ARTIFICIAL INTELLIGENCE AS A STRATEGIC TOOL FOR BUSINESS GROWTH: OPPORTUNITIES AND CHALLENGES

The phenomenon of Artificial Intelligence (AI) has become a disruption, changing the strategy of business andproviding new opportunities to grow sustainably. Due to the growing competitive pressures on organizations, AI isbeing framed not only as a technological solution but a decision-making, innovation, and operational excellence tool.This paper looks at the two-sided nature of AI in business development by looking at its opportunities and threats. AIon the opportunity aspect increases predictive analytics, streamlining operations, enhances customer interaction, andproduct innovation, all of which allow companies to achieve competitive advantage. Nevertheless, AI implementationis associated with equally problematic issues, such as the ethical concern, data privacy, lack of skills, high costs ofintegration, and organizational change resistance. A systematic methodological process enables the synthesis of theresults of the relevant literature and case evidence to provide the results which emphasize the heterogeneous effectsof AI on the sectors and companies of various sizes. It can be seen that despite having positive effects on efficiency,customer retention, and revenue growth, the implementation of AI results in a skewed distribution of benefits that aredependent on the structure of governance, digital preparedness, and the distribution of resources. The points ofconvergence of AI strategies with the organizational objectives, encouraging leadership engagement, and confrontingthe adaptation of the workforce are highlighted in the discussion. This article is part of the discussion body regardingthe digital transformation since AI is not only an instrument of growth but also an opportunity to reconsider thebusiness models amid the changing realities.