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How can Generative AI influence decision-making in early stage startups operating under high uncertainty?

Kostiuchenko, Anna (2025) How can Generative AI influence decision-making in early stage startups operating under high uncertainty?

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Abstract:Early-stage startups face extreme uncertainty and resource constraints that challenge effective strategic decision-making. This study explores how Generative AI tools can support entrepreneurs in navigating these challenges. Using a mixed-methods approach combining a survey and semi-structured interviews with early-stage founders, the research investigates how GenAI influences both effectual and causal decision-making logics. Findings reveal that most entrepreneurs adopt a hybrid approach, using GenAI for tasks in marketing, technical development, ideation, and research. Despite concerns such as AI hallucinations, trust issues, and limited prompting skills, GenAI is perceived as a practical tool that improves efficiency, reduces costs, and supports experimentation. The study develops a framework for intentional GenAI adoption, emphasizing trust calibration, prompt literacy, and scalable integration. It contributes to entrepreneurship and digital innovation literature by offering insights into how startups can strategically leverage AI to overcome early-stage limitations and make better-informed decisions.
Item Type:Essay (Bachelor)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:International Business Administration BSc (50952)
Link to this item:https://purl.utwente.nl/essays/106740
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