1 s2.0 S0148296324006647 Main
1 s2.0 S0148296324006647 Main
A R T I C L E I N F O A B S T R A C T
Keywords: This study examines key reasons (for and against) that influence business-to-business (B2B) managers’ intention
Artificial intelligence to adopt generative artificial intelligence (GenAI). We also investigate how GenAI adoption influences firm
Generative artificial intelligence performance, along with the moderating effect of ethical leadership. Study 1 undertakes a series of in-depth
Generative AI
interviews, yielding a set of hypotheses that are tested in Study 2. A total of 277 responses was collected from
GenAI
respondents in the USA, the UK, Canada, India, Australia, Malaysia, and Japan to test the proposed model using
Adoption
Behavioral reasoning theory structural equation modeling. The findings highlight that need for uniqueness, information completeness, con
Mixed methods venience, and deceptiveness significantly impact GenAI adoption. The results also highlight that GenAI adoption
boosts firm performance. Finally, ethical leadership was found to moderate the effect of GenAI adoption on firm
performance. This study enriches the GenAI, technology adoption, and behavioral reasoning theory literatures
while also providing pertinent insights for firms intending to adopt GenAI.
This article is part of a special issue entitled: ‘Application of Machine Learning and AI in Marketing’ published in Journal of Business Research.
☆
* Corresponding author.
E-mail addresses: aman.kumar20-02@iimv.ac.in (A. Kumar), ashankar@iimv.ac.in (A. Shankar), lindah@sunway.edu.my (L.D. Hollebeek), abhishekbehl27@
gmail.com (A. Behl), lim@wengmarc.com, marcl@sunway.edu.my, wengmarc@asu.edu, marclim@swin.edu.au, wlim@swinburne.edu.my (W.M. Lim).
https://doi.org/10.1016/j.jbusres.2024.115160
Received 4 April 2024; Received in revised form 15 December 2024; Accepted 17 December 2024
Available online 2 January 2025
0148-2963/© 2024 The Author(s). Published by Elsevier Inc. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/).
A. Kumar et al. Journal of Business Research 189 (2025) 115160
days and DALL-E attracting 1 million users in just 2.5 months (Dialpad, managerial GenAI decision-making.
2023), highlighting the relevance of GenAI to multiple stakeholders.
Though the literature suggests that firms will undergo a radical 2. Literature review
transformation in the years to come (Dwivedi et al., 2022), under
standing of the ethical and societal impact of GenAI technologies re 2.1. Generative artificial intelligence
mains tenuous to date (Dwivedi et al., 2023), exposing an important gap
in the literature. For example, to what extent can or should GenAI users GenAI stands as a unique AI sub-category that has gained significant
attribute credit for their work to the technology? While prior researchers attention through platforms like ChatGPT (Lim et al., 2023). Specif
have examined the adoption of different disruptive technologies, ically, the launch of OpenAI’s “Chat Generative Pre-trained Trans
including (traditional) AI (Baabdullah et al., 2021), AI-based customer former” (ChatGPT) in Q4, 2022, marked a milestone in spotlighting AI’s
and partner relationship management (Chatterjee et al., 2021, 2023), capabilities (Lo, 2023; Baidoo-Anu & Ansah, 2023). Overall, GenAI
blockchain (Paul et al., 2022), big data (Wright et al., 2019), e-com stands out as a prime instance of exceptionally promising unsupervised
merce (Hussein et al., 2019), marketing automation (Mero et al., 2020), machine learning (Fui-Hoon Nah et al., 2023).
and social media (Hollebeek, 2019), among others, acumen of GenAI Human-AI collaboration emerges as the linchpin in tackling chal
adoption and its ethical implications, especially among business-to- lenges and capitalizing on the opportunities stemming from GenAI (Ooi
business (B2B) firms, which tend to be overshadowed by business-to- et al., 2023; Hollebeek et al., 2024). With the continuous evolution of
consumer (B2C) firms in business research, remains tenuous to date, GenAI algorithms, there has been a notable rise in chatbot research
as therefore explored further in this article. (Zhang et al., 2024; Jeon et al., 2023). Traditionally, chatbots relied on
Ethical leadership is critical for firms that plan to integrate new Natural Language Processing (NLP) to interpret user queries and match
technology, which may carry specific benefits and risks (Lin et al., them to the most suitable response sets within the system (Kecht et al.,
2020). Specifically, ethical leaders consider the broader implications of 2023). However, chatbots have further advanced by integrating lan
the firm’s technological advancement and the impact on its users guage models and deep learning techniques to offer users instantaneous
(Dwivedi et al., 2023). Making decisions with a strong ethical founda responses, enhancing their ability to handle NLP challenges in real-time
tion ensures that the adopted technology aligns with the firm’s objec while engaging with customers (Fitria et al., 2023).
tives and values while minimizing any negative consequences (Lin et al., GenAI has applications across sectors, including education (Baidoo-
2020). Drawing on behavioral reasoning theory, we consider the Anu & Ansah, 2023), marketing (Kshetri et al., 2023), hospitality (Dogru
moderating role of ethical leadership in the association of B2B man et al., 2023), healthcare (Zhang & Kamel Boulos, 2023), fashion (Harreis
agers’ GenAI adoption and firm performance, augmenting understand et al., 2023), and banking (Sleiman, 2023), among others. However,
ing of the key determinants of GenAI adoption in B2B firms. Addressing despite the rapid advancement of GenAI, prior studies have tended to
these issues, this study seeks answers to the following questions: focus on the customer’s GenAI perspective, largely leaving scholars in
RQ1. What are the key drivers of B2B managers’ adoption of GenAI? the dark regarding the drivers, dynamics, and outcomes characterizing
RQ2. Does GenAI adoption exert a substantial impact on B2B firm managerial GenAI adoption, particularly in B2B firms, as therefore
performance? addressed in this research.
