Digital Media's Impact on Corporate Innovation in China's Innovation-Driven Strategy

Under China's national development concept of "innovation-driven development strategy", the emergence of digital media sources has overturned the traditional media landscape and information dissemination channels, which will certainly have a significant impact on corporate innovation. In this paper, we use media as a measure of Internet media information reports to examine the intrinsic mechanism of digital media information transmission affecting enterprise innovation. The study finds that digital media information dissemination significantly contributes to corporate innovation. The mechanism analysis shows that the core of digital media information dissemination for corporate innovation lies in the supervisory governance effect. This is demonstrated by the fact that digital media information dissemination helps to improve corporate governance and reduce agency conflicts. Heterogeneity analysis shows that digital media dissemination has a stronger effect on promoting innovation in firms with low information transparency and high opinion pressure, influenced by reputation incentives. This paper contributes to a deep and comprehensive understanding of the role of media in capital markets in the Internet environment and has important policy implications.