ARTIFICIAL INTELLIGENCE AND DIGITAL TRANSFORMATION AS DRIVERS OF CORPORATE INNOVATION IN THE GLOBAL AUTOMOTIVE INDUSTRY

Abstract

This study investigates how AI-driven digital transformation shapes innovation performance in the global automotive industry. As the sector undergoes rapid technological disruption, the research examines how different dimensions of digital transformation—AI applications, depth, and breadth of digital integration—influence firms’ innovation capabilities and outcomes. Using Innovation Performance as the dependent variable, the study assesses how effectively digital initiatives generate competitive advantages. It further introduces Digital Capabilities as a mediating variable, arguing that stronger digital resources enhance the impact of AI and digital transformation on innovation. Firm Size functions as a moderating variable, evaluating how organizational scale shapes these effects. To control for external influences, factors such as Industry Type, Market Competition, Regulatory Policies, and Technological Progress are included. The findings contribute to understanding how AI and digitalization jointly transform innovation mechanisms in automotive enterprises, offering empirical insights and strategic implications for enhancing corporate competitiveness in a technology-driven era.