RQ3. How does ethical leadership impact GenAI adoption?
This study makes important contributions to the literature. Collec 2.2. Behavioral reasoning theory
tively, Studies 1 and 2 advance understanding of the drivers, dynamics,
and outcomes characterizing B2B managers’ adoption of GenAI, yielding Behavioral reasoning theory can be used to predict human decision-
pertinent insight into these emerging issues. First, we explore the rea making processes (Westaby, 2005; Westaby & Fishbein, 1996). The
sons (for and against) underlying B2B managers’ adoption of GenAI to theory suggests that motivations underlying human behavior stem from
boost firm performance, reflecting their GenAI mindset and decision- individuals’ ability to rationalize and support their decision-making
making. While a handful of authors have addressed GenAI’s impact on (Hajiheydari et al., 2021). It posits that reasons for and against a
firm performance (e.g., Khan et al., 2024), these have not specifically particular behavior can concurrently explain an individual’s motives
focused on B2B firms, like this research. (Kumar et al., 2024a, 2024b; Sahu et al., 2022). Specifically, individuals
Second, we explore the moderating role of the firm’s ethical lead employ specific reasons to rationalize their actions and decisions, driven
ership in the association of B2B managers’ GenAI adoption and firm by the desire to achieve specific goals and using those reasons to pursue
performance, such that those firms featuring high (vs. low) ethical these (Behl et al., 2023; Shankar et al., 2022).
leadership are predicted to see a stronger effect. We find that firms led Prior researchers have applied behavioral reasoning theory in con
by ethical, moral principles are better equipped to responsibly manage texts including binge drinking (Norman et al., 2012), adoption intention
the firm’s GenAI adoption and its required organizational transition (e. (Sivathanu, 2018), resistance intention (Hajiheydari et al., 2021), fake
g., by ensuring the equitable, inclusive use of GenAI; Islam & Green news sharing (Kumar et al., 2023), patronage intention (Tan et al.,
wood, 2024). Advancing insight into the role of ethical leadership on the 2021), and food consumption (Kumar et al., 2021), among others,
performance of GenAI-implementing firms is therefore of elevated underscoring its versatility.
practical relevance. As managers are likely to have specific reasons for and against GenAI
Third, our analyses advance acumen of behavioral reasoning theory, adoption in their firm, behavioral reasoning theory offers a suitable
which explains the motivations underlying human behavior (Westaby, theoretical framework to examine these issues. However, despite its
2005). The theory posits that individuals’ salient motives predict relevance, understanding of managers’ GenAI-related decision-making
behavioral intentions and behavior (Sahu et al., 2022), as explored in processes from a behavioral reasoning theory perspective remains
the context of B2B managers’ GenAI adoption in this research. The limited to date (Wang et al., 2024). This gap is significant because un
theory suggests that reasons for (vs. against) a particular behavior may derstanding the specific reasons that motivate or deter B2B firms from
concurrently explain an individual’s motives (Kumar et al., 2024a, adopting GenAI can offer deeper insight into their decision-making
2024b), fitting with our research objectives. While a few prior authors processes and assist the development of more targeted adoption strate
have adopted behavioral reasoning theory in the GenAI context (e.g., gies. Therefore, this study is expected to enrich the behavioral reasoning
Wang et al., 2024), these have tended to assess the effect of specific theory literature in the GenAI context.
GenAI technology on user-based dependent variables (e.g., information
retrieval/processing). However, we examine its effect on firm perfor
mance, shedding new light on GenAI performance and facilitating
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A. Kumar et al. Journal of Business Research 189 (2025) 115160
3. Research approach experience in the implementation and use of GenAI in their firm. All the
participants were working professionals who reported having a good
We deployed a mixed-methods (qualitative/quantitative) approach understanding of GenAI usage.
to gather comprehensive insight into our research objectives (Venkatesh Theoretical saturation was reached after completing 21 interviews.
et al., 2013; Campbell & Fiske, 1959). Amalgamating qualitative and However, to ensure we had not missed any important insight, we con
quantitative analyses, mixed-methods research aims for triangulation, ducted a small number of additional interviews, yielding a final sample
complementarity, initiation, development, expansion, and diversity to of 27 participants (aged 18–51). Participants were assured of their an
draw meta-inferences (Venkatesh et al., 2013). Using a mixed-methods onymity in the research process and of the confidentiality of their re
design offers advantages in addressing confirmatory or explanatory sponses. We commenced each interview by collecting basic information
research questions while extracting valuable insight from existing the and then discussed the interviewee’s reasons (for and against) for
ories and practical observations. We began with a qualitative study adopting GenAI in their firm. The interviews were audio-recorded and
(Study 1) that aimed to uncover B2B managers’ reasons for and against transcribed, after which we content-analyzed the interview transcripts
GenAI adoption. The findings were used to design Study 2, which for using a blend of deductive and inductive reasoning (Lincoln & Guba,
mulates testable hypotheses, as derived from Study 1. 1985), allowing us to situate our findings within the existing literature
while also leaving room to uncover novel, emerging themes.
4. Study 1 Using content-analytical procedures, we coded the data into promi
nent themes (i.e., reasons for and against GenAI adoption). The re
Study 1 qualitatively explored B2B managers’ reasons (for and searchers individually validated the emerging themes to ensure their
against) GenAI adoption. To attain the required insight, we conducted a accuracy, striving for inter-coder agreement to establish external val
series of semi-structured interviews that lasted 30–40 min each during idity. This process yielded 78 % agreement among the researchers. We
September-October 2023, which were continued until theoretical satu applied open, axial, and selective coding to analyze the data (Hollebeek,
ration was reached (Glaser & Strauss, 1967). 2011; Lim, 2025). Guided by behavioral reasoning theory, we grouped
Data were collected from participants across seven countries, the open codes into subcategories, consolidating conceptually related
including the USA, the UK, Canada, India, Australia, Malaysia, and codes. Overall, Study 1 identified three main reasons for adopting GenAI
Japan. They were recruited through professional networks, industry (i.e., need for uniqueness, information completeness, and convenience),
conferences, and online platforms focused on AI and technology, and two reasons against its adoption (i.e., deceptiveness and informa
ensuring that the respondents were individuals with first-hand tion overload), as shown in Fig. 1 (also see Study 2).
