The role of ethics in adoption of artificial intelligence and impact on organisational sustainable performance

Fengshou Qian

International Journal of Applied Systemic Studies, 2025, vol. 12, issue 4, 391-404

Abstract: AI improves operational efficiency, innovation, and decision-making processes in firms. However, ethical considerations are crucial to prevent biases, discrimination, and misuse of data. Integrating ethical AI practices not only sustains societal values but also advances trust among distinct stakeholders that eventually may optimise firm performance in a promptly evolving digital world. The present study reveals the nexus among artificial intelligence (AI), ethics, and firm sustainable competitive performance (SCP) in the developing market, China. First, it is investigated that incorporating AI into business operations (i.e., machine learning, natural language processing, reinforcement learning, predictive analytics, generative adversarial networks, AI-powered automation, personalisation algorithms, and robotic process automation) positively impacts organisational SCP. This study has also proven the moderating role of ethics between the correlation of AI and SCP.

Keywords: artificial intelligence; AI; ethical compliance; sustainable competitive performance; SCP; structural equation modelling; technology acceptance theory. (search for similar items in EconPapers)
Date: 2025
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