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When an AI becomes an Entrepreneur!

Artificial Intelligence (AI) is revolutionising the economy and society by automating processes, driving innovation and enabling new business models, leading to a significant increase in productivity and competitiveness. Until now, the aspect of "Innovation Development" has always been assigned to Humans as Entrepreneurs (or Intrapreneurs), but in the course of AI-Development, the question must increasingly be asked whether AI will not only take on a passive support role in this field but also an active development and decision-making role. Against this background, there is a growing need for research in the field of “Human versus Machine” for driving innovation and enabling new business models. (Human) Entrepreneurs are characterised by re­cog­nising, evaluating and exploiting entrepreneurial opportunities. According to Schumpeter's understanding, the "Human Entre­preneur" appears in particular as an innovator by developing innovative ideas through their creative power and establishing them on the market. To do this, they must make entrepreneurial decisions based on the available information and data. However, this decision-making process based on information or data is increasingly being taken over by Artificial Intelligence, which is much more powerful in handling this information or data.

 

However, what happens when Artificial Intelligence not only supports the decision-making process of a "Human Entrepreneur" in a formative way but also takes it over as an "Artificial Entrepreneur" based on its own transformative creativity? The aim of the following article is to conceptually describe the prerequisites for the takeover of creative destruction by a machine in the sense of Schumpeter. The result is the development of a Framework which forms the basis for a new field of research: "Artificial Entrepreneurship".

AI-Entrepreneurship

What is Artificial Entrepreneurship?

The Influence of AI for the Creative Destruction of Schumpeter

Tobias Kollmann

Full Titel

What is Artificial Entrepreneurship? The Influence of AI for the Creative Destruction of Schumpeter

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Journal

Research & Development

 

DOI

10.11648/j.rd.20250601.12

 

Publication Date

2025-25-03

 

The article is available online here https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

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or as a PDF here https://article.sciencepublishinggroup.com/pdf/j.rd.20250601.12

Introduction

Introduction

Artificial Intelligence (AI) has become extremely impor­tant for the economy in recent years and is increasingly influencing the development of business processes and models in all sectors and industries [1-3]. The reason for this is simple: these business processes and models are increasingly based on data, which can be analysed faster and better by AI algorithms [4]. As a result, the integration of AI into these business processes and models has changed how they are carried out and how they are fundamentally new or further developed. Against this backdrop, the use of AI-based systems enables not only the data of today but also the decisions of tomorrow to be made on a sound basis [5, 6].

 

In this context, Artificial Intelligence also directly impacts entrepreneurial activities and changes them long-term [7, 8]. However, it is not just about automating tasks and implementing innovative business processes and models that previously required considerable human interaction. Rather, it is also about taking on complex, cognitively demanding tasks as part of the actual development of innovative business processes and models themselves [9, 10]. This data-driven evolution raises questions about idea realisation and leaves room for discussion about the generativity of AI as a driving force for creative idea development [11, 12].

 

Thanks to the use of AI, companies and entrepreneurs are increasingly able to develop new products and services optimally tailored to customers' needs [13]. Data-driven analysis using AI also enables the identification of new market opportunities and the development of new business areas [14]. The integration of AI into Entrepreneurship marks a decisive phase in which innovative development as value creation is increasingly data-based and influenced by AI [15]. AI has not only revolutionised operational processes, strategic planning and the associated decision-making but will also be fundamentally responsible for how companies and entrepreneurs develop and implement new business ideas in all sectors and industries in the future [16, 17].​

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Background

However, although AI is increasingly being integrated into business processes, there is still a significant knowledge gap regarding its concrete contribution to business value creation [16, 18-22]. There is a lack of comprehensive theoretical frameworks that explain how AI transforms creative ideas into commercially viable entrepreneurial activities. As a result, there are also only a limited number of empirical studies investigating the practical impact of AI on entrepreneurial decision-making processes, strategy development and business growth [23-25].

This article aims to provide an initial approach for a theoretical framework and analyse the influence of AI on entrepreneurial decisions. In particular, the following research questions are addressed:

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1.    Can an AI take over the creative development process for a new entrepreneurial idea and thus become active in the sense of Schumpeter's Creative Destruction?

2.    Can an AI, in this sense, not only support a “Human Entre­preneur” in his actions but even become an “Artificial Entrepreneur” itself?

3.    What framework conditions, limitations and research questions should/must be considered in developing an AI into an independent entrepreneurial entity ( so called "AI Entrepreneurship" or “Artificial En­trepreneurship”)?

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The following explanations are intended to answer these research questions by first fundamentally addressing the areas of AI's influence on the entrepreneurial decision-making process (Intrapreneurship vs. Entrepreneurship). Building on this, an initial general framework for Decision-Making Processes with Artificial Intelligence will then be presented based on a literature analysis. This general framework will then be transferred and expanded into a special framework for entrepreneurial processes with Artificial Intelligence as a basis for “AI Entrepreneurship or Artificial Entrepreneurship”.

