Will artificial intelligence undermine the effects of guanxi on relationship performance? Evidence from China's banking industry

While the critical role of guanxi in relationally governed Chinese B2B relationships is well recognised, Artificial Intelligence (AI) assisted smart loan services are introduced to reduce the possible relational bias of humans from a highly interactive, heterogenous, and dyadic relationship. This research is, thus, motivated to investigate how AI influences the relationship between guanxi and relationship performance and the mediating role of engagement. From employing dyadic samples of 283 bankers and 468 SME clients, results show that guanxi increases the relational aspect of relationship performance. We further demonstrate the significant negative moderating effects of perceived ease of use and usefulness. Chinese bankers hold different views from their clients as they believe the functionality and benefits of AI technology (e.g., ease of use and usefulness) do not interfere with their interpersonal guanxi with clients. The differences in perceptions offer fruitful insights contributing to B2B and guanxi literature, and generating managerial recommendations for practitioners.