From digital technologies to business sustainability: the central role of innovation in Thai SMEs

This study examines how AI-chatbot usage, social media usage, and customer value anticipation are associated with business sustainability in Thai small and medium-sized enterprises (SMEs) through an innovation-centered capability pathway. Drawing on a dynamic capabilities perspective, the model positions innovation as the central mechanism through which digital and customer-sensing inputs are linked to network learning, business performance, and business sustainability. The measurement instrument was initially validated through a Fuzzy-Rough Set e-Delphi procedure involving 23 experts, followed by covariance-based structural equation modeling using 703 valid SME responses. A pooled seven-construct confirmatory factor analysis demonstrated satisfactory measurement-model fit, reliability, convergent validity, and discriminant validity. All 10 hypothesized structural relationships were statistically significant. AI-chatbot usage, customer value anticipation, and social media usage were positively associated with innovation, while innovation was associated with network learning and business sustainability. Network learning, customer value anticipation, and social media usage were associated with business performance, which in turn was associated with business sustainability. The model explained modest-to-moderate variance in the endogenous constructs. The study contributes by extending prior SME capability research with AI-chatbot and social media inputs and by showing how innovation provides a central pathway connecting digital engagement and customer sensing with learning, performance, and longer-term business sustainability.