Impact of Digital Transformation on the Quality of Corporate Internal Control:Heterogeneity and Moderating Effects
The impact of digital transformation on the quality of corporate internal control and its heterogeneity and regulation mechanism were analyzed at the theoretical level,and empirical tests were conducted with a panel data sample of A-share listed companies in Shanghai and Shenzhen from 2007 to 2020.It is found that digital transformation can positively contribute to the quality of internal control by optimizing the internal environment,improving risk control,strengthening the execution of internal control activities and improving the efficiency of information communication.Further research shows that digital transformation has a greater effect on the quality of internal control in manufacturing firms than in non-manufacturing firms,and has a significant effect on the quality of internal control in technology-intensive and capital-intensive manufacturing firms but not in labor-intensive manufacturing firms.Meanwhile,both firm size and equity concentration play a positive moderating role in the effect of digital transformation on the quality of internal control of firms.
digital transformationinternal control qualityendogeneityheterogeneitymoderating effect