Publication Type

Journal Article

Version

publishedVersion

Publication Date

7-2025

Abstract

This paper examines the impact of consumer complaints on corporate digital transformation and its underlying mechanisms. Using quarterly data from China's Shanghai and Shenzhen A-share listed companies from 2018 to 2023, the empirical results show that an increase in consumer complaints significantly hinders corporate digital transformation. Mechanism analysis reveals that consumer complaints raise legal risks and non-productive costs for firms, leading them to allocate more resources toward short-term crisis management rather than long-term digital development. Heterogeneity analysis indicates that this inhibitory effect is more pronounced in firms with weaker cybersecurity governance, firms whose executives lack a digital background, and firms with higher media attention. This study fills a gap in the literature on the impact of consumer complaints on corporate digital transformation and provides theoretical support for relevant policy formulation.

Keywords

Consumer complaints, Corporate governance, Digital transformation

Discipline

Business and Corporate Communications | Technology and Innovation

Publication

International Review of Economics & Finance

Volume

101

First Page

1

Last Page

14

ISSN

1059-0560

Identifier

10.1016/j.iref.2025.104203

Publisher

Elsevier

Copyright Owner and License

Authors-CC-BY

Creative Commons License

Creative Commons Attribution 3.0 License
This work is licensed under a Creative Commons Attribution 3.0 License.

Additional URL

https://doi.org/10.1016/j.iref.2025.104203

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