Artificial Intelligence (AI) and Organisational Fault Lines in Sustainable Mobility: A Case Study of Blue Smart
Richa N Agarwal, Ashutosh Tripathi and Ezendu Ariwa*
Abstract
This research investigates the structural, behavioural, and governance failures leading to the collapse of Blu-Smart, once heralded as India’s foremost electric vehicle (EV) ride-hailing start-up. Using theoretical frameworks from organization theory-agency, resource dependence, contingency, institutional, stakeholder, and behavioural finance-the study constructs a detailed multi-level analysis. The paper reviews the interconnectedness of business model design, governance structures, financial controls, regulatory compliance, operational resilience, leadership dynamics, and stakeholder engagement. Drawing on extensive case evidence, it demonstrates that Blu-Smart’s failure was systemic, arising from foundational weaknesses and theoretical misfits, not mere operational or market factors. Conclusions consider guiding principles for sustainable entrepreneurship in high-velocity technology sectors.