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A. Kumar et al. Journal of Business Research 189 (2025) 115160
5.1. Need for uniqueness Convenience refers to the ability to efficiently complete a task with
minimal human effort, significantly boosting engagement (Boden et al.,
Need for uniqueness reflects an individual’s aspiration to stand out 2020). For example, convenient services tend to save users time and
from the crowd (Sharma et al., 2018; Park et al., 2013). To pursue their minimize their effort. In line with prominent theoretical perspectives
individuality, individuals may be motivated to use emerging technolo like the technology acceptance model (Davis, 1989), a technology’s
gies (e.g., that enable personalization; Lang & Armstrong, 2018). Users’ perceived convenience stands out as a pivotal determinant of its adop
desire to stand out from the crowd can thus motivate their adoption of tion (Shankar & Rishi, 2020). When users perceive a technology to be
innovative technologies like GenAI, elevating their self-perception or convenient, they believe it to be able to facilitate task completion,
perceived uniqueness (Hajiheydari et al., 2021). enhancing its appeal (Lai & Liew, 2021). Moreover, users who perceive a
For example, using GenAI for problem-solving tasks may encourage technology as convenient are more likely to consider it useful and easy
users’ creative thinking or ideas. In other words, GenAI may facilitate to use.
the development of individuals’ unique solutions to complex ideas, B2B managers are more likely to adopt GenAI tools if these are
reinforcing their sense of uniqueness (Hajiheydari et al., 2021). The perceived to offer a more streamlined or convenient workflow, as sup
qualitative findings support these arguments. For example, several of ported by the findings of Study 1. For example, several of the re
the participants illustrated how they use GenAI to create uniqueness or spondents illustrated their perceived convenience of GenAI:
competitive advantage in their jobs:
“GenAI has streamlined our processes. With just a few prompts, we can
“Well, the AI’s ability to generate distinct outputs is quite fascinating. get quality content within minutes. It is like having a content creator at our
We’ve noticed it’s not just about churning out content; it’s about creating beck and call, available whenever we need it.” [P10, Female, age 36,
something that feels tailor-made. It’s like having a writer who can adapt to Content Creation]
different styles and tones, providing us with a variety of options that truly “It has been a time-saver. Instead of brainstorming sessions for content
stand out.” [P7, Male, 24 years, Education] creation, we now rely on prompt-based inputs for the Generative AI. This
“We were exploring new marketing angles, and the AI produced a set of streamlined process has freed our creative team to focus on strategy and
ad copies, each with a distinct tone and approach. It gave us fresh ideas we innovation.” [P5, Male, age 28, Sales]
hadn’t considered before. That uniqueness helped us stand out in a “The interface is intuitive. Even team members without technical expertise
crowded market.” [P16, Female, 28 years, Marketing] can navigate it effortlessly. It is like having a content generator with a
“Sure, there was a campaign where the AI produced video snippets user-friendly manual.” [P23, Female, age 31, Advertising]
combining our product information with pop-culture references. It was
We propose:
unexpected yet resonated so well with our audience, creating a buzz we
H3: Convenience positively influences GenAI adoption in B2B firms.
hadn’t anticipated.” [P20, Female, 25 years, Content Creation]
We hypothesize: 5.4. Deceptiveness
H1: The need for uniqueness positively influences GenAI adoption in B2B
firms. Deceptiveness reflects a technology’s presentation of inaccurate or
erroneous information that gives the impression that it falls short of
meeting expectations or of executing its tasks (Zhang et al., 2018). For
5.2. Information completeness example, if users come across deceptive or manipulative data produced
by the technology, its perceived credibility, precision, and impartiality
Users anticipate receiving up-to-date, comprehensive information will be undermined (Hajiheydari et al., 2021).
about their topics of interest (Cheng et al., 2020). Completeness of in As deceit diminishes users’ perceived credibility and authenticity of
formation reflects users’ judgment of the breadth, depth, and coverage the technology, perceived deceptive technology will typically not be
of the information they have received (Liu et al., 2020). Data relied upon in decision-making tasks (Cenfetelli & Schwarz, 2011).
completeness, a crucial facet of data quality, assesses the availability of Consequently, scepticism will be instilled among its users, lowering their
all necessary data to execute a particular task (Hajiheydari et al., 2021). intent to adopt it (Ansari & Gupta, 2021), as supported by the findings of
If information is deemed to be incomplete, this can cause significant Study 1. For example, several participants illustrated feeling like they
issues or repercussions (e.g., inaccurate decision-making; Wei et al., were being deceived by the information produced by GenAI:
2019), as supported by the findings of Study 1, For example, several of
“Sometimes the content generated might lack context or inadvertently
the participants illustrated their perception of GenAI’s provision of
create ambiguity. We’ve had to ensure our prompts are fine-tuned to
comprehensive, complete information, as follows:
prevent any misleading outputs. It’s about balancing the AI’s creative
“The completeness of AI-generated content has elevated the quality of our capacity while ensuring the information stays authentic and factual.”
research outcomes. It’s enabled us to produce more detailed reports, [P13, Male, age 30, Media]
adding significant value to our stakeholders and clients.” [P3, Male, age “There have been instances where the GenAI pulls references that do not
31, Research] seem to exist in reality. It cites authors or sources that could not be found
“In our line of work, precision matters. The GenAI’s strength lies in its anywhere upon verification.” [P6, Male, age 27, Research]
potential to provide detailed insights. But it’s not just about quantity; “Sure, there was an instance where the [Gen]AI misunderstood a statis
accuracy is non-negotiable. It needs to cover all aspects while ensuring tical trend, leading to a potentially misleading conclusion in a report. It
every piece of information is on point.” [P9, Male, age 25, Media] required human intervention to rectify and clarify the data’s actual im
“Occasionally, I have noticed the Generative AI missing out on details or plications.” [P25, Male, age 31, Finance]
alternative viewpoints. While it provides a broad overview, sometimes it
We theorize:
overlooks specific angles that could add depth to the information.” [P17,
H4: Deceptiveness negatively influences GenAI adoption in B2B firms.
