GENERATIVE AI INTEGRATION AND CORE BUSINESS FUNCTIONS: EVIDENCE FROM VIETNAMESE SMALL AND MEDIUM-SIZED ENTERPRISES

This article identifies the determinants affecting the integration of Generative Artificial Intelligence (GenAI) into core business functions of small and medium-sized enterprises (SMEs) in Vietnam. Grounded in the Technology-Organization-Environment (TOE) framework, the research used a cross-sectional survey of 202 directors, managers, and senior decision-makers from 20 SMEs across Hanoi, Hai Phong, Da Nang, Nha Trang, and Ho Chi Minh City. Confirmatory Factor Analysis and Structural Equation Modeling were conducted in R (lavaan, maximum-likelihood estimation), with 5,000-resample bootstrapping to test mediating effects. The measurement model showed that technological, organizational, and environmental factors have direct effects on GenAI adoption and indirect effects on CBF. Recommendations are proposed on strengthening organizational readiness, technological infrastructure, environmental responsiveness, and performance measurement.