How Digital Transformation Enhances Corporate Green Performance

Abstract

In the context of deepening integration of digital technologies into business operations and the growing emphasis on sustainable development strategies, increasing attention is being paid to the role of digital transformation in enhancing corporate green performance. Using panel data from Chinese A-share listed companies from 2014 to 2023, this study investigates the impact of digital transformation on corporate green performance, with a focus on the mediating roles of green innovation and green management, and the moderating effect of financial slack. The results indicate that (1) digital transformation significantly enhances green performance, (2) green innovation and green management serve as effective mediators in this relationship, and (3) financial slack amplifies the beneficial effect of digital transformation on green performance. This research contributes to the literature by linking digital transformation and firm-level green performance, offering insights for achieving dual-carbon goals.