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AI adoption and firm innovation under uncertainty: The mediating role of organizational resilience

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  • Jervier, Tichinah
  • Lin, Min

Abstract

With the rapid development of the digital economy, artificial intelligence (AI) has become a key driver of enterprise innovation. Taking Chinese biopharmaceutical enterprises as the research object, this study uses panel data from 2007 to 2024 (4,618 valid observations) and the Difference-in-Differences (DID) method to empirically explore the impact of AI adoption on enterprise innovation performance, as well as the mediating role of organizational resilience and heterogeneous effects. The results show that AI adoption significantly promotes the innovation performance of biopharmaceutical enterprises. Organizational resilience plays a partial mediating role between AI adoption and innovation performance, meaning AI can indirectly enhance innovation by improving organizational resilience. Heterogeneity analysis reveals that the innovation effect of AI adoption is more significant in state-owned and high-tech biopharmaceutical enterprises. Robustness tests (parallel trend test, placebo test, PSM-DID) confirm the reliability of the conclusions. This study enriches the literature on digital transformation and enterprise innovation and provides actionable insights for biopharmaceutical enterprises to leverage AI for sustainable development and for policymakers to formulate targeted digital policies.

Suggested Citation

  • Jervier, Tichinah & Lin, Min, 2026. "AI adoption and firm innovation under uncertainty: The mediating role of organizational resilience," Economic Analysis and Policy, Elsevier, vol. 91(C), pages 1685-1701.
  • Handle: RePEc:eee:ecanpo:v:91:y:2026:i:c:p:1685-1701
    DOI: 10.1016/j.eap.2026.06.007
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