Digital transformation and accounting information quality: empirical evidence from China
摘要
This paper explores the mechanism under which corporate digital transformation affects accounting information quality in the recent digital economy era. Our empirical tests on A-share listed companies in Shanghai and Shenzhen from 2013 to 2022 in China show that enterprise digital transformation enhances accounting information quality by increasing information transparency, reducing operational uncertainty, and alleviating financing constraints. Empirical results also support the idea that the effects of digital transformation vary among companies with different characteristics. Firms that are not state-owned, those in the growth stage, those with low management shareholding, those with high internal control quality, those audited by non-Big four accounting firms, and those with low external attention are more likely to achieve those outcomes. This study enriches the intrinsic relationship between fundamental corporate changes and firm performance in relation to information and operational asymmetry, followed by digital transformation.