Abstract

The digital transformation of “Specialized, Refined, Distinctive, and Innovative” (SRDI) firms is a vital indicator of high-quality development within the digital economy and has attracted considerable attention. This study empirically examines the effect of digital transformation on enterprise value, employing big data text recognition techniques on panel data from Chinese A-share-listed SRDI firms from 2009 to 2023 to measure the intensity of corporate digital transformation. The empirical results reveal a significantly positive correlation between digital transformation and firm value for SRDI firms, a conclusion that remains robust after endogeneity and sensitivity analyses. Mechanism tests further indicate that digital transformation is significantly and positively associated with four dimensions of technological innovation, all of which are closely linked to firm value: innovation input, innovation density, innovation capability, and innovation performance. Additionally, we recognize supply chain concentration, the extent of informatization, and government subsidies as critical moderators that enhance the association between digital transformation and firm value. This study offers detailed empirical evidence about the transformation and innovation behaviors of SRDI firms, clarifying the underlying mechanisms and contingent elements that influence value creation in the digital age.

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