How external factors influence organisational digital innovation: Evidence from China

Although the digital economy has developed remarkably in recent years, the - motivation for organisational digital innovation is still lacking, and the existing data market size is far below its real value. Most previous studies proposed factors influencing digital innovation mainly from an organisational perspective, and the impact of external environmental factors has been ignored to a certain extent. To explore the impact of external factors such as digital infrastructure and the regulatory environment, this study surveyed a sample of 346 enterprises in China operating in both the core industries of digital economy and traditional industries and analysed using SPSS and AMOS. The findings reveal that digital infrastructure and the regulatory environment positively and significantly a digital innovation. The flow of data elements within a digital innovation ecosystem mediates the relationship between external factors and organisational digital innovation. Our findings enrich the theory of digital innovation ecosystems and provide a reference for enterprises to seize external resources, and for policymakers to focus on policies and regulations that facilitate the flow of data. • This study explores the impact of external factors on organisational digital innovation. • Digital infrastructure and the regulatory environment positively affect organisational digital innovation both directly and indirectly. • Data flows within digital innovation ecosystems mediate the relationship between external factors and organisational digital innovation. • Empirical support for the theory of digital innovation ecosystem.