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ArticlePeer ReviewedOpen AccessPlagiarism Passed
Paper ID:IJSREM64732

Artificial Intelligence Adoption and Startup Growth: Evidence from Emerging Indian Startups

Stream/Area:

-

Subject:

-

Paper ID:

IJSREM64732

Volume:

10 |

6 |

Jun 2026

Pages:

1-7

Publication Frequency:

Monthly (12 issues per year)

DOI
Digital Object Identifier
10.55041/IJSREM64732

License:International Journal of Scientific Research in Engineering and Management follows the Creative Commons Attribution 4.0 (CC BY 4.0) License, allowing free use and distribution with proper attribution.

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Authors

Dr Jeyabharathimku

Dr Jeyabharathimku

Department of Youth Welfare Studies,

Madurai Kamaraj University

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Abstract

The objective of this study is to examine the impact of Artificial Intelligence (AI) adoption on the growth of emerging Indian startups. The study is based on the hypothesis that AI adoption positively influences startup growth through improved operational efficiency, innovation capability, customer engagement, and decision-making effectiveness. A quantitative research design was employed using survey data collected from 250 founders and senior managers of Indian startups operating in technology-enabled sectors. Statistical analyses including descriptive statistics, correlation analysis, and multiple regression were conducted to evaluate the relationship between AI adoption and startup performance indicators. The results reveal that AI adoption significantly contributes to startup growth by enhancing productivity, accelerating innovation, reducing operational costs, and improving customer experience. Startups with higher levels of AI integration demonstrated superior revenue growth and market expansion compared to startups with lower AI adoption levels. The findings suggest that AI serves as a strategic resource capable of generating competitive advantages in dynamic entrepreneurial ecosystems. This study contributes to the growing literature on digital transformation and entrepreneurship by providing empirical evidence from emerging Indian startups. The findings offer practical insights for entrepreneurs, investors, and policymakers seeking to strengthen startup ecosystems through AI-enabled innovation and sustainable growth.

KEYWORDS

Artificial Intelligence Adoption Business Performance Technology Innovation Entrepreneurial Ecosystems Digital Transformation

Cite This Article

Dr Jeyabharathimku, "Artificial Intelligence Adoption and Startup Growth: Evidence from Emerging Indian Startups," International Journal of Scientific Research in Engineering and Management, vol. 10, no. 6, pp. 1-7, Jun 2026. https://doi.org/10.55041/IJSREM64732

Full Article/Conclusion

This study investigated the influence of Artificial Intelligence adoption on the growth of emerging Indian startups. The results demonstrate that AI adoption significantly enhances innovation capability, operational efficiency, customer engagement, and overall business performance. The findings support the hypothesis that AI adoption positively contributes to startup growth. Startups leveraging AI technologies experience greater revenue growth, faster innovation cycles, and improved scalability. The study highlights the strategic importance of AI as a catalyst for entrepreneurial success in emerging economies. By facilitating data-driven decision-making and technological innovation, AI can strengthen the competitiveness and sustainability of Indian startups. Future research may employ longitudinal designs and industry-specific analyses to further explore the long-term effects of AI adoption on startup performance.

References

Agrawal, A., Gans, J., & Goldfarb, A. (2018). Prediction machines: The simple economics of artificial intelligence. Harvard Business Review Press. Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99–120. Bharadwaj, A. (2000). A resource-based perspective on information technology capability. MIS Quarterly, 24(1), 169–196. Brynjolfsson, E., & McAfee, A. (2017). Machine, platform, crowd. W.W. Norton. Chatterjee, S., Rana, N. P., Tamilmani, K., & Sharma, A. (2021). The adoption of AI in organizations. International Journal of Information Management, 57, 102-203. Cockburn, I., Henderson, R., & Stern, S. (2018). The impact of artificial intelligence on innovation. NBER Working Paper, 24449. Davenport, T. H., & Ronanki, R. (2018). Artificial intelligence for the real world. Harvard Business Review, 96(1), 108–116. Dwivedi, Y. K., et al. (2021). Artificial intelligence adoption and future research. International Journal of Information Management, 57, 101994. George, G., Merrill, R., & Schillebeeckx, S. (2021). Digital sustainability and entrepreneurship. Entrepreneurship Theory and Practice, 45(5), 999–1026. Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2019). Multivariate data analysis (8th ed.). Cengage. Huang, M. H., & Rust, R. T. (2018). Artificial intelligence in service industries. Journal of Service Research, 21(2), 155–172. Jöhnk, J., Weißert, M., & Wyrtki, K. (2021). Ready or not, AI comes. Business & Information Systems Engineering, 63(1), 5–20.

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Publication Date

6/10/2026

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