Page 255 - Ebook HTKH 2024

2. Review of literature and hypothesis development
The COVID-19 pandemic has heightened recognition of the factors influencing

firm performance (Kells, 2020; Obrenovic et al., 2020). A notable positive outcome
stemming from the responses to this crisis has been the swiftness with which numerous
firms have adapted their operations, harnessing technology and exploring new revenue
avenues to enhance efficiency (Obrenovic et al., 2020).
The COVID-19 pandemic has acknowledged the interdependence between
companies and the broader environment, including their reliance on government
assistance. May and Mackin (2020) contend that sizable corporations with adept
leadership and affluent proprietors should be subject to greater scrutiny and

accountability when seeking government-backed aid. The intricate relationship between
public administration reform and corporate technology investment in Vietnam,
especially during COVID-19, has become a subject of heightened questions. This
literature review synthesizes vital insights and findings from existing research on public
administration reform and corporate technology investment.
2.1. Covid-19 and public administration reform

The COVID-19 pandemic has created unpredictable challenges for public
administration, characterized by volatility, uncertainty, complexity, and ambiguity.
Effective responses by public administrations have been linked to their ability to adapt
and learn from past crises, highlighting the importance of technology investment and a
skilled workforce. Correspondingly, governments in emerging countries have tried to
use information and communication technology to improve government operations and
communication with citizens (Liu and Yuan, 2015). Therefore, knowledge and

competencies in science and technology are crucial for collective well-being, and the
public sector’s digitalization has gained momentum, particularly in streamlining citizen
interactions with government entities.
Furthermore, the pandemic has emphasized the role of government in enhancing
good governance by improving transparency, accountability, efficiency, and
effectiveness. Additionally, the pandemic has underscored the significance of

sustainable and environmentally responsible business practices. It has revealed
vulnerabilities in global supply chains (Hayakawa and Mukunoki, 2021) and
emphasized the importance of environmental consideration in long-term business
strategies (He and Harris, 2020). Therefore, this section aims to investigate prior studies
on public administration reform and corporate technology investment in the post-
pandemic world, recognizing the critical need for sustainable practices in the face of
global crises.
2.2. Public administration reform and corporate technology investment

The effect of provincial environmental governance on corporate operation is a
dynamic interplay of regulations, incentives, resources, and market forces. There are
few studies on environmental governance; for instance, Jaffe and Palmer (1997),
uncover a positive impact of environmental compliance expenditures on R&D
investments in U.S. manufacturing industries. Lanjouw and Mody (1996) highlight a

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