Impact of ICT on Innovation Performance : Evidence from Public-Traded SOEs in China

In contrast to the traditional view, scholars have recently argued that contemporary state-owned enterprises (SOEs) in the 21 st century can be effective innovators. After an extensive literature review, we develop a hypothesis that the use of information and communication technology (ICT) has a positive impact on the innovation performance of Chinese SOEs. Utilising firm-level data of public traded Chinese SOEs from 2011 to 2018, and generalized difference-in-differences and panel data regression models, we find statistically significant results showing that the Chinese SOEs increase innovation performance through the use of ICT. Based on the results, we conclude that the use of ICT by Chinese SOEs has a positive impact on their innovation performance