Abstract: Digitization has blurred industry boundaries and promoted industrial integration. Many enterprises choose to gain competitive advantages through cross-border integration of multiple business models. However, existing researches lack a systematic analysis of its driving factors and formation paths. This paper first uses classical grounded theory to extract the driving factors for cross-border integration of business models in the context of digital transformation, and then uses a combination of NCA and fsQCA methods to configure and analyze these factors, in order to explore the formation path and mechanism of cross-border integration of business models in the context of digital transformation. The findings are as follows. (1) The cross-border integration of business models in the context of digital transformation is influenced by resource and capability factors such as unabsorbed slack resources, cross-border knowledge search and digital technology embedding, external environment insight, organizational coordination flexibility and employee skill malleability; (2) The above six factors cannot constitute the necessary conditions for cross-border integration of business models, but improving external environmental insight and cross-border knowledge search level plays a relatively universal role in achieving cross-border integration of business models; (3) There are four groupings that drive the cross-border integration of business models, which can be categorized as stepby-step, employee-technology matching, rapid advancement, and flexible response based on the extension of employees' skills, led by the dual elements of cross-border knowledge resources and environmental insights. The research conclusion provides systematic thinking and useful insights for enterprises on how to achieve cross-border integration of business models in the context of digital transformation.

Key words: digital transformation, cross border integration of business models, classical grounded theory, NCA, fsQCA