2026-10-08T22:20:37Z https://api.figshare.com/v2/oai

oai:figshare.com:article/33741574 2026-09-15T09:37:13Z category_25483 category_25519 portal_918 item_type_3 month_year_09_2026

When the Machine Advises: AI Advice and Managerial Judgment in International Business Piyush Hemant Kadethankar (24538521) Mark Healey (24886634) International business Strategy artifical intelligence managerial cognition International Business Bounded rationality <p dir="ltr">This study investigates whether managerial cognition and bounded rationality explain strategic behavior in MNEs when decision-making is distributed across human-AI systems. In a Judge-Advisor System experiment, 300 U.S.-based managers committed to four foreign entry decisions in institutional contexts of varying distance (Germany or India). They then received contradictory advice attributed to either an AI system or a human expert, or no advice at all (control), and could revise their initial choices in light of it. The findings reveal that bounded rationality persists but exhibits a narrower signature than anticipated. Source attribution directly governed recommendation adoption: managers complied with human-attributed advice significantly more than identical AI advice, demonstrating algorithm aversion in categorical choices. However, the magnitude of numerical adjustments (weight of advice) remained statistically equivalent across both sources. Furthermore, while institutional distance increased host-market risk appraisals, it altered neither managerial decision confidence nor reliance on external advice. Ultimately, source attribution functions as a distinct lever on firm internationalization decisions, exerting its pull even when the analytical content is held constant.</p> 2026-09-15T09:37:13Z Dataset Dataset 10.48420/33741574.v1 https://figshare.com/articles/dataset/When_the_Machine_Advises_AI_Advice_and_Managerial_Judgment_in_International_Business/33741574 CC BY 4.0