The Impact of Artificial Intelligence on Firm Performance: An Application of the Resource-Based View to e-Commerce Firms

Donghua Chen; José Paulo Esperança; Shaofeng Wang

doi:10.3389/fpsyg.2022.884830

The Impact of Artificial Intelligence on Firm Performance: An Application of the Resource-Based View to e-Commerce Firms

Front Psychol. 2022 Apr 7:13:884830. doi: 10.3389/fpsyg.2022.884830. eCollection 2022.

Authors

Donghua Chen¹, José Paulo Esperança², Shaofeng Wang^{1

3}

Affiliations

¹ School of Logistics and e-Commerce, Zhejiang Wanli University, Ningbo, China.
² ISCTE Business School, BRU-IUL, University Institute of Lisbon, Lisbon, Portugal.
³ Smart Learning Institute, Beijing Normal University, Beijing, China.

Abstract

The application of artificial intelligence (AI) technology has evolved into an influential endeavor to improve firm performance, but little research considers the relationship among artificial intelligence capability (AIC), management (AIM), driven decision making (AIDDM), and firm performance. Based on the resource-based view (RBV) and existing findings, this paper constructs a higher-order model of AIC and suggests a research model of e-commerce firm AIC and firm performance. We collected 394 valid questionnaires and conducted data analysis using partial least squares structural equation modeling (PLS-SEM). As a second-order variable, AIC was formed by three first-order variables: basic, proclivity, and skills. AIC indirectly affects firm performance through creativity, AIM, and AI-driven decision making. Firm creativity, AIM, and AIDDM are essential variables between AIC and firm performance. Innovation culture (IC) positive moderates the relationship between firm creativity and AIDDM as well as the relationship between AIDDM and firm performance. Environmental dynamism (ED) positive mediates the connection between AIM and AIDDM. Among the control variables, firm age negatively affects firm performance, and employee size does not. This study helps enterprises leverage AI to improve firm performance, achieve a competitive advantage, and contribute to theory and management practice.

Keywords: PLS-SEM; artificial intelligence capability; driven decision making; environmental dynamism; firm creativity; firm performance; innovative culture; resource-based view.