Artificial Intelligence Adoption Decisions in Entrepreneurial Ventures: Drivers and Barriers Through the TOE Framework

This research identifies the determinant of entrepreneurs' adoption decision towards AI in India. It attempts to deepen entrepreneurs' understanding towards the influence of technological, organizational and environmental factors on Artificial Intelligence (AI) adopting decision in India. Based on the theoretical background, research gaps were identified. Primary data were collected from individuals and groups of entrepreneurs engaged in the service, trade, and manufacturing sectors. A Mixed-method approach was used, and data was analysed through exploratory factor analysis (EFA), confirmatory factor analysis (CFA) and structural equation modelling (SEM). This research has explored how entrepreneurs' decisions to adopt AI have significantly been influenced by perceived usefulness, top management, competitive pressure and compatibility. Result contributes relevant findings for policymakers, program implementers, and development practitioners about the strengths and weaknesses of initiatives in entrepreneurship.