Artificial Intelligence Adoption and Export Performance of Export-oriented SMEs in Coimbatore

Abstract

Artificial Intelligence (AI) has become an important technology for improving business efficiency, supporting innovation, and strengthening competitiveness in global markets. This study examines the relationships among AI adoption, digital transformation capability, and export performance among export-oriented small and medium-sized enterprises (SMEs) in Coimbatore. A quantitative approach with a cross-sectional survey design was employed. Primary data were collected from 120 owners, export managers, and senior executives using a structured questionnaire and purposive sampling. The data were analyzed using descriptive statistics, Pearson correlation, and multiple regression analysis. The results indicated weak relationships among the study variables. AI Adoption had a very weak positive correlation with Export Performance (r = 0.067), while its correlation with Digital Transformation Capability was negligible (r = -0.009). Digital Transformation Capability also showed virtually no correlation with Export Performance (r = -0.001). The regression model explained approximately 0.5% of the variation in Export Performance (R² = 0.005) and was not statistically significant (F = 0.271, p = 0.763). The findings indicate that AI Adoption and Digital Transformation Capability did not significantly predict Export Performance in the selected sample. Other organizational and market factors may therefore contribute more substantially to variation in SME export performance. The study highlights the need for cautious interpretation of technology-related capabilities in the context of export-oriented SMEs.