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Enterprise service-oriented transformation and sustainable development driven by digital technology.

Shuangcheng Luo1, Jianjiang Liu2

  • 1School of Economics, Hunan Agricultural University, Changsha, 410128, China. luo_sc@163.com.

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|May 2, 2024
PubMed
Summary

Digital technology application boosts sustainable development in manufacturing firms by enhancing service-oriented transformation and innovation. This effect is more pronounced in resource-based and capital-intensive industries, improving both environmental and economic performance.

Keywords:
Digital technology applicationESGService-oriented transformationSustainable developmentTechnological innovation

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Area of Science:

  • Digital Transformation
  • Sustainable Development
  • Manufacturing Sector

Background:

  • The integration of digital technology profoundly impacts enterprise operations and drives service-oriented transformation.
  • Digitalization is increasingly recognized as a key driver for achieving sustainable development goals within the real economy.

Purpose of the Study:

  • To investigate the impact of digital technology application on the service-oriented transformation of Chinese listed manufacturing enterprises.
  • To analyze how digital technology influences the sustainable development of these enterprises.
  • To provide micro-level evidence on digital technology's role in environmental and economic performance.

Main Methods:

  • Utilized text analysis methods on data from Chinese listed manufacturing enterprises (2011-2020).
  • Examined the mediating roles of service-oriented transformation and technological innovation.
  • Differentiated impacts across enterprise types, specifically resource-based and capital-intensive firms.

Main Results:

  • Digital technology application significantly enhances both environmental and economic performance.
  • This improvement is achieved by promoting service-oriented transformation and technological innovation.
  • The positive impact on sustainable development is more substantial for resource-based and capital-intensive enterprises.

Conclusions:

  • Digital technology is a critical enabler of sustainable development in the manufacturing industry.
  • Service-oriented transformation and technological innovation are key mechanisms through which digital technology drives sustainability.
  • Findings offer empirical support for leveraging digital technologies to address environmental challenges and foster sustainable business practices.