When Does AI Capability Convert to Advantage? A Complementarity-Gated Framework for Startups in Resource-Constrained Economies

Authors

  • Mwita Wanyancha Nelson Mandela African Institution of Science and Technology image/svg+xml Author https://orcid.org/0009-0009-7416-9531
    • Writing – Review & Editing
    • Writing – Original Draft Preparation
    • Visualization
    • Validation
    • Supervision
    • Resources
    • Project Administration
    • Methodology
    • Investigation
    • Formal Analysis
    • Data Curation
    • Conceptualization
  • Moureen Lembris Mollel Author https://orcid.org/0009-0001-0488-3643
    • Investigation
    • Project Administration
    • Supervision
    • Writing – Review & Editing
    • Resources

DOI:

https://doi.org/10.70715/jitcai.2026.v3.i4.091

Keywords:

Artificial intelligence capability, emerging economies, Competitive Advantage, startup performance

Abstract

Purpose: This paper develops a conceptual framework linking artificial intelligence (AI) capability, competitive advantage, and startup performance in emerging economies, addressing the limited and fragmented understanding of how AI capability translates into venture outcomes in resource-constrained contexts.
Design/methodology/approach: The paper employs a structured review of empirical and theoretical literature, grounded in the resource-based view (RBV) and the dynamic capabilities perspective. It synthesizes evidence across studies to identify points of convergence, divergence, and unresolved tension, and on this basis derives a set of testable propositions.
Findings: The review shows that AI capability is a multidimensional construct whose translation into competitive advantage is conditional rather than automatic: it depends on complementary resources such as digital skills, infrastructure, organizational and absorptive capacity, and strategic alignment that are systematically scarce in emerging-economy startups. The paper advances a framework in which competitive advantage mediates the AI capability–performance relationship, but in which that mediating pathway is itself gated by the availability of complementary resources, making the capability–advantage link contingent on context rather than a general regularity.
Originality: The paper's contribution is not that AI capability requires complements, a point established in prior literature, but that it formalises where complementarity binds: not on the path from advantage to performance, where most mediation literature locates contingency, but on the prior path from capability to advantage itself. It specifies this as three concrete, measurable gating conditions: digital infrastructure, founder AI literacy, and ecosystem support, rather than treating resource scarcity as unmodelled context. This repositions AI capability from a resource assumed to convert into advantage into one whose conversion is itself the object of theoretical and empirical explanation, with the moderated pathway as the paper's central, testable claim.

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Author Biography

  • Moureen Lembris Mollel

    I am a Tanzanian innovation, product, and programmes leader with more than seven years of experience designing, building, and scaling entrepreneurship and digital-innovation initiatives across Tanzania and the wider East African region. I currently serve as Ecosystem & Communications Manager (Policy & Advocacy) at the Tanzania Startup Association (TSA), Tanzania's national member-based association for the startup and innovation ecosystem. In this role, I convene multi-stakeholder platforms linking startups, policymakers, development partners, and private-sector actors; lead startup-policy advocacy that strengthens the enabling environment for innovation and entrepreneurship nationally; and build the public-sector and institutional partnerships needed to scale new solutions.

    My research interests centre on entrepreneurship-ecosystem development in emerging markets, and specifically on the structural and linguistic barriers that limit entrepreneurial participation. I hold an MSc in Entrepreneurship and Innovation from the University of Sussex (United Kingdom), completed as a Chevening Scholar (2024-25 cohort), with a focus on digital transformation, innovation management, Design Thinking and strategic leadership. My thesis, "Bridging the Divide: How Swahili-language resources can boost entrepreneurial success in Tanzania," examined how the near-total dominance of English-language business, financial, and digital-skills resources constrains entrepreneurial capability among Swahili-first populations, and what localisation strategies could close that gap. This work anchors the themes I continue to pursue: language and access in entrepreneurship support; human-centred design (HCD) and design-thinking as methodologies for translating user and market insight into market-ready products and programmes; digital and financial-services innovation; gender-inclusive entrepreneurship support; and innovation-policy design for under-resourced ecosystems. My earlier BSc in General Science (Biology major, Chemistry minor), Open University of Tanzania (2016-2020), gave me an early grounding in structured, evidence-based analysis that has carried into the monitoring, evaluation, and learning (MEL) work underpinning every programme I have led since.

    My career spans both financial-services and ecosystem-support institutions. At CRDB Bank Plc, as Business Transformation Coordinator, I supported enterprise-wide transformation initiatives, conducted market research and data-driven assessments, and contributed to the bank's medium-term (3-5 year) strategy. At Ennovate Ventures, as Head of Programs, I built the Difigy digital-skills programme end-to-end, reaching more than 1,000 youth since 2020 through a human-centred design approach, and contributed to ecosystem learning and innovation mapping through initiatives such as the AfriLabs Learning Week. At the Westerwelle Foundation (Startup Haus Arusha), as Programme Coordinator, I mobilised approximately EUR 187,000 from international partners - including YY Ventures, the Friedrich Naumann Foundation, and the Embassy of the Netherlands - to design and deliver the Imarisha, AfroGreen 2.0, and DigiTalents programmes for youth and women entrepreneurs, with training delivered across Mwanza, Mbeya, Zanzibar, Dar es Salaam, and Arusha. At Anza Entrepreneurs, as Fundraising and Partnerships Manager, I designed fundraising and partnership strategies for early-stage ventures, delivered accelerator training under the Pesatech Startup Accelerator, and led a communications strategy that materially strengthened the organisation's digital presence and ecosystem engagement. I have also provided pro bono strategic, fundraising, and impact-tracking support to Mrembo Naturals, a Tanzanian social enterprise, and mentored a Tanga-based startup through the INCO Mawimbi Programme.

    Beyond my primary employment, I contribute to regional innovation governance and knowledge-sharing as Curator of the Arusha hub of the Global Shapers Community (a World Economic Forum initiative), as a Learning Facilitator for AfriLabs' regional programmes, and as a Gender Track contributor at the AfriLabs Annual Gathering in Kigali. My leadership practice began with AIESEC, where I served as Local Chapter President in Tanzania and, in 2018, led an international volunteer cohort on a community-education project that reached over 200 children and ten families in Tanzania. I am fluent in both English and Kiswahili (reading, writing, and speaking) - a bilingual foundation that directly informs my research interest in localisation and language access within entrepreneurship-support systems. I am based in Arusha, Tanzania, and remain committed to advancing inclusive, evidence-based entrepreneurship and innovation policy that expands economic opportunity for youth and women across Tanzania and East Africa.

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Published

07/31/2026

Data Availability Statement

No primary data were generated or analysed in this study. The paper is a conceptual, theory-building contribution developed through a structured review of published literature; all sources are cited in the reference list.

How to Cite

[1]
M. Wanyancha and M. L. Mollel, “When Does AI Capability Convert to Advantage? A Complementarity-Gated Framework for Startups in Resource-Constrained Economies”, Journal of Information Technology, Cybersecurity, and Artificial Intelligence, vol. 3, no. 4, pp. 121–134, Jul. 2026, doi: 10.70715/jitcai.2026.v3.i4.091.

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