The impact of artificial intelligence adoption on firms' innovation performance in the digital era: based on dynamic capabilities theory
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Keywords

AI Adoption
Innovation Performance
Organizational Learning Capability
Environmental Dynamism
Dynamic Capability Theory

How to Cite

Li, K., Cai, Y., Pei, Y., & Yuan, C. (2025). The impact of artificial intelligence adoption on firms’ innovation performance in the digital era: based on dynamic capabilities theory. International Theory and Practice in Humanities and Social Sciences, 2(3), 228–237. https://doi.org/10.70693/itphss.v2i3.343
Received 2025-01-08
Accepted 2025-01-16
Published 2025-03-17

Abstract

Based on dynamic capability theory, this study investigates the mechanism through which artificial intelligence (AI) adoption affects firm Using panel data from 634 Chinese listed manufacturing firms during 2018-2023, we find that: (1) AI adoption has a significant positive effect on firm innovation performance; (2) organizational learning capability partially mediates the relationship between AI adoption and firm innovation performance. positive effect on firm innovation performance; (2) organizational learning capability partially mediates the relationship between AI adoption and innovation performance; (3) environmental dynamism positively moderates the relationship between AI adoption and organizational learning capability, such that the positive effect of AI adoption and organizational learning capability is not only on firm innovation performance, but also on firm innovation performance. capability, such that the positive effect of AI adoption on organizational learning capability becomes stronger when environmental dynamism is higher. This study not only enriches the application of dynamic capability theory in the context of digital transformation but also provides important implications for firms to implement AI. This study not only enriches the application of dynamic capability theory in the context of digital transformation but also provides important implications for firms to implement AI strategy and enhance innovation capability.

https://doi.org/10.70693/itphss.v2i3.343
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References

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Creative Commons License

This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

Copyright (c) 2025 KaiFei Li (Author); YuLe Cai, YuTing Pei, ChunHong Yuan (Co-Authors)

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