Abstract

This study investigates the relationship between digital transformation and Environmental, Social, and Governance (ESG) performance in the context of SMEs. Drawing upon Resource Orchestration Theory, this research proposes a theoretical model that examines the direct effect of digital transformation on ESG performance and the mediating roles of innovation capabilities and servitization level in this relationship. PLS-SEM and fsQCA were employed to analyze survey data from 215 SME executives. The results reveal that digital transformation positively influences ESG performance. Moreover, innovation capabilities and servitization level partially mediate the relationship between digital transformation and ESG performance. This research contributes to the literature by proposing and validating a comprehensive model that integrates these constructs, offering actionable insights for SME managers and policymakers to enhance ESG outcomes through strategic digital initiatives. Notably, fsQCA results highlight three distinct configurations of digital transformation components leading to high ESG performance, providing nuanced pathways for SMEs to achieve sustainable development.

Details

Title
Digital transformation, innovation capabilities, and servitization as drivers of ESG performance in manufacturing SMEs
Author
Chen, Donghua 1 ; Wang, Shaofeng 2 

 Zhejiang Wanli University, School of Logistics and e-Commerce, Ningbo, China (GRID:grid.413076.7) (ISNI:0000 0004 1760 3510) 
 Fuzhou University of International Studies and Trade, International Business School, Fuzhou, China (GRID:grid.411604.6) (ISNI:0000 0001 0130 6528) 
Pages
24516
Publication year
2024
Publication date
2024
Publisher
Nature Publishing Group
e-ISSN
20452322
Source type
Scholarly Journal
Language of publication
English
ProQuest document ID
3118121863
Copyright
© The Author(s) 2024. This work is published under http://creativecommons.org/licenses/by-nc-nd/4.0/ (the “License”). Notwithstanding the ProQuest Terms and Conditions, you may use this content in accordance with the terms of the License.