Why do managers across countries differ in their reliance on AI?
In the Journal International Business Review jelena Cerar, Dana Minbaeva and Phillip C. Nell explores how national culture and government support shape the extent to which managers rely on artificial intelligence in strategic decision-making.
Artificial intelligence is widely available to managers across the globe – but it is not used in the same way everywhere. New research shows that national culture and institutional context play a key role in how much managers rely on AI when making strategic decisions.
The study Reliance on AI in augmented strategic decision-making: Navigating cultural and national dynamics explores how national institutions influence managers’ trust in and use of AI tools. Drawing on cultural tightness–looseness theory, the researchers find that managers in ‘tighter’ cultures are more likely to rely on AI advice than those operating in ‘looser’ cultural environments.
The findings are based on a vignette study involving 172 managers from seven countries. The results also show that government endorsement of AI further strengthens reliance on AI in culturally tight societies. In these contexts, clearly defined rules, hierarchies and norms shape how decision-makers respond to AI-supported recommendations.
The study contributes new insights to research on human–AI interaction and cross-cultural decision-making. It also offers practical implications for multinational enterprises and governments seeking to leverage AI as a source of competitive advantage across different national settings.