Angela Aristidou
Erik Brynjolfsson
Christina Langer

SMEs form the backbone of the economy and employ a substantial workforce share. Thus, understanding how they engage with AI is crucial for economic inclusion through the latest wave of technological change.

This project investigates whether targeted support, such as structured workshops (and guided access to generative AI tools), can help SMEs overcome adoption barriers and take meaningful steps toward implementation. While AI offers significant potential to boost productivity and innovation, many smaller firms lack the resources, expertise, or confidence to get started.

In partnership with an organization supporting SME digital transformation, we conduct a randomized controlled trial among firms that express interest in improving their AI capabilities. Participating firms attend a half-day workshop designed to assess digital readiness, raise awareness, and co-develop concrete AI action plans tailored to their business needs. Some firms may additionally receive guided access to GenAI tools to support implementation.

Our research explores key questions: What holds SMEs back from adopting AI? Can structured, low-cost interventions move the needle? Which types of firms benefit most, and how do outcomes evolve over time?

We combine survey and administrative data to assess changes in AI readiness, perceived barriers, adoption behavior, and broader business performance. By leveraging experimental methods, this project generates rigorous, policy-relevant evidence on how to make AI adoption more inclusive and effective for smaller firms.