Digital Innovation, Managerial Characteristics, and High-Quality Enterprise Development

Abstract

Digital innovation demonstrates significant potential in fostering high-quality enterprise development. Using data from listed companies in the Chang-Zhu-Tan urban agglomeration of Hunan Province from 2003 to 2023, this study empirically examines the impact of digital innovation on total factor productivity (TFP). A dynamic panel threshold model is further employed to explore the moderating and threshold effects of managerial characteristics. The results indicate that digital innovation significantly promotes TFP. Managerial myopia and environmental attention exhibit notable moderating and threshold effects in the relationship between digital innovation and TFP. When managerial myopia exceeds a certain threshold, the effect of digital innovation on TFP shifts from positive to negative. Conversely, when managerial environmental attention surpasses a threshold, the positive effect of digital innovation on TFP becomes evident. Heterogeneity analysis reveals that digital innovation plays a particularly prominent role in enhancing TFP among non-high-tech firms, non-state-owned enterprises, and companies located outside the core Chang-Zhu-Tan region.