Research On Digital Transformation To Promote Enterprises’ Overseas Operation

Deeper promotion of businesses’ international operations is essential for implementing the “going out” strategy and achieving high-quality economic growth.This study measures the overseas activities of Shanghai and Shenzhen A-share listed businesses during the period 2008 to 2020 and offers an empirical analysis of how the digital transformation affects those operations.The findings demonstrate that as the degree of digital transformation increases,their overseas operations can be optimized.This conclusion is supported by robustness tests like the instrumental variables method and double difference;non-linear tests uncover a potential U-shaped relationship between digital transformation and the growth of enterprises’ overseas business,and the majority of the transformed businesses have already stabilized.Absorbent capacity and the state of the digital infrastructure construction have a positive moderating effect on the process of digital transformation that is influencing international company,however financial restrictions have a negative moderating effect.Constructive policy suggestions are also provided to support the mechanism’s efficacy.The research also conducts a heterogeneity analysis,and the findings demonstrate that the beneficial impact of digital transformation is stronger in areas with a high concentration of innovative people,low external environment uncertainty,as well as in industries with a high degree of innovation.The report also conducts two extensive analysis in addition.First,a comprehensive research based on the breakdown of digital transformation reveals that cloud computing,digital technology applications,and artificial intelligence have the greatest impacts on global operations,while big data and block-chain technologies have the least.In order to establish that the digital revolution has not resulted in the hollowing out of industries,the article also takes a micro and macro view of the dual structure of China’s abroad activities,demonstrating that the facilitation impact is a “creative” one.This study makes specific policy recommendations based on the aforementioned findings: first,give firms’ digital transformations a high priority and increase their knowledge of it.Second,develop a strong institutional setting to promote and direct businesses’ digital transition.Third,enhance the market mechanism to aid businesses in going digital.Promote the development of digital infrastructure to strengthen the framework for businesses’ digital transformation.Finally,promote the construction of digital infrastructure and consolidate the foundation of digital transformation of enterprises.