Female, age 21, Finance]
We posit: 5.5. Information overload
H2: Information completeness positively influences GenAI adoption in
B2B firms. Information overload occurs when individuals feel they are being
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A. Kumar et al. Journal of Business Research 189 (2025) 115160
inundated with an excessive amount of information, surpassing their effectiveness of these innovation pursuits (Lin et al., 2020).
ability to process it effectively (Swar et al., 2017; Edmunds & Morris, The active involvement and personal commitment of ethical leaders
2000). This mental overload tends to generate adverse outcomes such as in the company’s long-term commitment to technological innovation
stress, anxiety, or declining in decision-making quality (Wang et al., and excellence significantly impact whether the technology yields
2023). In computer-mediated environments, information overload tangible firm performance (Kalra et al., 2023; Lin et al., 2020). We
manifests when individuals encounter an overwhelming volume of data suggest that those industrial companies that display high (vs. low)
on virtual platforms that they feel unable to handle, process, or manage ethical leadership will see a stronger effect of their managers’ GenAI
effectively (Pang & Ruan, 2023). adoption on the firm’s ensuing performance, exposing the proposed
Prior literature has examined the role of information overload in moderating role of ethical leadership. We posit:
contexts including social media platforms or online communities, H7: Ethical leadership significantly moderates the association between
among others (Pang & Ruan, 2023). However, while the effect of GenAI GenAI adoption and firm performance in B2B firms.
on perceived information overload has been examined in other contexts
(e.g., education; Halvorson, 2024), acumen of its impact in the context 6. Study 2
of B2B managers’ decision-making remains limited to date. However,
several of the Study 1 respondents reported feeling overloaded by the 6.1. Measures and data collection
information produced by GenAI, as follows:
The proposed framework, which summarizes the hypotheses, is
“GenAI is incredibly efficient, but there is a fine line. Sometimes, it pro
shown in Fig. 2. The questionnaire was developed using measurement
vides more than is needed, flooding us with data. So, managing the output
scales from prior literature (see Appendix A). The draft questionnaire
volume without compromising quality and relevance is crucial.” [P11,
was shared with subject matter experts to verify the content and framing
Male, age 25, Sales]
of the items. Moreover, a pilot study was conducted using 40 re
“Yes, especially during peak project times. The Generative AI generates so
spondents who were selected to represent a diverse cross-section of B2B
much content so quickly that it can be overwhelming. We’ve had to fine-
firms with differing levels of familiarity with and exposure to GenAI
tune our processes to manage the influx better.” [P22, Female, age 22,
technologies. Minor revisions were made to the questionnaire based on
Marketing]
the feedback received from the pilot study and subject-matter experts.
“We emphasize training team members to use AI outputs judiciously. It’s
To test the model, we conducted a cross-sectional survey. We gath
crucial not to consume all generated content but to focus on what’s
ered data from managers across the globe who were using or were aware
essential for decision-making.” [P27, Female, age 39, Research]
of GenAI applications in their firm. We deployed Prolific to gather the
We posit: data (https://www.prolific.com/), which represents a widely used data
H5: Information overload negatively influences GenAI adoption in B2B collection platform (Kumar et al., 2024a/b). Prior literature suggests
firms. that a sample size of over 200 generally suffices to conduct covariance-
based structural equation modeling (CB-SEM) (Hair et al., 2017). To
5.6. GenAI adoption and firm performance ensure an adequate sample size for CB-SEM, it is also widely recom
mended to maintain a minimum ratio of 1:5 between the number of
GenAI has been heralded to offer substantial advantage to its measurement items and the sample size (Hair et al., 2017). Adhering to
adopters (Prasad Agrawal, 2023). Specifically, its implementation this item-to-sample ratio, we aimed to strengthen the robustness and
boosts operational efficiency, unlocking potential benefits (Chatterjee validity of our results. Of 301 potential responses, 277 successfully
et al., 2021b). Likewise, prior studies have shown how (other) techno passed the attention and screening questions. Notably, 53.4 % of re
logical innovations may be used to streamline business processes or spondents identified as male, with 45.1 % falling within the 25–35 age
boost firm performance (Chatterjee et al., 2021c). As GenAI increasingly bracket and 50.5 % reporting an average personal GenAI usage of four
permeates firms, it promises to revolutionize the marketing function hours daily.
(Chui et al., 2022) while improving firm performance (Ooi et al., 2023).
