Braving digital retail frontier through artificial intelligence: rhetoric, reality, institutionalization

Purpose This study explores how artificial intelligence (AI) has been intertwined with rhetoric and the journey of institutionalization in selected case study firms. The mechanism of institutionalizing AI into organizational processes, future technology transformation and the driving forces behind the implementation of AI is being explored. Design/methodology/approach It adopts the qualitative methodology and multiple case study approach, drawing evidence from ten leading retail sector organizations that have been practicing AI for over a decade. The main data collection method was face-to-face in-depth interviews, supplemented by focus group discussion and documentary reviews. From a theoretical stance, the paper draws on the notions of rhetoric institutionalism. Findings Empirical findings revealed that the rhetorical power of the word AI convinces the management of the firm to embrace AI. In contrast to the hype in the media, the real application of AI in the retail sector has not lived up. Therefore, the study delves into the noticeable discrepancy between the buzz surrounding AI and its actual use in retail sectors. Originality/value This study contributes to research by postulating that even though AI carries rhetorical power and prompt implementation, the real organizational application is far behind the rhetorical excitements. Foregrounding rhetoric institutionalism, it extends existing institutional theory-inspired management research. The paper also offers learning points to practitioners by illustrating the rise and fall of the AI implementation story. It further showcases how AI tools and techniques could be used by a business, how AI gets implicated in a firm’s business excellence journey and the ensuing management control ramifications.