The influence of digital transformation on company performance in the Chinese baijiu industry : mediating role of servitization

In the context of the global economic recession, China's Baijiu industry is facing a decline in output and an increase in sales revenue and profits among leading enterprises. This phenomenon highlights the essential need for digital transformation in enhancing performance. This research examines the correlation among digital transformation, servitization, and company performance, presenting a theoretical framework comprising four assumptions. This study collected data from 515 employees in 50 Baijiu companies in Sichuan Province, each with an annual output value exceeding $2.85 million. This study performed reliability and validity assessments, confirmatory factor analysis, and regression analysis using SPSS and AMOS software to validate the proposed model. The results indicate that digital transformation enhances enterprise performance by boosting efficiency and reducing costs, while servitization plays a mediating role, amplifying these benefits. These findings suggest that Baijiu companies should prioritize service-oriented strategies alongside digital innovations to achieve long-term success. By leveraging the synergies between digital transformation and servitization, enterprises can strengthen competitiveness and navigate economic challenges effectively. This study provides a strategic roadmap for Baiiiu companies to optimize their performance in an increasingly digitalized market environment. Keywords : Digital Transformation, Company Performance, Servitization, Chinese Baijiu Industry