Role and Challenges to Adopt Artificial Intelligence for Enhancing Business Competitiveness

Abstract

Artificial intelligence (AI) was developed in the mid-1950s. AI is a revolutionary technology which reshaping businesses’ activities worldwide. Nowadays, many organizations are enhancing the usage of AI techniques like robotics, automation, machine learning, and predictive analytics to increase the efficiency, productivity, and competitiveness of their business. The main aim of this study is to examine how artificial intelligence assists businesses in gaining competitiveness and increasing operational efficiency, strategic decision-making, customer satisfaction, innovation, organizational performance, predictive analytics, digital transformation, and global competitiveness, as well as efficiently managing human resources. This study is based on secondary data, which is collected from research papers, reports, and websites. Finding of this study shows that artificial intelligence literally works and provide the benefits like cost reduction, customer satisfaction, increase productivity, better competitive advantage, more innovative, increase global competitiveness and digital transformation, predictive analysis etc. along with the benefits some challenges also highlights like huge deployment cost, limited technical knowledge, issue of data privacy, ethical and legal issues, fear of layoff and oppose to change etc. which resist to businesses to adopt artificial intelligence smoothly. In conclusion, this study finds that businesses that intentionally adopt AI technologies are more likely to be flexible and growing, particularly in a highly competitive digital economy.