Theoretical Foundations of AI Transformation in Business Education

This chapter proposes a theoretical framework for AI integration in business education by synthesizing transformational learning, sociotechnical systems, dynamic capabilities, and competency evolution theories. While 78% of business schools report AI initiatives, only 28% of studies demonstrate adequate theoretical grounding. The Natural Business Learning Framework addresses this gap by integrating individual transformation, institutional adaptation, and human-AI collaboration principles. Key contributions include extending transformational learning theory for AI contexts and identifying business school-specific dynamic capabilities. Empirical validation across diverse contexts, development of assessment instruments, and longitudinal outcome studies remain necessary to establish framework effectiveness.