Early GenAI adoption is thus thought to offer a competitive edge to firms 6.2. Common method bias assessment
(Prasad Agrawal, 2023). Those that are able to effectively harness its
potential are likely to differentiate themselves in the market (e.g., To mitigate the potential existence of common method bias (CMB),
adapting faster to emerging trends or staying ahead of competitors; we applied procedural measures and statistical controls. Furthermore,
Saivasan & Lokhande, 2023). We hypothesize: we executed Harman’s single-factor test to evaluate CMB in Study 2. The
H6: GenAI adoption in B2B firms positively impacts firm performance. results revealed that CMB accounted for 41.26 % of the observed vari
ance, remaining below the 50 % threshold (Podsakoff et al., 2003) and
5.7. Moderating role of ethical leadership indicating that CMB is not an issue in our data. We thus infer that the
participants engaged attentively and responded considerately to the
It is crucial for leaders to prioritize ethical conduct in their firms, survey questions.
particularly as they integrate advanced technologies like GenAI (Lin
et al., 2020). Ethical leaders typically establish clear, consistent, ethical 6.3. Measurement model results
benchmarks for their stakeholders (e.g., employees), communicate these
values, provide rewards for ethical behavior, and implement conse Following Hair et al. (2017), we assessed the measurement model by
quences for unethical actions (Hameed et al., 2023). evaluating the reliability, convergent validity, and discriminant validity
Ethical leadership also plays a critical role in safeguarding the of the latent constructs. Confirmatory factor analysis (CFA) using the
company’s reputation and credibility, emphasizing its ethical conduct AMOS v.26 software was conducted to scrutinize the reliability and
and decision-making, particularly in terms of its stakeholder relation validity of the studied constructs. To assess reliability, Cronbach’s alpha
ships while it navigates new technological investments (Al Halbusi et al., values were computed for each construct, each surpassing the critical
2023). Companies guided by strong ethical leadership in their techno value of 0.7, affirming their respective reliability (Hair et al., 2017).
logical innovation endeavors tend to foster trust-based relationships Convergent and discriminant validity were established by examining the
with stakeholders (Ye et al., 2023; Lin et al., 2020). The extent to which average variance extracted (AVE) values (all > 0.5) and composite
leaders demonstrate trustworthiness in embracing new technological reliability (CR) values (all > 0.7). We also compared the square root of
advancements emerges as a pivotal factor in determining the the AVE for each variable with the correlation coefficients among
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A. Kumar et al. Journal of Business Research 189 (2025) 115160
constructs, confirming discriminant validity, as the square roots excee 6.4. Hypothesis testing results
ded the values of their respective correlation coefficients (see Tables 1
and 2; Fornell & Larcker, 1981). The findings of the path analysis (see Table 3) suggest that the need
for uniqueness (β = 0.379***), information completeness (β =
0.370***), and convenience (β = 0.294**) are positively associated with
GenAI adoption in B2B firms. Hence, H1, H2, and H3 are supported.
Furthermore, the findings suggest that deceptiveness (β = -0.552***) is
Table 1 negatively associated with GenAI adoption in B2B firms, supporting H4.
Measurement model results. Moreover, GenAI adoption (β = 0.769***) is positively associated with
Variables and Factor Cronbach’s Composite Average
firm performance in B2B firms, supporting H6. However, information
items Loading alpha reliability variance overload did not have a significant effect on GenAI adoption in B2B
extracted firms. Therefore, H5 is rejected. The R2 values for GenAI adoption and
Need for 0.944 0.945 0.810 firm performance are 0.87 and 0.77, respectively.
uniqueness
NFU1 0.863
NFU2 0.943 6.5. Moderation analysis results
NFU3 0.885
NFU4 0.907
Model 1 in the Process Macro was used to assess the moderation
Information completeness 0.886 0.900 0.746
IC1 0.692
hypothesis (Hayes, 2013). The results presented in Tables 4 and 5
IC2 0.927 illustrate that the impact of GenAI adoption on firm performance in B2B
IC3 0.941 firms is significantly moderated by ethical leadership, supporting H7.
Convenience 0.756 0.754 0.492 This finding shows that B2B firms that exhibit high (vs. low) ethical
COV1 0.750
leadership see a stronger effect of GenAI adoption on firm performance.
COV2 0.664
COV3 0.725
Deceptiveness 0.826 0.849 0.628 7. Discussion
DEC1 0.642
DEC2 0.813
The results reveal that the need for uniqueness, information
DEC3 0.904
Information 0.864 0.859 0.645 completeness, and convenience is significantly associated with GenAI
overload adoption in B2B firms, corroborating earlier findings in other technol
IO1 0.751 ogy adoption contexts (Hajiheydari et al., 2021; Lai & Liew, 2021).
IO2 0.795
First, need for uniqueness drives individuals to seek innovative, one-
IO3 0.932
GenAI adoption 0.920 0.926 0.803 of-a-kind solutions. GenAI has the capacity to create novel, unique, or
ADP1 0.808 differentiated content or solutions. Second, information completeness is
ADP2 0.943 essential to create accurate, reliable outputs. The surveyed managers in
ADP3 0.926 B2B firms were found to value GenAI for its potential to produce
Firm 0.873 0.899 0.749
comprehensive information or content, contributing to high-quality
performance
FP1 0.961 business outcomes. Third, based on the results, convenience raises
FP2 0.984 GenAI adoption in B2B firms (e.g., by saving users time or by providing
FP3 0.587 higher-quality outputs). If these tools are user-friendly, accessible, and
Ethical 0.930 0.945 0.766
integrate seamlessly into existing workflows, managers in these firms
leadership
EL1 0.865 are more likely to adopt them.
EL2 0.969 Consistent with authors including Hajiheydari et al. (2021) and
EL3 0.954 Cenfetelli and Schwarz (2011), the findings also reveal that perceived
EL4 0.956 deceptiveness reduces GenAI adoption among managers in B2B firms. A
EL5 0.548
plausible reason for this finding is that perceived deceptiveness of GenAI
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A. Kumar et al. Journal of Business Research 189 (2025) 115160
Table 2
Discriminant validity testing results.
Variables 1 2 3 4 5 6 7 8
Notes − Diagonal value indicates the square root of AVE of individual latent construct.
8. Implications
Table 3
Path analysis results.
