Examination of the Strategic Vision of Banks in Digitalization and the Effects of Innovation on Performance and Artificial Intelligence Perception

Abstract

This study examines the effects of strategic vision and digital innovation on the performance and perceptionsof digital natives regarding artificial intelligence (AI) in banks. This is due to the increased use of mobile banking applications with the proliferation of the internet. An online questionnaire was administered to 603 experts working in bank headquarters. The collected data were analyzed using theSmartPLS 3.3.3 software. Banks that adopt digital business strategies can gain a significant competitiveadvantage. To successfully transform and compete, banks need to address customer demands in the areasof digitalization, innovation, and mobile banking. This research is original in its evaluation of the strategic visions and digital innovations of banks, which play a crucial role in the service sector, with implications for finance, innovation, and mobile applications. The results demonstrate the positive effects of strategic vision and digital innovation on performance and digital natives' perceptions of AI. The hypotheses support the importance of digitalization and innovation for banks.