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ARTIFICIAL INTELLIGENCE, INNOVATION CAPABILITY, AND EXPORT
COMPETITIVENESS: A POLICY FRAMEWORK FOR VIETNAMESE EXPORT-
ORIENTED ENTERPRISES IN THE DIGITAL ECONOMY

Dao Duc Viet* , Pham Thi Anh 2
1

1 Duy Tan University, Ho Chi Minh City, Vietnam.
2 East Asia University of Technology, Hanoi, Vietnam.
(*E-mail: ducvietdao81@gmail.com)

ABSTRACT
Artificial intelligence (AI) is increasingly transforming global production systems and
international trade dynamics. For export-oriented enterprises in emerging economies, AI
adoption has become a critical factor influencing innovation capability and
competitiveness. However, the relationship between AI adoption, innovation capability,
and export performance remains insufficiently explored, particularly in the context of
developing economies such as Vietnam.
This study develops a conceptual framework linking AI adoption, innovation
capability, and export competitiveness. Drawing on literature in innovation theory and
digital transformation, the paper explains how AI enhances firms’ ability to process data,
improve operational efficiency, and support strategic decision-making (Brynjolfsson &
McAfee, 2014; Cockburn et al., 2019). Innovation capability is identified as a key
mediating mechanism that enables firms to translate technological adoption into
competitive outcomes.
The study also highlights the role of institutional and policy environments in shaping
technological transformation. Investments in digital infrastructure, human capital, and
innovation-oriented policies are critical in supporting AI adoption, particularly in emerging
economies facing structural constraints (OECD, 2023; World Bank, 2021).
By integrating technological, organizational, and institutional perspectives, this
paper contributes to the literature on digital transformation and provides policy-relevant
insights for enhancing the competitiveness of Vietnamese export-oriented enterprises.
Keywords: Artificial intelligence; innovation capability; export competitiveness;
digital transformation; Vietnam.

1. Introduction
Global competition has entered a new phase characterized by digital integration,
technological convergence, and knowledge-based rivalry (UNCTAD, 2023). Artificial
intelligence (AI) has emerged as a general-purpose technology capable of transforming
production systems, decision-making processes, and global coordination mechanisms
(Brynjolfsson & McAfee, 2014; Autor, 2015). For export-oriented enterprises, AI adoption
presents both opportunities and structural challenges.
Traditional theories of export competitiveness emphasize factor endowments,
comparative advantage, and cost efficiency (Porter, 1990; Grossman & Helpman, 1991).
However, in the digital economy, competitiveness increasingly depends on innovation
capability, adaptive capacity, and technological sophistication (Aghion et al., 2021). While
AI enhances firms’ ability to process data, optimize operations, and respond to market

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