How does digital transformation affect the total factor productivity of China's A-share listed enterprises in the mineral resource-based sector?

In light of the escalating constraints on resources and the complexities of sustainable development, the conventional extensive production approaches employed by mineral resource-based enterprises are ill-suited to fulfill the demands for efficient and eco-friendly operations. Such circumstances call for the adoption of novel development paradigms that promote sustainable practices. Particularly, the digital transformation has become a pivotal pathway towards the realization of high-quality development within the context of the ongoing technological revolution and the shift in economic frameworks. Based on the comprehensive dataset of the annual reports and input-output data of Chinese A-share listed enterprises between 2009 and 2021, this study seeks to examine the net impact and potential channels through which digital transformation affects the total factor productivity of these specific enterprises. The empirical results confirm the promoting effect of digital transformation on enterprises' total factor productivity. This highlight persists valid after a series of thorough robustness checks. Notably, this beneficial role can be achieved by the enhancement of corporate capabilities, the mitigation of financial constraints, and the improvement of economic advantages. And the heterogeneity in this promoting effect is evident across enterprises with different characteristics. The positive moderating influence of government competitions in this context is a factor that warrants consideration. Thereby, the research highlights not only furnish a rigorous scientific foundation and direction guide for the strategic formulation of mineral resource-based enterprises, but also proffer critical insights for policymakers to accelerate the modernization endeavor of resource-based cities as well as entire regional domains.