A Study on Impact of Artificial Intelligence on E-Commerce Industry with Reference to Customers Buying Behaviour

Abstract

Artificial intelligence has advanced over six decades, permeating every facet of our economy and society, yielding many remarkable accomplishments. For instance, in 1997, IBM's Deep Blue computer defeated the reigning human world chess champion, signifying the onset of the AI era. Subsequently, in 2016, Google's AlphaGo triumphed over the esteemed human professional Go player, Lee Se-dol, cementing artificial intelligence as a harbinger of the future. In 2017, the State Council issued a development plan for the next generation of artificial intelligence, formally establishing China's national strategic objective in this domain. AI, which has already demonstrated its efficacy across various sectors such as marketing, healthcare, finance, and education, is now expanding its footprint into e-commerce.

Despite its numerous benefits, AI raises ethical, societal, and technical challenges. The ethical implications involve issues like bias in AI algorithms, job displacement due to automation, and privacy concerns. Ensuring that AI systems are transparent, accountable, and fair poses a significant challenge. AI contributes a fair percentage in the development of E Commerce industry. This article will aid the marketer to understand the demographic implications in application of AI to understand customer’s buying behavior.