As artificial intelligence (AI) technologies advance, traditional craftsmen face new challenges —to innovate using digital tools while preserving cultural authenticity and heritage knowledge. The "hybrid artisan," who strategically integrates AI-based design tools with traditional craft, emerges as a response to this tension. This article addresses research questions on how integrating generative AI technologies into design processes influences: (1) artisans' productivity and product quality; (2) cultural authenticity and heritage preservation; (3) sustainable business models in creative entrepreneurship. The research methodology employs a convergent design with mixed methods, combining: (a) a systematic literature review (PRISMA 2020, n=33 articles, 2022-2025); (b) a qualitative survey (n=13 artisans, Romania; semi-structured questionnaire, 34 items). The literature review identifies three dominant human-AI collaboration models: task-level cooperation, process-level coordination, and system-level co-creation. Diffusion models (LoRA-fine-tuned) and GANs achieve cultural authenticity scores of 73-95%, while reducing design time by 30-70%. Empirical data reveal paradoxes: artisans value authentic creativity and sustainability (30.8% rate sustainability as "extremely important"), but adopt AI cautiously (46.2% unfamiliar with AI tools). Those using AI report 15-40% productivity gains without proportional sales increases, suggesting the market does not yet equally value AI-assisted crafts. The successful "hybrid artisan" model relies on collaborative rather than autonomous AI positioning, explicit cultural safeguards in system design, and transparent communication with consumers about AI involvement. This research provides a framework for policymakers and entrepreneurs integrating digital technologies while maintaining cultural integrity.