The motivating effect of positive social emotions on digital transformation of manufacturing enterprises–evidence from financial news and public opinion

This paper investigates the impact of digital transformation on positive social emotions within manufacturing enterprises and examines the moderating effects of management tone and marketing capabilities on this relationship. This research uses a panel fixed-effect regression model to empirically examine the impact of positive social emotions on the digital transformation of manufacturing enterprises from 2016 to 2020 based on panel data of Chinese A-share listed companies in Shanghai and Shenzhen. The results indicate that social positive emotions significantly contribute to the digital transformation of manufacturing enterprises. The effect of social positive emotions on the digital transformation of manufacturing enterprises is strongly heterogeneous in terms of differences in enterprise attributes and geographical differences. Further analysis reveals that marketing capability and corporate executive tone, directly or indirectly, both have a considerable positive moderating effect on the aforementioned mechanism. In contrast, innovation capability has little moderating influence. In order to better regulate external positive social emotions to promote digital transformation, manufacturing enterprises need to emphasise management tone and enhance their marketing capabilities. These might facilitate companies in utilising additional social resources, strengthen internal strategic digital transformation decisions, and advance the development of digital transformation in China's manufacturing sector.