Companies, performance and markets: changes brought on by digital transformation

The project aims to identify mechanisms underlying successful digital transformation in companies and to determine how digitalisation affects business performance and market dynamics. The goal is to provide policymakers with a basis for evidence-based policy recommendations.

  • Project description

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    We will address the following questions:

    • What is the status of the digital transformation in Swiss companies? What processes and competencies are they using to adapt to the digital transformation?
    • What impact does digital transformation have on company performance?
    • What are the consequences for market dynamics? Are digital technologies altering competition?

    To answer these questions, we are using a selection of qualitative methods such as interviews and data-based statistical procedures to obtain a holistic overview of the complex digital transformation phenomenon.

    To this end, the Chair of Strategic Management and Innovation and the Innovation Economics Research Division of the Swiss Economic Institute at the Department of Management, Technology, and Economics at ETH Zurich are working together.

  • Background

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    The changes associated with digital transformation can lead to a polarisation of corporate performance and to significant socio-economic changes in markets, among other things due to the modified distribution of economic performance. The project will record these developments for Switzerland and will identify evidence-based, effective strategies and basic principles required by management and political decision-makers for organisational measures.

  • Aim

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    The objectives of the project are the following:

    1. We will establish a representative database regarding the introduction and application of digital technologies.
    2. We will investigate the effects of digital transformation on business performance, taking into account market dynamics.
    3. Using case studies, we will perform a detailed investigation into companies’ internal mechanisms underlying these results.
    4. Our project will provide implications for policy and strategy design.
  • Relevance

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    The project complements existing findings on digital transformation and provides an integrated view of its impact on organizations and market dynamics in Switzerland. New evidence-based findings will help broaden our understanding of change processes and subsequently guide and support them with evidence-based policy measures. Our interdisciplinary project enables comprehensive knowledge transfer with investigators and policy makers.

  • Original title

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    Digital transformation: how it changes organizations, performance, and markets – a multi-level analysis