Abstract
This study examines the potential of Artificial Intelligence (AI) as a transformative mechanism for enhancing the sustainability and operational continuity of Family-Owned Businesses (FOBs) in Southeast Nigeria. The study explores how AI adoption can help address operational inefficiencies, improve decision-making, and support intergenerational continuity. The study employs a qualitative methodology grounded in an extensive analysis of secondary materials, including books, policy reports, and peer-reviewed journal articles. The literature review focused on conceptual foundations of AI, areas of AI adoption in FOBs, challenges impeding AI integration, and strategies for sustainable AI implementation. A thematic analysis framework was applied to synthesise insights across these areas, enabling the identification of patterns and implications for FOB sustainability. The literature indicates that AI adoption can enhance efficiency, decision-making, operational resilience, and competitiveness in FOBs. However, adoption is hindered by factors such as limited digital literacy among senior decision-makers, resistance to change rooted in family values, high implementation costs, inadequate infrastructure, and insufficient access to technical expertise. Strategies for overcoming these challenges include aligning AI integration with family-specific resources, effective succession planning, and culturally sensitive change management.mWhile extensive research exists on the sustainability challenges of FOBs, particularly in African contexts where survival rates are low, few studies have explored the role of AI in addressing these challenges. This study provides a novel conceptual contribution by highlighting AI as a strategic tool to strengthen operational performance, intergenerational continuity, and long-term competitiveness in family businesses. It also lays the groundwork for future empirical studies on AI adoption in emerging economies.