Research on the Impact of Digital Transformation on Accounting Information Quality: The Moderating Role of Managerial Equity Incentives
TL;DR
The results show that digital transformation significantly improves accounting information quality, while managerial equity incentives exert a negative moderating effect, indicating that higher managerial shareholding weakens the governance effect of digital transformation.
Abstract
: Against the backdrop of the rapid development of the digital economy, digital transformation has become an important pathway for firms to achieve high-quality development. Using a sample of Chinese A-share listed companies from 2011 to 2023, this study examines the impact of digital transformation on accounting information quality and the moderating role of managerial equity incentives. The results show that digital transformation significantly improves accounting information quality, while managerial equity incentives exert a negative moderating effect, indicating that higher managerial shareholding weakens the governance effect of digital transformation. Further analysis reveals that the positive effect of digital transformation on accounting information quality is more pronounced in non-high-tech firms and firms located in non-eastern regions. This study provides new empirical evidence on the governance effects of digital transformation and offers implications for firms to improve equity incentive mechanisms and for governments to formulate differentiated policies.