8.1. Theoretical implications
Path Beta SE T-value
Need for uniqueness → GenAI adoption 0.379*** 0.065 3.83 This study raises important issues for further theory development.
Information completeness → GenAI adoption 0.370*** 0.075 4.09 First, our analyses advance acumen of the drivers, dynamics, and out
Convenience → GenAI adoption 0.294** 0.09 2.96
comes characterizing GenAI adoption in B2B firms. Drawing on behav
Deceptiveness → GenAI adoption − 0.552*** 0.119 5.12
Information overload → GenAI adoption − 0.022 ns 0.049 0.35 ioral reasoning theory, we assessed the role of specific determinants for
GenAI adoption → Firm performance 0.769*** 0.057 18.50 (vs. against) GenAI adoption in B2B firms (Norman et al., 2012). Here,
need for uniqueness, information completeness, and convenience
Notes − *** implies p < 0.001; ** implies p < 0.01; ns: not significant.
emerged as key reasons for adopting GenAI while deceptiveness and
information overload arose as important reasons against. These findings
Table 4 yield pertinent issues for further theory development, including: What is
Moderation analysis results. the relative strength or importance of the respective factors for (vs.
Moderating role of ethical Effect SE p- Moderation
against) identified in Study 1? To what extent may specific factors
leadership value support one another to strengthen GenAI adoption (vs. collide to lower
their adoption in this regard)?
GenAI adoption → Firm 0.18 0.025 0.000 Yes
performance Second, the findings of Study 2 showed that ethical leadership
moderates the effect of GenAI adoption and firm performance in B2B
firms, thus offering important new insight. Specifically, the results
suggest that B2B firms that display high (vs. low) ethical leadership are
Table 5
likely to see heightened firm performance, indicating the importance of
Moderation (low vs. high levels).
ethical leadership to unlock GenAI’s true potential. This finding likewise
Moderating role of ethical leadership Level Effect SE p-
raises important questions for further theory development, including:
value
Does the moderating effect of the firm’s ethical leadership offer a linear
GenAI adoption → Firm performance Low − 0.007 0.066 0.917 effect, or increasing or decreasing effects? Therefore, what is the optimal
Medium 0.213 0.062 0.001
High 0.434 0.072 0.000
ethical leadership level to optimize the impact of GenAI adoption on
firm performance? To what extent does GenAI adoption in B2B firms
impact different stakeholders’ perceived benefits?
output might stem from concerns about its trustworthiness, accuracy, or
reliability. The results also highlight that GenAI adoption is positively
8.2. Practical implications
associated with firm performance in B2B firms, extending prior
exploratory findings (Chatterjee et al., 2023). GenAI adoption is ex
This study yields several implications for managers adopting, or
pected to lower operational costs (e.g., by automating repetitive tasks,
seeking to adopt, GenAI. First, Study 1 pinpointed B2B managers’
minimizing errors, and by optimizing resource allocation), directly
rationale for and against adopting GenAI, offering insight into their
impacting firm performance in these firms.
GenAI decision-making. The results also show that need for uniqueness,
However, contrary to prior literature in other (technology adoption)
information completeness, and convenience raise GenAI adoption in
contexts (Wang et al., 2023; Pang & Ruan, 2023), information overload
B2B firms. To leverage the identified drivers, managers are advised to
was not found to exert a significant effect on GenAI adoption in B2B
(a) adopt an organizational culture that values and nurtures uniqueness
firms. GenAI tools typically allow their users to customize or personalize
and creativity, which GenAI is expected to facilitate, (b) train their
the information they receive. This customization or personalization
employees to engage in decision-making based on complete information
might enable users to more effectively manage information, reducing
as much as possible, which GenAI can likewise assist with (e.g., by
perceived information overload. Therefore, users may develop strategies
ensuring the use of high-quality training data), and (c) invest in high-
to filter through the vast amount of information (e.g., by focusing on
quality GenAI tools that boost convenient task execution.
their trusted sources or those most relevant to their needs), thus miti
Furthermore, the results suggest that deceptiveness is negatively
gating the negative effects of information overload. Moreover, in line
associated with GenAI adoption in B2B firms. To mitigate these risks,
with the extant literature (Lin et al., 2020), the results reveal that the
managers are advised to cultivate the development of a critical mindset
impact of GenAI adoption on firm performance in B2B firms is signifi
in their employees, enabling them to critically judge any perceived
cantly moderated by ethical leadership, which influences how GenAI is
deceptiveness of the information provided by GenAI and allowing them
used in these firms. Notably, leaders who prioritize ethical consider
to take corrective action, as needed. We also recommend firms to
ations guide the responsible adoption and utilization of AI, ensuring its
develop methodologies to assess the authenticity and reliability of
implementation aligns with ethical standards that boost firm
GenAI outputs before they are disseminated in or outside the firm (e.g.,
performance.
by cross-checking a GenAI’s output with that of other technology).
7
A. Kumar et al. Journal of Business Research 189 (2025) 115160
Second, Study 2 found that GenAI adoption boosts firm performance could thus adopt longitudinal data to facilitate the development of more
in B2B firms, as moderated by the firm’s ethical leadership, thus offering comprehensive acumen of GenAI adoption. Second, while we explored
pertinent information for managers. Specifically, the attained positive the effect of GenAI adoption on firm performance, we only considered
effect of GenAI adoption on firm performance can be used to instil this from a perceptual and intentional perspective in terms of mea
managerial confidence in GenAI adoption. Relatedly, the moderating surement. Future researchers may thus examine actual GenAI adoption
effect of ethical leadership shows that to capitalize on GenAI’s potential using field data. Third, given the relatively recent launch of GenAI, it has
value, firms should adopt ethical, responsible leadership. We thus limited adoption rates to date, as reflected in our relatively small sam
recommend GenAI-adopting firms to carefully consider their key hiring ples. Therefore, future scholars are advised to validate the reported
and management decision-making, which should be geared toward findings with larger samples that may also feature additional (e.g.,
ethical leadership. cultural/organizational) variables. Finally, while this research outlines
key determinants of GenAI adoption in B2B firms, we examined GenAI
9. Conclusion, limitations, and further research generically (vs. focusing on any specific GenAI technology). Though this
approach allows us to identify broad GenAI patterns, the attained insight
GenAI has emerged as a transformative technology with profound may be refined by addressing the drivers and effects of specific GenAI
implications for firms. Despite its transformative potential, under tools (e.g., large language models, image generators, or code generation
standing of the drivers, dynamics, and outcomes of GenAI adoption, tools).
