Digital Transformation and Enterprise Performance: The Mediation Effect of Adaptive Capacity and the Moderating Effect of Entrepreneurship

Abstract

In the context of a rapidly expanding global digital economy, a growing number of companies are undertaking Digital Transformation (DT) to enhance performance. This study adopts a dynamic perspective, develops a regression model with data from A-share listed firms covering 2011 to 2020, and examines the relationship between DT and Enterprise Performance (EP), as well as their underlying mechanisms. The findings reveal: (1) Benchmark regression analysis indicates that DT exerts a notably positive influence on EP. After conducting robustness checks and resolving endogeneity issues, this finding still proves robust. (2) Mediation effect tests reveal that DT significantly enhances EP through the mediating variable of Adaptive Capacity (AC), while Entrepreneurship (Entre) exerts a positive moderating effect on this relationship. (3) Heterogeneity analysis indicates that DT yields more pronounced performance improvements for enterprises in eastern regions and non-capital-intensive industries. Overall, this study delves into the intrinsic logical pathway of "DT-AC-EP" while examining the moderating role of Entre. It not only enriches existing research in this field but also offers new theoretical perspectives for related studies. These findings provide important theoretical guidance for enterprises seeking to accelerate their DT and enhance EP.