IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i21p15600-d1273785.html
   My bibliography  Save this article

Does Digital Transformation Promote Green and Low-Carbon Synergistic Development in Enterprises? A Dynamic Analysis Based on the Perspective of Chinese Listed Enterprises in the Heavy Pollution Industry

Author

Listed:
  • Sen Wang

    (School of Economics and Management, Xinjiang University, Urumqi 830049, China)

  • Jinye Li

    (School of Economics and Management, Xinjiang University, Urumqi 830049, China)

Abstract

Digital transformation has become essential in promoting and upgrading enterprise elements and reshaping the market’s competitive landscape. However, whether digital transformation can further promote green and low-carbon synergistic development is still being determined. Using data from 2008 to 2014 matched between A-share listed enterprises in China’s heavily polluting industries and China’s industrial enterprise pollution emission database (robustness tests were used city panel data from 2013 to 2019 to overcome the timeliness of enterprise-level data), we measured the green total factor productivity, carbon emission efficiency, and joint emission reduction efficiency of heavily polluting listed companies. We examined the dynamic impact of corporate digital transformation on corporate pollution and carbon emission reduction. The empirical results show that (1) digital transformation inhibits the enterprise’s all-green factor productivity, carbon emission efficiency, and joint emission reduction efficiency in the short term but promotes them in the long term. Digital transformation can improve these three efficiencies by enhancing the enterprise’s green technology innovation ability and optimizing factor allocation efficiency. (2) A heterogeneity analysis found that, in the external environment, the increase in environmental regulation enhances the impact of digital transformation on these three efficiencies; in the internal environment, the improvement of the competitiveness of the enterprise’s products strengthens the promotion of digital transformation on the three efficiencies of pollution emission reduction and carbon emission reduction. (3) Further research shows that, in the long run, digital transformation can improve the synergistic effect of the pollution reduction and carbon emission reduction of enterprises. This is instructive for Chinese enterprises to achieve the synergistic development of digital transformation and green, low-carbon production.

