Artificial intelligence for small and medium business: Perspectives and challenges

This research examines the perspectives and challenges of artificial intelligence (AI) implementation in small and medium-sized enterprises (SMEs). Through analysis of academic literature, industry reports, and survey data from 63 companies, the study investigates the potential applications, benefits, and barriers to AI adoption among SMEs. The findings reveal that while AI offers significant opportunities for SMEs in areas such as process automation, data analytics, customer experience personalisation, and operational optimisation, adoption rates remain low. The research identifies several key barriers, including limited access to industry data, insufficient financial resources, lack of technical expertise, and challenges with data integration. Survey results indicate that only 13% of surveyed companies have experience working with AI, despite widespread use of basic information management systems. The study highlights five primary areas where generative AI can enhance SME performance: content creation, automated operations, venture business ideation, financial management, and operational optimisation. The conclusions emphasise the need for targeted support mechanisms, improved educational programmes, and policy frameworks to facilitate AI adoption among SMEs. This research contributes to understanding the role of AI in SME development and provides practical insights for business leaders, policymakers, and researchers working to enhance AI integration in small and medium-sized businesses.