especially among B2B firms, remains limited, exposing a pertinent gap
in the literature. Addressing this gap, we drew on behavioral reasoning CRediT authorship contribution statement
theory to conduct Studies 1–2 to uncover B2B managers’ key reasons for
and against GenAI adoption in their firm. Aman Kumar: Writing – original draft, Software, Resources, Meth
The findings of Study 1 contribute that the need for uniqueness, in odology, Formal analysis, Data curation, Conceptualization. Amit
formation completeness, and convenience emerge as key reasons for Shankar: Writing – original draft, Supervision, Software, Methodology,
adopting GenAI while deceptiveness and information overload arise as Funding acquisition, Data curation, Conceptualization. Linda D. Hol
major reasons against. The results in Study 2 further highlight that lebeek: Writing – original draft, Supervision, Resources, Investigation.
GenAI adoption boosts firm performance and that ethical leadership acts Abhishek Behl: Writing – original draft, Validation, Software, Project
as a significant moderator in the association of GenAI adoption and firm administration, Methodology, Conceptualization. Weng Marc Lim:
performance. Overall, this research advances the literature on GenAI, Writing – original draft, Supervision, Resources, Project administration.
B2B marketing, ethical leadership, and behavioral reasoning theory
while also providing core practical implications for GenAI adopting Declaration of competing interest
firms.
Despite its contribution, this research also has limitations. First, our The authors declare that they have no known competing financial
work relies on cross-sectional data, thus failing to offer insight into the interests or personal relationships that could have appeared to influence
evolving nature of the modeled variables over time. Future researchers the work reported in this paper.
8
A. Kumar et al. Journal of Business Research 189 (2025) 115160
(continued )
EL3: My supervisor conducts his/her work in an ethical manner
EL4: My supervisor has the best interests of employees in mind
EL5: My supervisor discusses business ethics or values with employees
Data availability Eysenbach, G. (2023). The role of chatgpt, generative language models, and artificial
intelligence in medical education: A conversation with chatgpt and a call for papers.
JMIR Medical Education, 9(1), Article e46885.
Data will be made available upon reasonable request. Fitria, T., Simbolon, N., & Afdaleni, A. (2023). Chatbots as online chat conversation in
the education sector. International Journal of Computer and Information System
(IJCIS), 4(3), 93–104.
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Aman Kumar is an Assistant Professor in the Department of Marketing at the Indian
adoption of marketing automation. Industrial Marketing Management, 86, 212–222.
Institute of Management, Ranchi, India. His research interests include metaverse, artificial
Norman, P., Conner, M., & Stride, C. (2012). Reasons for binge drinking among
intelligence and technology-human interactions. Aman’s research has been published in
undergraduate students: An application of behavioural reasoning theory. British
the Industrial Marketing Management, International Journal of Hospitality Management,
Journal of Health Psychology, 17(4), 682–698.
Technological Forecasting and Social Change, Information Technology & People, Journal of
Ooi, K., Tan, G., Al-Emran, M., Al-Sharafi, M., Capatina, A., Chakraborty, A., &
Retailing and Consumer Services, Journal of Consumer Behaviour, Australasian Marketing
Wong, L. W. (2023). The potential of generative artificial intelligence across
Journal, Journal of Global Information Management, Journal of Global Marketing, VINE
disciplines: Perspectives and future directions. Journal of Computer Information
Journal of Information and Knowledge Management Systems and Information Systems and e-
Systems, 1–32.
Business Management.
Pang, H., & Ruan, Y. (2023). Determining influences of information irrelevance,
information overload and communication overload on WeChat discontinuance
intention: The moderating role of exhaustion. Journal of Retailing and Consumer Amit Shankar is an Associate Professor in Marketing Management at the Indian Institute
Services, 72, Article 103289. of Management, Visakhapatnam, India. His research interests are in the areas of service
Park, J., Han, H., & Park, J. (2013). Psychological antecedents and risk on attitudes quality, services marketing and mobile banking. Amit’s research has been published in the
toward e-customization. Journal of Business Research, 66(12), 2552–2559. Industrial Marketing Management, Journal of Business Research, International Journal of
Paul, T., Islam, N., Mondal, S., & Rakshit, S. (2022). RFID-integrated blockchain-driven Hospitality Management, Technovation, Services Marketing Quarterly, International Journal of
circular supply chain management: A system architecture for B2B tea industry. Nonprofit and Voluntary Sector Marketing, International Journal of Bank Marketing, Journal of
Industrial Marketing Management, 101, 238–257. Consumer Behaviour, International Journal of Consumer Studies, Journal of Consumer Mar
Podsakoff, P., MacKenzie, S., Lee, J., & Podsakoff, N. (2003). Common method biases in keting, Technological Forecasting and Social Change, IEEE Transactions on Engineering Man
behavioral research: A critical review of the literature and recommended remedies. agement, and Journal of Strategic Marketing among others.
Journal of Applied Psychology, 88(5), 879.
Prasad Agrawal, K. (2023). Towards adoption of Generative AI in organizational settings.
