Digital Transformation as A Strategic Lever in Sustainable Finance: A Comparative Study of Goldman Sachs and Morgan Stanley

Xinzhi Chen

doi:10.54097/bmsr3d43

Authors

Xinzhi Chen

DOI:

https://doi.org/10.54097/bmsr3d43

Keywords:

Digital transformation, Goldman Sachs, Morgan Stanley, AI.

Abstract

The aim of this study was comparatively exploring digital transformation as a strategic lever in sustainable finance using Goldman Sachs and Morgan Stanley as case studies. The study leveraged thematic analysis of secondary information and comparative case study to explore digital transformation as a strategic lever in sustainable finance using Goldman Sachs and Morgan Stanley as case studies. Findings show that Goldman Sachs and Morgan Stanley applies digital innovations such as AI and blockchain to address ESG commitments. However, the two companies differ in their approaches and scope. This shapes strategic competitive positioning and industry-wide innovation. In particular, Goldman Sachs applies AI chatbots to personalise financial savings solutions to customers while Morgan Stanley has adopted real-time algorithmic digital solutions to help recommend sustainable investment portfolios. This shows that digital innovations are significant in allowing financial organisations to strategically position and differentiate in the financial sector. The major contribution of this study is availing a comparative insight into how financial organisations leverage digital innovations to provide sustainable finance solutions and satisfy consumers’ demands.

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