AI-Driven Business Models: Theoretical Foundations and Implications for Strategy, Innovation Management

This monograph offers an analysis of how AI is reshaping core business functions, from strategy formulation to operational execution. Part I reconceptualizes business models in the AI era by exploring the shift from linear value chains to a business as an adaptive learning system. This monograph offers an analysis of how AI is reshaping core business functions, from strategy formulation to operational execution. Structured in five parts, the book frames AI not just as a technological tool but as a transformative institutional logic that redefines how firms create value. Part I reconceptualizes business models in the AI era by exploring the shift from linear value chains to a business as an adaptive learning system. Part II then analyzes the strategic tensions inherent in AI adoption, including the balance between efficiency, innovation, and data governance. Part III highlights new modes of human-AI collaboration, the challenges of algorithmic risk, and the enduring role of human creativity and judgment as strategic assets. Part IV and V address societal and international business perspectives, as well as future directions for research. This book is appropriate for scholars, executives, and policymakers seeking analytical frameworks and insights to navigate the transformations AI brings to strategy, innovation and management.