ISSN: 2226-3624
Open access
This study examines the moderating effect of board gender diversity on the relationship between digital transformation and corporate ESG (Environmental, Social, and Governance) performance in Chinese firms. Based on the Resource-Based View (RBV) and Upper Echelons Theory, we explore how digital transformation enhances sustainability outcomes and how board gender diversity influences this relationship. Using a sample of A-share listed companies, we conduct regression analyses to assess the direct and moderating effects. The results indicate that digital transformation positively influences ESG performance, confirming that digitalization is a key enabler of corporate sustainability. However, the role of board gender diversity is more complex. While gender-diverse boards can promote inclusive decision-making and innovative strategies, the diversity of viewpoints may also slow down the implementation of digital transformation initiatives. This suggests that the impact of digital transformation on ESG performance is moderated by the governance structure, particularly gender diversity. This study contributes to the literature on corporate governance and sustainability by highlighting the importance of board diversity in enhancing the effectiveness of digital transformation for achieving ESG goals. The findings offer practical implications for businesses, policymakers, and investors, emphasizing that fostering gender-diverse boards can improve the sustainability outcomes of digital strategies. This research provides valuable insights into the intersection of digitalization, governance, and sustainability in the Chinese context.
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