Artificial Intelligence Adoption and Business Performance: The Mediating Role of Sustainable Competitive Advantage in the Food and Beverage Industry
Keywords:
artificial intelligence, business performance, sustainable competitive advantage, food and beverage industryAbstract
This research aims to analyze the impact of adapting Artificial Intelligence (AI) on business performance with mediating sustainable competitive advantage (SCA)in the Food and Beverage (F&B) industry located in West Jakarta. The population was all F&B companies in West Jakarta. The sample includes 120 respondents selected with purposive sampling, with criteria including respondents who understand and have adopted AI in their business operations for a minimum of three years. The data used Likert-scale questionnaires adapted from previously validated and reliable instruments. Data analysis using SEM by SmartPLS software. The results indicate that adapting AI has a positive but insignificant effect on the business performance of F&B companies in West Jakarta. Additionally, the study found that adapting AI has a positive and significant impact on sustainable competitive advantage, which in turn has a positive and significant effect on business performance. Mediation analysis revealed that sustainable competitive advantage mediates the relationship between adapting AI and business performance. This suggests that adapting AI does not directly affect business performance but rather indirectly through sustainable competitive advantage. Sustainable competitive advantage directly influences business performance. The conclusion of this research is that adapting AI is a crucial strategy for improving business performance through sustainable competitive advantage in the F&B industry in West Jakarta. Companies that invest in AI technology and integrate it into their business strategies have the potential to achieve superior performance by maintaining their sustainable competitive advantage in the long term.
References
Al-Dmour, H., & Abbod, M. (2018). The Influence of E-marketing Knowledge, Usage and Strategic Objectives on SMEs Performance. International Journal of Customer Relationship Marketing and Management (IJCRMM), 9(1), 15-31.
Chen, Y. L. (2022). Building sustainable competitive advantage through organisational learning. Journal of Business Strategy, 43(5), 331-340.
Davenport, T. H., & Ronanki, R. (2018). Artificial intelligence for the real world. Harvard Business Review, 96(1), 108-116.
Garcia, A., & Pereira, J. (2022). Sustainable development goals drivers and impacts on firm performance: A quantitative approach. Journal of Cleaner Production, 338, 130566.
Haque, A. (2024). Artificial intelligence (AI) adoption in the banking sector: evidence from a developing country. International Journal of Emerging Markets, 19(1), 1-24.
Hsu, C. L., & Wang, C. H. (2023). Factors influencing consumers’ intentions toward AI-powered personalized services. Journal of Retailing and Consumer Services, 70, 103132.
Kumar, S., Anjum, M., & Rahman, Z. (2023). Impact of big data analytics capability on supply chain performance: The mediating role of sustainable innovation. Production Planning & Control, 34(10), 973-989.
Kumar, V., Petersen, J. A., & Mishra, S. (2023). Building sustainable customer loyalty: A comprehensive framework. Journal of the Academy of Marketing Science, 51(4), 603-624.
Lee, J. N., & Kim, S. (2023). Antecedents and Consequences of Artificial Intelligence Adoption in Tourism. Information Systems and e-Business Management, 21(2), 701-733.
Li, C. Y., & Liu, C. H. (2023). Effects of AI capabilities on firm performance in the digital economy. Total Quality Management & Business Excellence, 34(9-12), 1143-1162.
Martínez-Ruiz, M. P., Soriano-Romero, A., & Munuera-Alemán, J. L. (2022). Antecedents of sustainable competitive advantage in SMEs: A comparative study in Spain. Business Strategy and the Environment, 31(2), 538-552.
Martins, A., Gonçalves, F., Pereira, J., Ferreira, J. J., & Amaral, F. (2022). Exploring the adoption of artificial intelligence in hospitality. International Journal of Contemporary Hospitality Management, 34(2), 603-624.
Mikalef, P., & Gupta, M. (2021). Artificial intelligence capabilities: A meta-analysis of their impact on organizational performance. Information & Management, 58(5), 103430.
Mikalef, P., Boura, M., Lekakos, G., & Krogstie, J. (2021). Big data analytics and firm performance: The mediating role of business process agility. International Journal of Information Management, 60, 102383.
Mittal, S., & Prasad, A. (2022). A resource-based view of artificial intelligence and the transformation of marketing. Journal of Business Research, 148, 337-347.
Nambisan, S., Siegel, D. S., & Kenney, M. (2023). The impact of digital innovation on the performance of digital platform ecosystems. Academy of Management Perspectives, 37(1), 100-116.
Nguyen, Q. A., Nguyen, H. T., Tran, T. T., & Nguyen, B. H. (2023). The influence of dynamic capabilities on firm performance: A meta-analysis. Journal of Business Research, 160, 113747.
Porter, M. E., & Heppelmann, J. E. (2022). How smart, connected products are transforming competition. Harvard Business Review, 92(11), 96-114.
Salamah, I. (2023). The Effect of Entrepreneurial Orientation on Firm Performance with Open Innovation as Mediation. International Journal of Social Science and Business Research, 1(1), 1–14.
Sekaran, U., & Bougie, R. (2016). Research Methods for Business: A Skill-Building Approach. John Wiley & Sons.
Singh, R. K., Rao, K. M., & Mehta, D. (2023). Does AI integration lead to improved operational responsiveness? International Journal of Operations & Production Management, 43(13), 374-406.
Teece, D. J. (2018). Profiting from innovation in the digital economy: Standards, strategic direction, and business models in the shadow of Schumpeter. Research Policy, 47(8), 1387-1393.
Verhoef, P. C., Kooge, E., & Walk, N. (2021). Assessing the impact of marketing technologies on customer engagement: Theoretical foundations and research directions. Journal of Interactive Marketing, 56, 1-22.
Wang, C. H., & Chen, C. W. (2022). How AI capabilities enhance the development of new products: The roles of ambidextrous knowledge and organizational agility. Technological Forecasting and Social Change, 180, 121703.
Wang, Y., & Zhang, M. (2022). Artificial intelligence and sustainable competitive advantage: The mediating role of ambidextrous innovation. Technological Forecasting and Social Change, 182, 121810.
Zhang, Y., Xiao, J., Zhao, J., & Chen, C. (2023). The Impact of AI Adoption on Enterprise Innovation Performance: Evidence from China. Sustainability, 15(4), 3520.
Zhou, L., & Li, Y. (2022). How does big data analytics affect the sustainability of competitive advantage: The mediating role of organizational agility and innovation. Journal of Business Research, 145, 80-91.
Zhou, X., Hong, J., & Liu, Z. (2024). Data-Driven Decision Support for Sustainable Supply Chain Management: An Artificial Intelligence Framework. Industrial Management & DataSystems, 124(1), 1-20.
Published
How to Cite
Issue
Section
Copyright (c) 2025 Rodhiah Rodhiah, Tasya Aspiranti , Ima Amaliah, Nunung Nurhayati

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



