Using a firm-level dataset of Chinese listed companies, this paper studies the effect of “Internet Plus” on stock price crash risk. The paper finds that the implementation of “Internet Plus” by traditional enterprise significantly increases stock price crash risk. “Internet Plus” increases a company's inherent risks and the motivation for managers to hide bad news, and thereby further increases stock price crash risk. Moreover, the positive impact of “Internet Plus” on stock price crash risk is less pronounced for private companies compared with that for state-owned enterprises, and survived after the endogeneity tests. This study enriches the research on the economic consequences of “Internet plus” and the factors affecting stock price crash risk, thereby contributing to efforts to understand “Internet plus” and control its risks
