Artificial Intelligence Competencies Innovation

Abstract

The swift growth of digital commerce has heightened rivalry among online enterprises, necessitating the development of sophisticated technological and organizational competencies to maintain performance. This research investigates the impact of of artificial intelligence (AI) competencies, firm innovativeness, and organizational agility on the performance of e-commerce businesses in El Oued, Algeria. A quantitative research design was employed to collect data via a structured survey administered to 123 e-commerce practitioners in the region. The gathered data were examined utilizing SPSS version 29 for descriptive statistics and preliminary analysis, and SmartPLS 4 for structural equation modeling to evaluate the proposed correlations. The findings demonstrate that AI competencies, and organizational agility have a significant positive effect on firm performance. However, firm innovativeness was insignificant. The findings indicate that e-commerce enterprises that proficiently cultivate AI capabilities, promote creative practices, and sustain organizational agility are more likely to enhance operational efficiency, react to market fluctuations, and attain superior performance outcomes. This study enhances the literature by synthesizing technological and organizational skills into a cohesive framework to elucidate e-commerce business performance in a nascent digital economy. The findings offer significant insights for managers and policymakers aiming to enhance the technology preparedness and strategic competencies of e-commerce businesses in Algeria.