IDEAS home Printed from https://ideas.repec.org/a/eee/jomega/v128y2024ics0305048324000987.html
   My bibliography  Save this article

Customer-driven value creation in the digital economy: Determining the role of customer firms’ digital transformation on supplier performance in China

Author

Listed:
  • Zhang, Chonghui
  • Chai, Binfeng
  • Mirza, Sultan Sikandar
  • Jin, Ying

Abstract

This study examines how customer firms’ digital transformation affects the performance and value creation of their suppliers in the Chinese context. We use text mining to construct digital transformation indicators for customer firms based on data from Chinese A-share-listed firms from 2011 to 2021. We find that customer firms’ digital transformation has a positive and significant impact on supplier performance, and this effect is robust to various sensitivity tests. We also find that customer firms’ digital transformation influences supplier performance through two mechanisms: demand push and innovation spillover. Moreover, the heterogeneity analysis reveals that the effect of customer firms’ digital transformation on supplier performance varies by different factors, such as geographic distance, customer concentration, ownership type, and industry type. This study contributes to the literature on supply chain value from a customer-driven perspective and provides practical implications for supply chain firms to leverage digital transformation to enhance their performance and competitive advantage.

Suggested Citation

  • Zhang, Chonghui & Chai, Binfeng & Mirza, Sultan Sikandar & Jin, Ying, 2024. "Customer-driven value creation in the digital economy: Determining the role of customer firms’ digital transformation on supplier performance in China," Omega, Elsevier, vol. 128(C).
    • Handle: RePEc:eee:jomega:v:128:y:2024:i:c:s0305048324000987
    DOI: 10.1016/j.omega.2024.103132
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0305048324000987
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.omega.2024.103132?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jomega:v:128:y:2024:i:c:s0305048324000987. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/375/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.