The Impact Of Manufacturing Enterprise Financialization On Total Factor Productivity Under The Background Of Digital Transformation

Through the digital revolution,global economic governance is entering a new era.Consumer expectations and behavior have been fundamentally altered as a result of the business model innovation,putting pressure on existing businesses.At present,China’s manufacturing enterprises obtain profits through equity participation in financial institutions,entrusted financing,direct purchase of financial derivatives such as futures and options,and investment in real estate and other financial channels.Enterprise financialization is becoming a common phenomenon.The digital transformation of enterprises makes fundamental changes in traditional business practices through the implementation and use of digital technology,can create new types of organizations,and bring changes in organizational culture,relationships,value creation,customer coverage and market position.However,in light of the digital shift,the impact of manufacturing businesses’ financialization on total factor productivity must be clarified.Based on the financing constraint theory,principal-agent theory and resource dependence theory,and created on the manufacturing enterprise data of China’s A-share listed companies between 2006 and 2020,the impact mechanism of manufacturing enterprise financialization is empirically tested in this paper on total factor productivity under the background of digital transformation.The study’s findings are listed below:(1)Manufacturing firms’ financialization has a strong negative influence on total factor productivity.With the improvement of the financialization level of manufacturing enterprises,total factor productivity decreases.(2)The intermediate mechanism for the financialization of manufacturing enterprises to affect total factor productivity is technological innovation,that is,the financialization of manufacturing enterprises affects total factor productivity by affecting technological innovation.(3)The level of digitalization can moderate the effect of financialization of manufacturing firms on total factor productivity,in other words,the inhibitory effect of financialization of manufacturing firms on total factor productivity diminishes when the level of digitalization is higher.Finally,this paper puts forward some management suggestions for practice.This paper introduces three new concepts:Firstly,this paper enriches the research perspective of the driving factors of enterprise total factor productivity.As from standpoint of manufacturing business financing,this paper examines total factor productivity in businesses,gives theoretical basis,and empirical evidence from the micro enterprise level for the high-quality development of digital financial service economy,and expands the research boundary on the driving factors of enterprise total factor productivity.Secondly,this paper further extends the logical chain of research to enterprise total factor productivity,and reveals the internal mechanism of manufacturing enterprise financialization affecting enterprise total factor productivity.This paper demonstrates the logical chain of "manufacturing enterprise finance-scientific and technological innovation-enterprise total factor productivity" from the empirical level,which provides enlightenment for how the financial format of manufacturing enterprise finance can serve the improvement of enterprise total factor productivity and promote high-quality economic development.Thirdly,this paper embeds the digital level in the research paradigm of "manufacturing enterprise financialization-enterprise total factor productivity",and finds that manufacturing enterprise finance is affected by conditional factors;For enterprises with high digital level,manufacturing enterprise finance has a greater influence on total factor productivity provides reliable empirical evidence for policy-making to optimize the high-quality development of digital finance service economy,and helps to increase the manufacturing industry’s development quality.