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Article 1

Forms of Artificial Intelligence

Overall, it can be summarised that formative creativity is geared more towards incremental improvements (especially exploitation; particularly relevant for Digital In­trapreneurship), while transformative creativity is aimed at radical changes (especially exploration and disruption; particularly relevant for Digital Entrepreneurship). Exploration and, expressly, disruption represent the transition from formative to transformative creativity through AI and are still the greatest challenge, at least for the time being. With this in mind, we must now look at the individual forms of AI and relate them to the respective characteristics of formative and transformative creativity for decision-making in the context of Digital Intrapreneurship (especially exploitation) and Digital Entrepreneurship (especially exploitation/ disruption). 

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https://www.sciencepublishinggroup.com/article/10.11648/j.ijber.20251402.11

Framework_1_Web_a.jpg

Artificial-
Narrow-
Intelligence

(Exploitation)

Artificial-Narrow-Intelligence (ANI) for Digital Intra­preneurship in the Existing Business with the use of the Formative Creativity

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1.    Optimization: AI can be used to optimise existing processes by analysing data and identifying patterns that lead to more efficient workflows.

2.    Automation: AI can simplify existing workflows through automation by taking over repetitive tasks and freeing up human resources for more important activities.

3.    Maximization: AI can dynamically adjust prices by analysing market trends and consumer behaviour in order to increase sales without having to enter new markets.

 

These Points for a kind of “Artificial-Intelligence-Exploitation” (see Figure 1) are among the reasons why this form of AI still differs from natural, generally intelligent systems such as humans, which have a far-reaching ability to self-adapt to changing goals or circumstances. The influence on Entrepreneurship is accordingly still small and at best, can only be interpreted as a support (tool) for an Intrapreneur because this form of AI would need additional "transfer knowledge", in which results/fin­dings can be transferred from one goal or context to another [95] - maybe also for an intrapreneurial activity. But a "weak AI" can­not do this transfer alone, which brings us to the difference and transition to a "strong AI".

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Artificial-
General-
Intelligence

(Exploitation/Exploration)

Artificial-General-Intelligence (AGI) for Digital Intra­preneurship/Entrepreneurship for the Existing/Innovation Business with the use of Formative/Transformative Creativity

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1.    Development: AI can analyse large amounts of data and identify patterns or correlations that are difficult for humans to access or unexpected. This helps to identify new opportunities or risks.

2.    Conception: AI can also be used in the creative sector to create new ideas, art forms or content that did not previously exist.

3.    Innovation: AI can help to open up new product ideas or markets by identifying user preferences, market gaps or technological innovations.

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These Points for a kind of “Artificial-Intelli­gence-Ex­plo­ration” (see Figure 1) are among the reasons why this form of AI is already closer to a natural, generally intelligent systems such as humans, which have a far-reaching ability to self- adapt to changing goals or circumstances. The influence on Entrepreneurship is accordingly larger and can now be interpreted not only as a support (tool) for an Intrapreneur/Entre­preneur but also as an independent source for entrepreneurial activities and decisions because this form of AI could have “transfer knowledge” in which results/findings can be transferred from one goal or context to another [95] - maybe also for an intrapreneurial activity. 

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Artificial-
Super-
Intelligence

(Exploration/Disruption)

Artificial-Super-Intelligence (ASI) for Digital
Intra­preneurship/Entrepreneurship for the Innovation Business with the use of Transformative Creativity

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1.    Simulation: Thanks to its ability to simulate, AI can run through various scenarios without a company first having to risk real/digital resources.

2.    Evaluation: AI can not only simulate scenarios but also evaluate the efficiency and effectiveness of these new approaches and thus assess their chances of success in real time.

3.    Organization: AI can not only suggest completely new business models/strategies and new operational structures via simulation and evaluation but also implement them.

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These Points for a kind of “Artificial-Intelligence-Disruption” (see Figure 1) are among the reasons why this form of AI is equal to a natural, generally intelligent systems such as humans, which have a far-reaching ability to self-adapt to changing goals or cir­cumstances. The influence on Entrepreneurship is largest here and can now be interpreted as a replacement of a human intrapreneur/Entrepreneur, and the AI thus becomes an independent source for entrepreneurial activities and decisions because this form of AI will have “transfer knowledge”, in which results/fin­dings can be transferred from one goal or context to another [95] - also for an intrapreneurial activity.

