The company chosen for the project is Amazon. It is headquartered in Seattle, Washington, and is one of the largest e-commerce companies in the world. It offers many products and services, such as e-commerce, cloud computing, digital streaming, and AI. One aspect of the Fourth Industrial Revolution that could impact a company’s strategic planning is artificial intelligence (AI). The development of computer systems capable of carrying out tasks that usually require human intelligence, such as speech recognition, problem-solving, and decision-making, is called AI.
Thus, AI technology has the potential to revolutionize various industries, including retail. AI could play a significant role in the strategic planning for this company (Chalmers et al., 2021). One should state that Amazon already uses AI in various ways, such as its recommendation engine, which gives customers product suggestions based on their browsing and buying history. AI can improve Amazon’s customer service by offering personalized recommendations, improving search results, and making the shopping experience more enjoyable.
Despite the potential benefits of AI in Amazon’s strategic planning, there are also risks or dangers. An example is the possibility of algorithmic bias if data used to train the AI is biased by itself. This aspect can then lead to unfair outcomes, such as discriminatory product recommendations or prices (Chalmers et al., 2021). Additionally, there is a critical concern that AI may lead to the displacement of jobs in the labor market, resulting in unemployment or a need for different skills.
To summarize, the Fourth Industrial Revolution, with its emphasis on Artificial Intelligence, can have a major effect on corporate strategy. Amazon can use AI to boost its customer service and make shopping easier. Nevertheless, it is essential for Amazon to consider the dangers posed by AI, including the risk of algorithmic bias and job losses, when formulating its strategic plans.
Reference
Chalmers, D., MacKenzie, N. G., & Carter, S. (2021). Artificial intelligence and entrepreneurship: Implications for venture creation in the fourth industrial revolution. Entrepreneurship Theory and Practice, 45(5), 1028-1053.
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