In What Ways Does Artificial Intelligence Support Managers to Pursue Business Model Innovation?
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Abstract
Artificial Intelligence (AI) has significantly influenced various aspects of business processes, including its role in fostering innovation. However, how AI supports managers in innovating business models and the specific impacts of AI adoption on each element of the business model remain underexplored. This study addresses this gap by focusing on how AI enables business model innovation and affects individual components of the business model. Using a qualitative single-case study approach, the research generates granular data to examine the interactions between AI and each element of the business model. This fine-grained analysis provides detailed insights into which elements derive the greatest benefits from AI and which offer the most promising opportunities for innovation. For managers, the findings highlight which business model components are likely to yield the highest returns from AI investment. Given that AI is an inherently innovative technology, its implementation must be continuously updated to remain effective. For policymakers, the study offers implications for designing supportive frameworks to encourage AI adoption by businesses—such as subsidies for AI acquisition or tax incentives for small and medium enterprises (SMEs) that integrate AI into their operations.
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