Linda D. Hollebeek is the Teng Yew Huat Endowed Chair of Marketing at Sunway Uni
Journal of Computer Information Systems, 1–16.
versity in Malaysia. She is also affiliated with Vilnius University in Lithuania, Tallinn
Sahu, A., Padhy, R., & Dhir, A. (2022). Determinants and barriers of implementing lean
University of Technology in Estonia, Umea University and Lund University in Sweden, and
manufacturing practices in MSMEs: A behavioural reasoning theory perspective.
University of Johannesburg in South Africa. She has published in journals ranked ‘A*’ and
Production Planning & Control, 33(12), 1197–1213.
‘A’ such as European Journal of Marketing, Industrial Marketing Management, Interna
Saivasan, R., & Lokhande, M. (2023). Exploring use cases of generative AI and metaverse
tional Journal of Research in Marketing, Journal of the Academy of Marketing Science,
in financial analytics: Unveiling the synergies of advanced technologies. International
Journal of Advertising, Journal of Business Research, Journal of Consumer Behavior,
Journal of Global Business and Competitiveness, 1–10.
Journal of Brand Management, Journal of Product and Brand Management, Journal of
Shankar, A., & Rishi, B. (2020). Convenience matter in mobile banking adoption
Retailing and Consumer Services, Journal of Interactive Marketing, Journal of Marketing
intention? Australasian Marketing Journal, 28(4), 273–285.
Management, Journal of Strategic Marketing, Journal of Services Marketing, Journal of
Shankar, A., Dhir, A., Talwar, S., Islam, N., & Sharma, P. (2022). Balancing food waste
Service Research, Marketing Theory, Marketing Intelligence & Planning, Psychology &
and sustainability goals in online food delivery: Towards a comprehensive
Marketing, among others.
conceptual framework. Technovation, 117, Article 102606.
Sharma, D., Verma, V., & Sharma, S. (2018). Examining need for uniqueness in emerging
markets. Marketing Intelligence & Planning, 36(1), 17–31. Abhishek Behl is a faculty and researcher in the area of information systems and man
Sivathanu, B. (2018). Adoption of internet of things (IOT) based wearables for healthcare agement at Keele Business School, Keele University, UK. He has earned his second Ph.D.
of older adults–a behavioural reasoning theory (BRT) approach. Journal of Enabling from Indian Institute of Technology, Bombay, where his research is in the area of
Technologies, 12(4), 169–185. crowdfunding and gamification. He is an incoming president of Special Interest Group
Sleiman, J. (2023). Generative artificial intelligence and large language models for (SIG)-GAME of AIS. He is an Associate Editor of the Journal of Global Information Man
digital banking: First outlook and perspectives. Journal of Digital Banking, 8(2), agement; International Journal of Manpower; International Studies of Management and
102–117. Organization; South Asia Journal of Business Studies; and Journal of Cases on Information
Swar, B., Hameed, T., & Reychav, I. (2017). Information overload, psychological ill- Technology; an Assistant Editor of Technology Forecasting and Social Change; and an Area
being, and behavioral intention to continue online healthcare information search. Editor (South Asia) of the International Journal of Emergency Services. He features on the
Computers in Human Behavior, 70, 416–425. editorial board of many journals like Journal of Global Marketing; Journal of Electronic
Tan, L., Abd Aziz, N., & Ngah, A. (2021). Examining green hotel patronage intention Commerce in Organization; Journal of Promotion Management; Young Consumers;
from the perspective of behavioural reasoning theory. International Journal of Management Decision; and Society and Business Review. He has edited three books. He
Business and Society, 22(2), 901–921. has published in journals like Industrial Marketing Management; International Journal of
Information Management; IEEE Transactions on Engineering Management; Production
10
A. Kumar et al. Journal of Business Research 189 (2025) 115160
Planning and Control; Annals of Operations Research; Journal of Business Research; Marketing Journal, European Journal of Marketing, Industrial Marketing Management,
Technology Forecasting and Social Change; Journal of Knowledge Management; Com Journal of Business Research, Journal of Business and Industrial Marketing, Journal of
puters in Human Behaviour; Internet Research; International Marketing Review; Journal Consumer Behaviour, Journal of Consumer Marketing, International Journal of Consumer
of Enterprise Information Systems; Industrial Management and Data Systems; etc. Studies, Journal of Brand Management, Journal of Product and Brand Management,
Journal of Retailing and Consumer Services, Journal of International Marketing, Journal
of Marketing Management, Journal of Strategic Marketing, Marketing Theory, Marketing
Weng Marc Lim is a Distinguished Professor and the Dean of Sunway Business School at
Intelligence & Planning, and Psychology & Marketing, among others. He has also led high-
Sunway University, an ASU-Cintana Alliance Global Partner Affiliate Faculty at Arizona
level discussions at the AppliedHE, Association to Advance Collegiate Schools of Business
State University, and an Adjunct Professor at Swinburne University of Technology’s home
(AACSB), Association of MBAs (AMBA), Business Graduates Association (BGA), Quac
campus in Melbourne, Australia, and international branch campus in Sarawak, Malaysia,
quarelli Symonds (QS), Times Higher Education (THE), United Nations Educational, Sci
where he served as Dean and Head of School. He is the Editor in Chief of Global Business
entific and Cultural Organization (UNESCO) and Principles of Responsible Management
and Organizational Excellence; Deputy Editor of Journal of Global Marketing; Associate
Education (UNPRME), and World Economic Forum (WEF). Contact: @limwengmarc on
Editor of Journal of Business Research, Journal of Consumer Behaviour, and Journal of
Instagram and Twitter (X), LinkedIn, or his personal homepage at https://www.wen
Strategic Marketing; and Regional Editor of The Service Industries Journal. He has auth
gmarc.com.
ored more than 100 manuscripts in journals ranked ‘A*’ and ‘A’ such as Australasian
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