The readiness of organization is crucial for the adoption of new technology. However, not many empirical works have explored the adoption of AI in small and medium enterprises (SMEs) in Thailand. The present study explored the influence of technological, organizational and environmental contexts in the adoption of AI in Thai SMEs and Bangkok Metropolitan Area in particular where maximum businesses are concentrated. The study carried out research to establish causal relationship for the adoption of artificial intelligence (AI) which has the potential to transform the business in terms of marketing mix. In this study, the data was collected from 320 respondents employed in different Thai service sector SMEs. To facilitate this study, a structure with three variables, namely dependent (preparedness of SME), independent (technological, organizational, and environmental contexts) and mediating variable (marketing mix) was developed. PLS-SEM modelling was utilized to explain the proposed hypothesis.