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Generative AI in B2B Marketing: Paradoxical Outcomes and Capability Conditions

Almoraish, Ahmed ORCID: https://orcid.org/0000-0002-4724-9204, Jang, Seongsoo ORCID: https://orcid.org/0000-0002-5948-0876, Alyahya, Mansour and Gounaris, Spiros 2026. Generative AI in B2B Marketing: Paradoxical Outcomes and Capability Conditions. Presented at: 2026 AMS Annual Conference, Savannah, GA, USA, 12-14 May 2026. Academy of Marketing Science,

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Abstract

Generative AI (GenAI) is reshaping marketing agency work by accelerating ideation, content production, and campaign optimization, yet its usage generates both organizational gains and risks. Guided by sociotechnical systems (Leonardi, 2011; Trist, 1981) and dynamic capabilities perspectives (Teece et al., 1997; Zahra & George, 2002), this study examines how GenAI usage relates to gains (content creativity, employee experience, marketing and financial performance) and risks (job insecurity, client privacy governance), and how absorptive capacity and customer orientation condition these effects. A mixed-methods design integrates interviews with agency managers (n = 20) and a survey of managers in UK B2B agencies (n = 425). Findings show that GenAI enhances creativity, employee experience, and organizational performance, while also heightening job insecurity. Counter to conventional wisdom, absorptive capacity dampens performance benefits while mitigating risks. Customer orientation amplifies creativity and performance but does not reduce job insecurity or privacy concerns. These findings reconceptualize absorptive capacity and customer orientation as trade-off mechanisms in GenAI contexts rather than universal enablers, extending recent insights on GenAI’s paradoxical impact in marketing organizations (Grewal et al., 2025; Singh et al., 2024). They highlight hybrid human–AI models, employee upskilling, and client-centered deployment as pathways to maximize value while containing downside risks. Keywords: Generative AI; B2B; Absorptive Capacity; Customer Orientation; Gains; Risks

Item Type: Conference or Workshop Item - published (Paper)
Status: In Press
Schools: Schools > Business (Including Economics)
Publisher: Academy of Marketing Science
Date of Acceptance: 2026
Last Modified: 13 Jul 2026 08:15
URI: https://orca.cardiff.ac.uk/id/eprint/188138

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