Configurational Analysis of the Driving Paths of Chinese Digital Economy Based on the Technology–Organization–Environment Framework

Abstract

The purpose of this study was to examine the combinations of factors driving the digital economy and their configurational pathways, based on the Technology–Organization–Environment (TOE) framework. Using data on 31 Chinese provinces, the study integrated the TOE framework with Fuzzy-set Qualitative Comparative Analysis (fsQCA) to examine the digital economy. The results indicate that (a) firms’ digital competence is a necessary condition for the development of the digital economy; (b) four pathways drive high levels of digital economic development and three pathways lead to low levels of digital economic development; and (c) these pathways indicate asymmetry between high and low levels of digital economic development. The findings enhance understanding of the complex interactions of multiple factors driving the digital economy. They also yield policy recommendations for the development of the digital economy.