AI literacy alone is not enough: Student AI readiness and career adaptability in business and management education

Purpose As artificial intelligence becomes embedded in organizational and educational systems, higher education faces increasing pressure to support graduates’ adaptability in AI-mediated labor markets. This study examines how AI-related competencies contribute to career adaptability, focusing on AI readiness as a key developmental mechanism linking learning to career-relevant outcomes. Design/methodology/approach Survey data were collected from 339 university students enrolled in economics-, management-, and business-related degree programs in Italy and exposed to AI-related learning activities. A moderated mediation model was employed to analyze the relationships among AI literacy, AI readiness, AI self-efficacy, and career adapt-abilities. Findings AI readiness mediates the relationship between AI literacy and career adapt-abilities, with the indirect effect varying across levels of AI self-efficacy. AI self-efficacy positively moderates the relationship between AI literacy and AI readiness and shows a direct association with career adapt-abilities, indicating that motivational resources shape how AI-related knowledge becomes career-relevant. Research limitations and implications The cross-sectional design limits causal inference. Future research could examine the developmental role of AI readiness across professional contexts and over time. Originality/value The study contributes to management education research by clarifying the distinct roles of AI literacy, AI self-efficacy, and AI readiness in the education-to-work transition, positioning AI readiness as a central mechanism through which AI-related learning supports career adaptability.