Leveraging green artificial intelligence for green competitive advantage: testing a mediated moderation model

Abstract

Purpose

In today’s competitive business landscape, organizations are increasingly recognizing the strategic advantage of implementing sustainable practices to gain a competitive edge. This study aims to investigate the effect of green artificial intelligence (AI) on achieving a green competitive advantage, examining the mediating roles of green organizational learning, green product innovation and green process innovation. Additionally, the research explores the moderating role of perceived green climate in the relationship between green AI and these mediating factors.

Design/methodology/approach

This research examined companies in Isfahan, Iran, that have varying levels of artificial intelligence adoption within their business processes. The target population consisted of 148 senior managers from these companies. This study uses structural equation modeling to examine the proposed model.

Findings

Green AI positively impacted green organizational learning and green process innovation but not green product innovation. In addition, the results showed that green organizational learning, green product innovation and green process innovation had positive effects on green competitive advantage. Finally, the results showed that the perceived green climate did not play a moderating role in the relationship between green AI and these mediating factors.

Practical implications

Organizations should prioritize green AI initiatives, foster a culture of green learning and invest in green innovation to achieve sustainable growth and outpace competitors in the environmentally conscious marketplace.

Originality/value

This study positions itself at the forefront of research on green AI and green competitive advantage. It offers a unique framework by examining the combined effects of green AI, green learning and both product and process innovation on achieving a sustainable competitive advantage.

Citation

Salehzadeh, R., Javani, M. and Esmailian, H. (2024), "Leveraging green artificial intelligence for green competitive advantage: testing a mediated moderation model", The TQM Journal, Vol. ahead-of-print No. ahead-of-print. https://doi.org/10.1108/TQM-04-2024-0152