Impact of Digital Transformation on Enterprise Performance with Background of Big Data

Abstract

In the 21th century, ushered in the fourth industrial revolution, promoted the development of digital technology, the advent of intelligent technology, so that the world economy is reinvigorated. Digital economy is developing at an unprecedented speed, with a wide range of radiation and an unprecedented depth of influence. Even in this context, as the main body of industrial transformation and upgrading, enterprises still face more uncertainty and complexity of the environment. In view of this situation, the Chinese government closely follows the pace of The Times, proposes the construction of "digital China", and takes digitization as the leading force in the development of digital economy. Letting digitization lead Chinese enterprises to achieve qualitative growth. Based on the above background, this paper studies the impact of Chinese enterprises' digital transformation on enterprise performance. From the list of A-share companies from 2010 to 2020, we collected the keywords of "digital transformation (DT)" in the annual reports of enterprises. With a quantitative analysis method and empirical analysis, digital transformation’s impact on enterprise performance is verified. It is concluded that DT has a positive effect on improving enterprise performance. Innovation capability shows the positive effect of DT on the performance or enterprises. The study result shows a way how to carry out DT of companies.