Research on the impact of artificial intelligence on corporate sustainability performance and its mechanisms: an empirical analysis based on text analysis

Abstract

Abstract In the context of booming digital economy, artificial intelligence (AI), as a future-oriented strategic technology, opens up new research perspectives for the exploration of sustainable development strategies. This study utilizes text analysis method to construct measurement index of AI, combines social and environmental performance and financial performance to comprehensively measure sustainable development performance (TDP), and explores impact of AI on TDP of enterprises from the theoretical and empirical levels. It is found that (1) the improvement of AI plays a positive and facilitating role in increasing enterprise TDP, and conclusion remains consistent after the robustness test. (2) Mechanism test finds that AI improves firms’ TDP mainly through two pathways: green innovation (Gin) and dynamic capabilities. (3) The heterogeneity test shows that AI positively affects firms’ TDP to a greater extent in the high-tech industry and in eastern region compared to central and western regions and non-high-tech industries. (4) The increase of market incentive-based environmental regulation shows a significant positive moderating effect on AI affecting firms’ TDP. We reveal impact and mechanism of AI on TDP, which provides new empirical evidence for China to carry out the AI era and enterprises to realize sustainable development.

Keywords

• Artificial intelligence
• Green innovation
• Dynamic capabilities
• Sustainable development performance
• Market-incentivized environmental regulation
• Textual analysis methodology