Digital Transformation of Chain Masters and Local Peers' Resilience——A Textual Analysis Based on Python

This paper explores the impact of the digital transformation of Chain Masters on the resilience of local peer companies, using the A-share listed companies in Shanghai and Shenzhen as a sample from 2009 to 2022. We use textual analysis based on Python to measure the digital transformation of Chain Masters and the findings show that the digital transformation of Chain Masters can significantly enhance the resilience of local peer companies. The mechanism test shows that the digital transformation of CMs can not only enhance their own innovation capabilities, but also improve the resilience of local peer firms by increasing innovation output and efficiency. The additional analysis shows that the digital transformation of Chain Masters located in the upstream has a more significant effect on the resilience of local peer firms, and the positive effect is more significant for firms with a strong uncertainty perception ability and those in bottle-neck industries. This paper enriches the research literature on the resilience of local peer firms from the perspective of digital transformation of Chain Masters, and provides implications for improving the resilience of local peer firms and realizing high-quality sustainable development.