Artificial Intelligence to Business Performance: A Mediation Model of Technology Adoption Readiness and Corporate Governance

Abstract

Over time, the contribution of artificial intelligence to industry and the economy has been steadily increasing. AI has greatly revolutionised business management and operations, which is crucial in improving corporate governance and business performance. This research paper analyses AI's contribution to technology adoption readiness, corporate governance, and its impact on improving business performance. To illustrate the usability of stakeholder theory, resource-based view theory, and technology acceptance model theory, this research is centred on management and corresponding business performance variables. Based on SmartPLS, responses from 560 managers and executives operating in the ready-made garment industry in Lahore, Pakistan, were analysed. A positive relationship was found to exist among technology adoption readiness, business performance, corporate governance, and the use of artificial intelligence. The findings provide applicable research recommendations for sustainable businesses.