Abstract
Despite increasing scholarly attention on digital transformation, there is only limited micro-level insights on how cognitive frames, the managerial mental maps and thought structures that can shape interpretation, affect digital transformation of manufacturing firms. Based upon three manufacturing cases in China, we find that paradoxical frame will lead to compartmental digital transformation through distributed decision-making processes, while dialectic frame will lead to holistic co-evolution digital transformation through integrative decision-making processes. These findings will not only contribute to the understandings of digital transformation by providing underlying micro cognitive processes of digital transformation but also the indirect mechanisms on cognitive frames towards firm strategy.
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