E-Commerce and Trade

The integration of this e-business (IT) strategy with quickly advancing, extensively used, and extremely affordable information technology causes organizations to struggle. Consequently, businesses are compelled to continuously modify their business plans to satisfy shifting customer demands. Depending on the context, artificial intelligence (AI) can take the form of systems, tools, techniques, or algorithms. Big data can be used to target client demands through customized offers, giving businesses a competitive advantage. For starters, only the largest businesses and academic institutions can afford AI. Small- to medium-sized businesses can now incorporate AI into their operations thanks to the inexpensive cost (versus many older technologies). Apart from increasing productivity, AI is changing e-commerce in several other ways such as by enhancing customer service, addressing consumer requests, reducing costs, and obtaining a competitive edge. The demand for online commerce is also anticipated to increase globally because of reasons such as increasing mobile and smartphone adoption. Online sales have increased dramatically because of changing customer behavior and the availability of trustworthy, affordable technologies for secure transactions. The companies investing in digital operations of their enterprises are anticipated to offer many advantages, some of which include greater brand awareness, a larger potential consumer base, and a few others. The AI growth in e-commerce will lead to an abundance of computer technology, AI, and engineering jobs (Bandara et.al 2020). To better understand their customers and provide a better user experience, several e-commerce companies have begun to apply AI in many ways. AI would undoubtedly alter how we function and live. Its adoption is referred to be the fourth industrial revolution because of its tremendous potential (Srivastva, 2018). Applications of AI are dynamic social constructs that cannot and should not be evaluated only based on their accuracy and dependability. As we look around us, we appear to adopt the changes that technology brings in, whether they are smart homes, smart healthcare, Industry 4.0, or self-driving cars. By contrast, frequent protests have been conducted against the government on matters such as jobs, taxes, and privacy. A report published by “Business Insider” predicted that, by 2020, more than 85% of consumer interactions would be handled without a human being. Amazon has always acknowledged the benefits of technology associated with AI. The major online retailer uses AI to improve customer service, pick better products, and optimize logistics. AI can be employed for the automation of monotonous tasks required to manage an online store. AI makes it feasible to automate a variety of tasks, including basic customer service, loyalty discounts, and product recommendations. AI is highly suited for use in the e-commerce business model, and with the correct use of AI, e-commerce can move goods considerably and more swiftly than brick-and-mortar retailers. During 2016-2019, Amazon’s profits increased by an average of 143% per year thanks to big data analytics, which is also supported by AI. This was accomplished by optimizing prices as frequently as every 10 minutes based on a variety of external factors, including average online price, availability of the product, and historical demand patterns.