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The effects of executives’ overseas background on enterprise digital transformation: evidence from China

Dongmei Hu (School of Management, Xihua University, Chengdu, China)
Yang Peng (Research Institute of International Economics and Management, Xihua University, Chengdu, China)
Tony Fang (Faculty of Humanities and Social Sciences, Memorial University of Newfoundland, St. John’s, Canada)
Charles Weizheng Chen (School of Business, Sichuan University, Chengdu, China and Research Institute of International Economics and Management, Xihua University, Chengdu, China)

Chinese Management Studies

ISSN: 1750-614X

Article publication date: 14 September 2022

Issue publication date: 13 November 2023

1150

Abstract

Purpose

The purpose of this study is to examine the effects of executives’ overseas education and work experience on enterprise digital as executives’ overseas background is critical to the development of enterprises. It also explored the mediating role of enterprise digital transformation on the relationship between executives’ overseas background and enterprise growth.

Design/methodology/approach

Chinese A-share companies listed on the Shanghai and Shenzhen Stock Exchanges for the period 2018–2020 were analyzed using regression analysis and bootstrapping to verify hypothesized relationships.

Findings

Executives’ overseas study and work experience both enhanced enterprise digital transformation significantly, thus improving enterprise growth. The level of employee education moderated the mediating role proposed in the theoretical model. Moreover, the promoting effect of executives’ overseas background on enterprise digital transformation was more significant for non-state-owned enterprises and those in eastern China.

Practical implications

The findings provide reference for the formulation and optimization of companies’ human resource structure and have implications on the improvement of enterprise digital transformation and enterprise growth.

Originality/value

This study explored the factors influencing enterprise digital transformation at the microlevel of corporate human capital, thereby providing microlevel empirical evidence for research on the factors influencing enterprise digital transformation. Its findings shed light on the mechanism and context under which executives with overseas backgrounds may enhance enterprise digital transformation and growth.

Keywords

Acknowledgements

Financial support from the National Social Science Foundation of China research grant (19BGJ005) “Comparative Study on Competitive Strategies and Migration Policies of Overseas High-Level Talents Between China and Developed Countries”, National Natural Science Foundation of China key research grant (72032002), Social Science and Humanities Research Council of Canada (890-2020-0051), and The Innovation Fund of Research Institute of International Economics and Management, Xihua University (20210030) is gratefully acknowledged.

Citation

Hu, D., Peng, Y., Fang, T. and Chen, C.W. (2023), "The effects of executives’ overseas background on enterprise digital transformation: evidence from China", Chinese Management Studies, Vol. 17 No. 5, pp. 1053-1084. https://doi.org/10.1108/CMS-11-2021-0503

Publisher

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Emerald Publishing Limited

Copyright © 2022, Emerald Publishing Limited

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