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Artificial intelligence in international business: IB theory under augmented decision-making

Year: 2025

Type: article

Abstract: This paper discusses the impact of artificial intelligence (AI) on decision-making in multinational enterprises (MNEs) and its theoretical implications for international business (IB) research. Building on the concept of bounded rationality, we analyze how AI affects biases and heuristics that drive human decision-making and identify new, AI-specific biases that could distort decision-making outcomes in MNEs. We propose that AI-augmented decision-making will alter the behavioral assumptions underlying established IB theories, requiring a reevaluation of these theories’ boundary conditions. By addressing these shifts, the paper contributes to updating IB research to the realities of AI-augmented decision landscapes.

Source: Journal of World Business

DOI: 10.1016/j.jwb.2025.101676

Authors: Thomas Lindner, Jonas Puck, Harald Puhr

Institutions: Vienna University of Economics and Business, Copenhagen Business School, Universität Innsbruck

Language: English

Topic: International Business and FDI

Subfield: Strategy and Management

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: hybrid

Estimated APC paid: $4,750

OpenAlex ID: W4413900233

FWCI: 12.53

Cites: 122

Cited by: 14

Related to: 10