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Boosting Innovation Performance through Big Data Analytics Powered by Artificial Intelligence Use: An Empirical Exploration of the Role of Strategic Agility and Market Turbulence

Author

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  • Omar. A. Alghamdi

    (Business Administration Department, Applied College, Najran University, Najran 55461, Saudi Arabia)

  • Gomaa Agag

    (Nottingham Business School, Nottingham Trent University, Nottingham NG11 8NS, UK
    Marketing Department, Faculty of Commerce, University of Sadat City, Sadat City 32897, Menofia, Egypt)

Abstract

Scholars and practitioners have paid attention to the critical role of big data analytics driven by AI in enhancing business performance. However, firms investing in big data analytics often fail to achieve those advantages. Our research explores the critical role played by strategic agility and market turbulence on the link between big data analytics driven by AI and innovation performance. Based on dynamic capabilities view, we developed an integrated model to examine the relationship between our study variables. We utilized a quantitative approach to collect data from manufacturing companies in Saudi Arabia. We employed structural equation modelling (SEM) through AMOS 26.0 to analyze and test the study hypotheses. Our findings indicated that big data analytics driven by AI have a significant impact on strategic agility and innovation performance. It also revealed that strategic agility mediates the relationship between big data analytics driven by AI and innovation performance. The results also showed that higher levels of market turbulence are associated with more robust connections between big data analytics, strategic agility, and innovation performance. Our work provides managers with meaningful implications on the value that organizations can create through the use of big data analytics and strategic agility.

Suggested Citation

  • Omar. A. Alghamdi & Gomaa Agag, 2023. "Boosting Innovation Performance through Big Data Analytics Powered by Artificial Intelligence Use: An Empirical Exploration of the Role of Strategic Agility and Market Turbulence," Sustainability, MDPI, vol. 15(19), pages 1-19, September.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:19:p:14296-:d:1249256
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