The Effect of Digital Wave on Industrial Enterprises in China

Abstract

 By exploring how the digital economy impacts industrial enterprises in China, not least how it drives R&D investment in manufacturing and associated mechanisms, this paper reveals that it promotes corporate innovation significantly through enhanced technological diffusion and improved financing accessibility. Additionally, regional disparity analysis illustrates its varying impacts in central and eastern areas. A comparison of pre- and post-pandemic periods further demonstrates its growing prominence in driving R&D. Finally, policy recommendations are presented for furthering the digital economy, including fostering deeper integration of digital technologies with traditional industries, optimizing allocation of digital resources, and encouraging coordinated regional economic development.