers and policymakers can use when implementing digital technologies to organize diverse stakeholders in order to promote sustainable corporate performance.
Gao et al. (Fri,) studied this question.
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