Suggested Citation

  • Sen Wang & Jinye Li, 2023. "Does Digital Transformation Promote Green and Low-Carbon Synergistic Development in Enterprises? A Dynamic Analysis Based on the Perspective of Chinese Listed Enterprises in the Heavy Pollution Indust," Sustainability, MDPI, vol. 15(21), pages 1-22, November.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:21:p:15600-:d:1273785
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/21/15600/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/21/15600/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Zhang, Pei & Hao, Dongyang, 2023. "Enterprise financial management and fossil fuel energy efficiency for green economic growth," Resources Policy, Elsevier, vol. 84(C).
    2. Paul Lanoie & Michel Patry & Richard Lajeunesse, 2008. "Environmental regulation and productivity: testing the porter hypothesis," Journal of Productivity Analysis, Springer, vol. 30(2), pages 121-128, October.
    3. Bai, Caiquan & Liu, Hangjuan & Zhang, Rongjie & Feng, Chen, 2023. "Blessing or curse? Market-driven environmental regulation and enterprises' total factor productivity: Evidence from China's carbon market pilots," Energy Economics, Elsevier, vol. 117(C).
    4. Chang-Tai Hsieh & Peter J. Klenow, 2009. "Misallocation and Manufacturing TFP in China and India," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 124(4), pages 1403-1448.
    5. Du, Juntao & Shen, Zhiyang & Song, Malin & Zhang, Linda, 2023. "Nexus between digital transformation and energy technology innovation: An empirical test of A-share listed enterprises," Energy Economics, Elsevier, vol. 120(C).
    6. Shunsuke Managi & SJames J. Opaluch & Di Jin & Thomas A. Grigalunas, 2005. "Environmental Regulations and Technological Change in the Offshore Oil and Gas Industry," Land Economics, University of Wisconsin Press, vol. 81(2).
    7. Li, Xiang & Lepour, Dorsan & Heymann, Fabian & Maréchal, François, 2023. "Electrification and digitalization effects on sectoral energy demand and consumption: A prospective study towards 2050," Energy, Elsevier, vol. 279(C).
    8. Hu, Yan & Che, Dexin & Wu, Fei & Chang, Xi, 2023. "Corporate maturity mismatch and enterprise digital transformation: Evidence from China," Finance Research Letters, Elsevier, vol. 53(C).
    9. Yi, Ming & Liu, Yafen & Sheng, Mingyue Selena & Wen, Le, 2022. "Effects of digital economy on carbon emission reduction: New evidence from China," Energy Policy, Elsevier, vol. 171(C).
    10. Hua Zhang & Qiwang Zhang, 2023. "How Does Digital Transformation Facilitate Enterprise Total Factor Productivity? The Multiple Mediators of Supplier Concentration and Customer Concentration," Sustainability, MDPI, vol. 15(3), pages 1-18, January.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Limin Zou & Wan Li & Hongyi Wu & Jiawen Liu & Peng Gao, 2024. "Measuring Corporate Digital Transformation: Methodology, Indicators and Applications," Sustainability, MDPI, vol. 16(10), pages 1-15, May.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Wang, Chunhua & Wu, JunJie & Zhang, Bing, 2018. "Environmental regulation, emissions and productivity: Evidence from Chinese COD-emitting manufacturers," Journal of Environmental Economics and Management, Elsevier, vol. 92(C), pages 54-73.
    2. Na Zhang & Jinqian Deng & Fayyaz Ahmad & Muhammad Umar Draz & Nabila Abid, 2023. "The dynamic association between public environmental demands, government environmental governance, and green technology innovation in China: evidence from panel VAR model," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(9), pages 9851-9875, September.
    3. Senhua Huang & Lingming Chen, 2023. "The Impact of the Digital Economy on the Urban Total-Factor Energy Efficiency: Evidence from 275 Cities in China," Sustainability, MDPI, vol. 15(4), pages 1-20, February.
    4. Sun, Chuanwang & Tie, Ying & Yu, Lili, 2024. "How to achieve both environmental protection and firm performance improvement: Based on China's carbon emissions trading (CET) policy," Energy Economics, Elsevier, vol. 130(C).
    5. Mingliang Zhao & Fangyi Liu & Wei Sun & Xin Tao, 2020. "The Relationship between Environmental Regulation and Green Total Factor Productivity in China: An Empirical Study Based on the Panel Data of 177 Cities," IJERPH, MDPI, vol. 17(15), pages 1-19, July.
    6. Roberto Antonietti & Alberto Marzucchi, 2013. "Green Investment Strategies and Export Performance: A Firm-level Investigation," Working Papers 2013.76, Fondazione Eni Enrico Mattei.
    7. Johan Brolund & Robert Lundmark, 2017. "Effect of Environmental Regulation Stringency on the Pulp and Paper Industry," Sustainability, MDPI, vol. 9(12), pages 1-16, December.
    8. R. De Santis & P. Esposito & C. Jona Lasinio, 2021. "Environmental regulation and productivity growth: Main policy challenges," International Economics, CEPII research center, issue 165, pages 264-277.
    9. Wang, Weilong & Wang, Jianlong & Wu, Haitao, 2024. "The impact of energy-consuming rights trading on green total factor productivity in the context of digital economy: Evidence from listed firms in China," Energy Economics, Elsevier, vol. 131(C).
    10. Maogang Tang & Silu Cheng & Wenqing Guo & Weibiao Ma & Fengxia Hu, 2023. "Relationship between carbon emission trading schemes and companies’ total factor productivity: evidence from listed companies in China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(10), pages 11735-11767, October.
    11. Baoqing Tang & Bo Gao & Jing Ma, 2021. "The impact of export VAT rebates on firm productivity: Evidence from China," The World Economy, Wiley Blackwell, vol. 44(10), pages 2798-2820, October.
    12. Guoqun Ma & Danyang Lv & Yuxi Luo & Tuanbiao Jiang, 2022. "Environmental Regulation, Urban-Rural Income Gap and Agricultural Green Total Factor Productivity," Sustainability, MDPI, vol. 14(15), pages 1-22, July.
    13. Yang, Chih-Hai & Tseng, Yu-Hsuan & Chen, Chiang-Ping, 2012. "Environmental regulations, induced R&D, and productivity: Evidence from Taiwan's manufacturing industries," Resource and Energy Economics, Elsevier, vol. 34(4), pages 514-532.
    14. Yan Peng & Hanzi Chen & Tinghui Li, 2023. "The Impact of Digital Transformation on ESG: A Case Study of Chinese-Listed Companies," Sustainability, MDPI, vol. 15(20), pages 1-21, October.
    15. Dietrich Earnhart & Dylan G. Rassier, 2016. "“Effective regulatory stringency” and firms’ profitability: the effects of effluent limits and government monitoring," Journal of Regulatory Economics, Springer, vol. 50(2), pages 111-145, October.
    16. Runar Brännlund & Tommy Lundgren, 2010. "Environmental policy and profitability: evidence from Swedish industry," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 12(1), pages 59-78, June.
    17. Rassier, Dylan G. & Earnhart, Dietrich, 2015. "Effects of environmental regulation on actual and expected profitability," Ecological Economics, Elsevier, vol. 112(C), pages 129-140.
    18. Liang, Benbo & He, Gailei & Wang, Yuran, 2024. "The digital economy, market integration and environmental gains," Global Finance Journal, Elsevier, vol. 60(C).
    19. Lin Wang & Yugang He & Renhong Wu, 2024. "Digitization Meets Energy Transition: Shaping the Future of Environmental Sustainability," Energies, MDPI, vol. 17(4), pages 1-25, February.
    20. Juan J. Martínez Hernández & Patricia S. Sánchez‐Medina & René Díaz‐Pichardo, 2021. "Business‐oriented environmental regulation: Measurement and implications for environmental policy and business strategy from a sustainable development perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 30(1), pages 507-521, January.

    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:gam:jsusta:v:15:y:2023:i:21:p:15600-:d:1273785. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    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.