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Anna Lindh Foundation

Unlocking Sustainable Growth: The Role of Artificial Intelligence Adoption in Jordan Retail Sector, Moderated by Entrepreneurial Orientation
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Author: Nancy Al-Ramahi1 , Fuad M. Kreishan2 , Zahid Hussain3 , Arman Khan4 , Mahmoud Alghizzawi5 *, Belal Mahmoud AlWadi6
Publisher: International Review of Management and Marketing
Year of Publication: 2024
Abstract

Although businesses are under pressure to consistently improve both their capacities and business processes, the artificial intelligence (AI) revolution is increasingly seen as a strategic approach that has garnered global attention. By offering enhanced organizational structures, AI has the potential to significantly transform business operations, improve decision-making, and reduce the adverse effects of external shocks. Beyond operational efficiency, AI adoption can contribute to improving the socioeconomic conditions of a region and positively influence both the social value and economic sustainability of organizations. Despite its potential, few recent studies have examined the role of AI in supporting businesses across different stages of development and sustainability, particularly in the retail sector. Moreover, there is limited empirical evidence demonstrating how various modern AI technologies can be leveraged to enhance organizational performance in this context. To address this gap, the present study investigates the moderating effect of entrepreneurial orientation on the relationship between AI adoption and business performance. A theoretical framework was developed based on the Resource-Based View (RBV) and Dynamic Capability View (DCV), complemented by a comprehensive review of the literature. Data were collected through a structured survey of 311 respondents from the retail sector in Amman, Jordan, and analyzed using the Partial Least Squares Structural Equation Modeling (PLS-SEM) approach. The results indicate that the retail sector should adopt socially responsible and economically sustainable AI strategies to maximize positive impacts. Furthermore, the findings reveal that entrepreneurial orientation plays a moderate but significant moderating role in enhancing the relationship between AI adoption and organizational performance. These insights provide valuable implications for policymakers and business leaders aiming to integrate AI for sustainable and socially responsible growth.

Keywords: Sustainability, Entrepreneurship, Economic Benefits, Entrepreneurial Orientation, Social Benefits JEL Classifications: L, M

Countries

Jordan
Region

Southern and Eastern Mediterranean

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