<p>This research examines the interplay between green product innovation performance, artificial intelligence adoption, and government participation, and their influence on the competitiveness of enterprises in Pakistan. It highlights the pivotal importance of government engagement and investment in research and development in this process. The study used structural equation modeling to investigate the complex interactions between many parameters, based on the replies of 301 top managers in Pakistan. The results highlight a strong and positive relationship between green innovation and the deployment of artificial intelligence. The engagement of the government and funding in research and development play crucial roles as moderators. This research offers a unique viewpoint on the collaboration of technology, creativity, and government intervention in the growth of emerging countries. This study offers valuable insights for executives, policymakers, and academics on integrating innovative and sustainable practices into business strategies, emphasizing the need to incorporate cutting-edge technology and environmentally friendly approaches into corporate plans in order to gain a competitive edge. This study contributes to the current knowledge base about innovation and competitiveness. The study provides practical recommendations for improving the performance of companies in Pakistan and other comparable developing markets.</p>