The Impact of Digitalization on the Telecommunications Sector ESG Transformation

The impact of digital transformation on ESG performance and the moderation of mixed‐ownership reform: The evidence from Chinese state‐owned enterprises

“…Firstly, digital technology can have a revolutionary impact on enterprise business models, production methods, and organizational processes, enabling enterprise transformation and upgrading to move beyond traditional expansion models (Gaglio et al, 2022), which can promote the integration of innovative, green, and shared sustainable development concepts in the strategic transformation of state‐owned enterprises. Secondly, enterprise DX reflects the transformation of enterprise management mode from “industrialization” to “digitalization” (Vetrova et al, 2023), which is conducive to reducing resource mismatches and improving enterprise resource allocation efficiency (Wielgos et al, 2021), and enhancing the level of green management of state‐owned enterprises (Liu et al, 2022). In addition, digital technology can achieve interconnection and automation control of equipment, realize automated and intelligent production, reduce consumption of energy and generation of waste, and thus reduce the adverse impact on the environment (Llopis‐Albert et al, 2021; Zhai et al, 2022).…”

“…Actually, there have been also some studies indicating that although digital technologies are able to ensure the effective achievement of sustainable development goals, considerable companies tend to use the benefits of DX focusing on maximizing short‐term profits rather than taking into account the interests of future generations (Khattak & Yousaf, 2021; Vetrova et al, 2023). The emergence of the principal‐agent problem matters, in which the root cause of the mixed‐ownership reform lies.…”