Investigating the Role of Strategic Decision-Making in Mediating the Relationship Between AI-Powered Digital Marketing and Business Entrepreneurship and Competitiveness in the Kingdom of Saudi Arabia

The research focuses on understanding the effects of AI-driven digital marketing on KSA business entrepreneurship and market competitiveness, particularly through strategic decision-making as a connecting factor. The study examines the business results of AI-based marketing approaches that combine marketing automation with predictive analytics and personalized strategies in rapidly transforming markets. The research administered a survey questionnaire derived from previous academic literature, which obtained responses from 400 business respondents. SmartPLS software processed the data through SEM analysis to demonstrate how AI-controlled digital marketing dimensions interacted with business entrepreneurship and competitiveness measurements as outcome variables. The analysis also evaluated strategic decision-making as a mediating factor. The research findings demonstrated that AI-powered digital marketing produced no substantial improvement in business entrepreneurship or competitiveness; hence, H1 and H2 were discarded. Research demonstrated that strategic decision-making is a significant leading factor that helps link AI marketing to business entrepreneurship (H3), demonstrating a positive effect. According to research findings, strategic decision-making negatively affected business competitiveness, partially validating hypothesis H4. The research supports existing AI business knowledge by identifying strategic decision processes for business attainment. This research finds that AI applications do not boost entrepreneurial activities or improve competitiveness, but the successful combination with suitable decision systems proves significant.