Abstract This study examines the influence of digitalization on the ecological transformation of manufacturing companies, employing a comprehensive dataset of A-share listed companies in China from 2011 to 2022. The research develops extensive indicators for green transformation and uses fixed-effects regression models to assess the effects of digitalization. The results indicate that digitalization substantially facilitates green transformation through four pathways: internally, grounded in socio-technical systems theory, by enhancing green cognitive capability and green innovation capability; externally, grounded in stakeholder theory, by increasing investor attention and media attention. Furthermore, the research reveals variability in the impacts of digitalization contingent upon company ownership, pollutant severity, and technological characteristics, offering refined insights into various industrial contexts. This research enhances the literature by correcting deficiencies in previous studies that primarily concentrate on green innovation, thereby providing a more comprehensive view of the interplay between digital transformation and sustainable development. The results offer practical ideas for policymakers and businesses to synchronize digital strategy with environmental activities, expediting the shift toward a low-carbon, sustainable manufacturing sector.
Wang et al. (Fri,) studied this question.
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