Study On The Impact Mechanism Of Enterprise Digital Transformation On Enterprise Total Factor Productivity

General Secretary Xi emphasized the need for digital economy to meet the new round of technological revolution and promote integration with the real economy to boost high-quality development and achieve quantitative growth.After the epidemic,more enterprises realize the importance of digital transformation as a key move to empower traditional industries for new growth.According to existing literature,the effect of digital transformation on total factor productivity is considered both catalytic and suppressive.Many enterprises are planning digital transformation,but most Chinese enterprises are still exploring due to high initial cost and long payback period.The real economic effects of enterprise digital transformation are not yet clear,so it’s important to study if it can promote total factor productivity empirically.It’s significant to determine if digital transformation can improve total factor productivity and through which path it can do so,in this context.This paper uses data from Chinese A-share listed companies in Shanghai and Shenzhen from 2010 to 2020 to test the impact of enterprise digital transformation on total factor productivity based on endogenous growth theory and information asymmetry theory.It proposes that financing constraint is the mediating variable between enterprise digital transformation and total factor productivity,and tests the mediating effect through stepwise regression verification method.Heterogeneity analysis is conducted based on enterprise property rights nature,financial index status,and enterprise size,using sub-sample regression and interaction term regression to test the influence of differences on the relationship between the two.Enterprise size is selected as the threshold variable and threshold regression analysis is conducted to test the impact of enterprise digital transformation on total factor productivity.The empirical study concludes that:(1)Enterprise digital transformation has a significant and positive impact on total factor productivity,and this result is robust even after replacing the core explanatory variables for testing purposes.(2)Digital transformation can help to alleviate financing constraints,which in turn partially mediates the positive impact of digital transformation on total factor productivity.(3)Micro heterogeneity of enterprises plays a significant role in the promotion effect of digital transformation on total factor productivity,with non-state enterprises,enterprises with relatively low profitability,poor growth,low balance sheet ratio,and medium-sized enterprises experiencing more significant effects.