Study on Influencing Mechanism of Enterprise Digital Transformation on Stock Price Collapse Risk - Based on Samples of Chinese Listed Companies

Digital Transformation (DT) can improve the enterprise’s economic performance (EP), but there are few studies on DT and the enterprise’s performance on capital market. This paper finds that DT can reduce the enterprise’s stock price collapse risk (the “Risk”) and promote its information transparency. External attention can enhance DT’s role in inhibiting the Risk. DT exerts more significant impact on private enterprises (PEs) and middle and small-sized enterprises (SMEs). DT may have the situation worsened if the stock price has collapsed. This paper bears certain guidance for enterprises in emerging markets to accelerate DT