Digital transformation, knowledge management, and ambidextrous innovation in the high-speed train industry in China: The role of TMT’s digital knowledge

• Explores the effect of digital transformation on ambidextrous innovation. • Clarifies the mediating role of knowledge management. • Assesses the moderating effect of TMT’s digital knowledge. • Knowledge management mediates digital transformation and ambidextrous innovation. • Digital knowledge of TMT enhances the incentive impact of digital transformation. The survival and development of enterprises cannot be separated from the simultaneous excellence in exploitative and exploratory innovations, i.e., ambidextrous innovation. Despite enhanced intelligent decision-making and rapid response, the impact of digital transformation on firm knowledge management and the subsequent ambidextrous innovation in Chinese high-speed train industry remains unexplored. Furthermore, it is still unclear whether digital knowledge of Top Management Team (TMT) will affect the effectiveness of digital transformation. Based on the data of 108 listed companies in Chinese high-speed train industry from 2009 to 2021, this study empirically evaluates the relationship between digital transformation, knowledge management, and ambidextrous innovation, along with the moderating effect of digital knowledge of TMT. The empirical results indicate that digital transformation can significantly promote the ambidextrous innovation of the high-speed train industry in China by enhancing both internal knowledge recombination and external knowledge acquisition. Digital knowledge of TMT specifically strengthens the aforementioned positive impact.