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Global Companies’ Dynamic Response to Business Environment Uncertainty through Digital Transformation: Sustainable Digital Quality–Customer Value–Market Performance Relationships

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  • Chang-Geun Kim

    (School of Computing, Kyunghee University, Yongin-si 17104, Gyeonggi-do, Republic of Korea)

  • Oh-Suk Yang

    (Department of Business Administration and Accounting, Kangwon National University, Chuncheon 24341, Republic of Korea)

Abstract

This study examines the relationship between digital transformation and both the corporate image and brand awareness of global companies through the mediating effects of functional value, symbolic value, experiential value, emotional value, and social value, all of which are components of customer value. This study mainly focuses on the structural relationship in which digital quality, which is subdivided into system quality, information quality, and service quality, affects non-financial corporate image as a company with good corporate governance, a company that is good at social contribution activities, and an eco-friendly company through the mediating function of customer value. As part of the empirical analysis, an online survey was conducted among 504 employees from different global companies in China, and the PLS structural equation model was employed as a specific analysis tool. Key findings indicate that changes in system quality, information quality, and service quality resulting from digital transformation have varying influences on the five components of customer value. These factors also deliver the effect of improving corporate image in the ESG dimension by penetrating customers’ emotional and social values. Essentially, all components of dynamic capability significantly impact all components of customer value. Furthermore, all components of customer value influence corporate performance, while uncertainty affects a company’s market performance.

Suggested Citation

  • Chang-Geun Kim & Oh-Suk Yang, 2024. "Global Companies’ Dynamic Response to Business Environment Uncertainty through Digital Transformation: Sustainable Digital Quality–Customer Value–Market Performance Relationships," Sustainability, MDPI, vol. 16(15), pages 1-32, July.
    • Handle: RePEc:gam:jsusta:v:16:y:2024:i:15:p:6541-:d:1446657
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