Empirical Analysis of the Impact of Human Capital on Corporate Digitalization

Abstract

Using panel data from A-share listed companies between 2007 and 2021, this study empirically examines the theoretical mechanisms through which human capital influences the digitalization of Chinese enterprises. The findings reveal that upgrading corporate human capital effectively empowers the digitalization of Chinese firms, a conclusion that is robust across a series of tests. Mechanism analysis indicates that the enhancement of human capital primarily facilitates corporate digitalization through improvements in R&D innovation and management levels. Heterogeneity analysis shows that the positive impact of human capital upgrading on corporate digitalization is more pronounced in the eastern and central regions, technology-intensive firms, and high-tech enterprises. These conclusions provide valuable insights for further promoting corporate human capital enhancement and digitalization.