Economics of AI and Sustainability in Industry 5.0: Quest for Entrepreneurial and Organizational Intelligence Under Creative Destruction

Industry 5.0, deploying artificial intelligence (AI) at its core, reframes industrial evolution from a predominantly technology- and efficiency-driven innovation model toward a virtuously human-centric, sustainable, and resilient model of value creation by organizations. This review paper, based on an interdisciplinary literature review, explores how AI, within the Industry 5.0 paradigm, reshapes economic logics, the understanding of information asymmetry, and sustainability trajectories, and the implications for entrepreneurial strategy and business model innovation, which demand the development of a new form of organizational intelligence. While the literature suggests that AI, when deployed within a mature Industry 5.0 framework, could generate synergistic economic and sustainability values through circular, human-centered, and digitally augmented systems, human–AI co-intelligence gains are contingent on insights that address systems quality, reskilling, ethics, and reorienting resources from overly short-term profit maximization toward wisdom for long-term socio-ecological, climate resilience, and ESG performance. This study introduces a framework for tackling organizational sustainability dynamics, anticipating the emergence of new industries and the retransformation of enduring ones amid creative destruction in the AI era. Future studies to fill knowledge gaps and implications for human competencies that will enhance organizational intelligence are articulated.