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Article 2

Forms of Artificial
Entrepreneurship

According to Schumpeter, the “Human Entrepreneur” acts in particular as an innovator by developing innovative ideas through their creative power and establishing them on the market [44]. However, if we follow the previous descriptions, then there is no getting around the idea that AI can/will/may continue to replace the actual “Human Entrepreneur” through transformative creativity. and creative destruction will be taken over by a machine in the future? In this context, there are three possible scenarios for how (Digital) Entrepreneurship can/could develop under the influence of Artificial Intelligence (see Figure 2): Human-Digital-Entrepreneurship, Human-Artificial-Entrepreneurship and Artificial-Intelligence-Entrepreneurship

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Framework_2_Web.jpg

Human-Digital-Entrepreneurship

Human-Digital-Entrepreneurship (HDE) with the Human as the Founder-Authority and only/relevant Source of Intuitive/Creative Destruction

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1.    Creation: The human being as an Entrepreneur is the source of idea generation and thus of (often rather) intuitive/creative destruction in the development of an innovative Digital Business model/process.

2.    Evaluation: As the founding authority, the individual Entrepreneur is responsible for examining and formulating ideas (business plan) and thus for planning the associated company foundation (start-up).

3.    Implementation: As the Entrepreneur, the individual is the highest decision-making authority and is responsible for implementing the Digital Business idea and for the results of the company's development.

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These Points and the general conditions (see Figure 2) lead us to a final definition in this area with regard to our research question:

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Human-Digital-Entrepreneurship (HDE) is a form of entrepreneurial activity in which the Human as the Founder- Authority (human-driven decision-making) is the only/relevant Source of Intuitive/Creative Destruction for the creation, evaluation and implementation of a new company (start-up).

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Human-Artificial-Entrepreneurship

Human-Artificial-Entrepreneurship (HAE) with the Human as the Founder-Authority and Source of Intuitive/Creative Destruction together with the relevant support of an AI as a Source of a Discursive/Creative Destruction

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1.    Creation: The Human Entrepreneur is the primary source of idea generation, but is supported by an AI, so that both intuitive and discursive creative destruction takes place as part of the joint development of an innovative Digital Bu­s­iness model/process.

2.    Evaluation: Although the human Entrepreneur remains responsible as the Founder-Authority for the decisions in idea testing and idea formulation (business plan), the AI provides the basis and recommendations for this as well as the subsequent planning of an associated company foundation.

3.    Implementation: As Entrepreneurs, humans remain the highest strategic decision-making authority, but AI is also used for the operational tasks involved in implementing the Digital Business idea in order to contribute to the results of the company's development.

 

​Human-Artificial-Entrepreneurship (HAE) is a form of entrepreneurial activity in which the Human as the Founder-Authority and Source of Intuitive/Creative Destruction will be supported by an AI as a Source of a Discursive/Creative Destruction in a relevant way (human/machine-driven decision-making) for the creation, evaluation and implementation of a new company (start-up).

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https://www.sciencepublishinggroup.com/article/10.11648/j.ijber.20251402.11

Artificial-Intelligence-Entrepreneurship

Artificial-Intelligence-Entrepreneurship (AIE) with the Machine as the Founder-Authority and only/relevant Source of Discursive/Creative Destruction

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1.    Creation: AI takes on the role of the Entrepreneur and is the source of idea generation via (often rather) discursive/creative destruction as part of an innovative Digital Business model/process.

2.    Evaluation: In the role of the Entrepreneur, the AI is the founding authority and is responsible for checking and formulating ideas (business plan) and thus for planning the foundation of the company (start-up).

3.    Implementation: In the role of the Entrepreneur, the AI is the highest decision-making authority and is responsible for the implementation of the Digital Business idea and for the results of the company's development.

 

These Points and the general conditions (see Figure 2) lead us to a final definition in this area with regard to our research question:

 

Artificial-Intelligence-Entrepreneurship (AIE) - or in a short term also Artificial Entrepreneurship (AE) - is a form of entrepreneurial activity in which the Machine (AI) as the Founder-Authority (ai-driven decision-making) is the only/re­levant Source of Discursive/Creative Destruction for the creation, evaluation and implementation of a new company (start-up).

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https://www.sciencepublishinggroup.com/article/10.11648/j.rd.20250601.12

Author

​Prof. Dr. Tobias Kollmann 

Member of the Faculty of Computer Science, esp. Digital Business and Digital Entrepreneurship, University of Duisburg-Essen, Universitaetsstr. 9, 45141 Essen, Germany  tobias.kollmann [[at]] uni-due.de

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Prof. Kollmann has been working on scientific issues related to the Internet, Digital Business and E-Commerce since 1996. His research results have been published in international A-Journals such as Entrepreneurship Theory and Practice (ETP), Journal of Business Venturing (JBV), Strategic Entrepreneurship Journal (SEJ) and Journal of Management Information Systems (JMIS). According to FAZ, he was among the 100 most influential Economists in Germany in 2018, 2019 and 2021 with "weight in media, research and politics." 

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Cite the article (APA)

Kollmann, T. (2025). What is Artificial Entrepreneurship? The Influence of AI for the Creative Destruction of Schumpeter. Research & Development, 6(1), 7-29. https://doi.org/10.11648/j.rd.20250601.12​​​​

Open Access

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