Impact Of Artificial Intelligence Assignment Sample

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Introduction to The Impact Of Artificial Intelligence Assignment

Artificial Intelligence (AI) is a set of functions that enable computers to operate using advanced technology. It involves the gathering of data, analysis of collected information, recording processes, language translation, and providing intelligent suggestions (Oosthuizen et al., 2021). This technology demonstrates understanding and performance abilities similar to the human brain, including reasoning, calculations, and decision-making. With increasing academic interest supported by Online Assignment Help UK, the retail sector has been selected for this presentation to examine how AI is transforming business operations. The presentation will include a comprehensive literature review of the topic and further evaluate key findings related to the application of AI within the retail industry.

Main Body

Review of literature

Positive impacts of the AI on the retail sector:

Impact Of Artificial Intelligence Assignment Sample

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Maria Evans 6 Years | PhD

• Demand forecasting
• Enhanced supply chain
• Customer support
• Smart shopping
• Negative impacts of the AI on the retail sector:
• Information overload
• Need of literacy in the tools
• Costly
• Security issues

AI is the modern form of technology that is highly used by the businesses for better functioning in the market. Cao, (2021) stated that it enables the businesses to make the working effective and presents opportunities in front of it for improved market share and competition. Retail sector involves the companies that deals in the buying and selling of the goods such as clothes, groceries, electronics, personal care, etc. The AI has several impact on this retail sector which are both positive and negative. The positive impact brought the immense opportunities in the working of this field. It has significant influence on the demand forecasting for the firms and leading to better understanding of the companies regarding the consumer’s choice (Fu et al, 2023). Due to the use of this modern method the sellers can identify the people choice and produce the goods according to that. It helps in meeting the market demand and serving the customers as per their preference.

AI can be beneficial in the demand forecasting for the purpose of production, manufacturing, designing, etc. It has resulted in enhancing the supply chain of the goods and making it more effective. Anica-Popa et al, (2021) mentioned that this technology is beneficial for the firms in identifying the routes for the distribution which can be cost efficient as well as maintaining the inventory. This has simplified the process of product distribution which is fast and reliant for the buyers. Through the use of this tool, the companies can provide the customer support using the chatbots and virtual assistants that can provide the help to the customers at any point of time. Using the AI in the customer support, businesses can solve the queries of the buyers within few time and lead to the increase in the purchasing and sales of the goods (Heins, 2023). AI has also led to the introduction of the smart shopping for the customers. Through this method, the buyers can provide the features in the shopping such as virtual trials, stores and layout for finding the items.

The payment has also become so easy that it leads to the hassle free experience for the purchasers. On the other hand, Malikireddy (2024) contradicted that there can be issue regarding the threat to security as the cybercrimes are increasing and it can be concerning for the online payment. There can be too much information obtained from the forecasting which can be an issue for the ventures. This tool can lead to the overload in the details which can be difficult for the sellers to understand and process the planning. The enhanced supply chain and customer support may have to face issues. The digitalised supply chain function needs more literacy and digital skills for the execution. It will involve the employment of more skilled workers that can perform the functions and will be a time consuming process (Mirza et al, 2025). The customer support using the AI tool can also be a costly and inefficient for the venture. As the adoption of these tools involves the use of high software which can lead to the additional expenditure in the firms.

Analysis of the findings

M&S’s use of AI for the demand forecasting, supply chain and inventory control resulted in the increased profits.

Customer support using the AI tool in the Morrisons for better buyers query resolution.

Smart stores by the Sainsbury's introduced for customer’s efficient buying experience.

Cyber-attack faced by the JD sports showed the negative impact of AI.

The increased use of the AI has great influence on the retail businesses which bring opportunities as well as threats for the companies. The increased adoption of the method has shown that the companies are forecasting the demands for the goods in the market. The companies are able to meet the supply and demand in the market and working for the fulfillment of the buyers. Through the use of the AI, the companies are focusing making the supply chain and distribution better. The operations in this sector are made efficient that it is becoming profitable due to the reduction of the costs. The use of software that checks the inventory, record it and analyse the availability with the estimation. This is also beneficial for the distribution through the better ways which ensures the safe, fast and cheap delivery. Inventory management is also optimised through the use of this modern method. For example, M&S uses this technology to evaluate the prevailing consumer’s patterns and trends in the marketplace (M&S, 2025). In this way, the venture targets to work of providing the good quality trending clothes at the affordable price.

There are several ways the venture providing customer support using the AI. The use of AI based support service has risen in the retail sector and resulting in more customer satisfaction. It provides the feature to analyse, predict and ticketing of the service and also beneficial in giving real time query resolution to the customers. For example, Morrisons provides the online support service where the people can connect through live chat, calling, check FAQs, etc. and resolve the queries in no time (Morrisons, 2025). There is introduction of the smart stores mainly in the clothing companies that allow the buyers to try the clothes virtually. This helps the purchasers in experiencing the clothes appearance like in the physical stores. Smart stores also provides the virtual layout of the stores where the customer can check the products in the stores by sitting at the home and make the purchase online. For example, Sainsbury's online grocery shop is provides the seamless experience to the consumers in the buying of the goods (Sainsbury's, 2025). Through this the company is able to manage the positive consumers rating and increased position among the competitors.

It was found that there are few negative impacts of the implementation of the AI in the retail sectors which are the increased cost, skills need, information overloaded and security concerns. The ventures are facing high issue in managing the cost that is incurred due to the AI. As the technology requires continuous up gradation and meeting the recent version can be additional expense for the venture. This is also leading to the company need to hire the skilled workers for the purpose and providing training and development is also giving extra weightage to the working. This advanced tool can be can threat to the security as seen in the case of JD sports and may result in the loss for the business (IM, 2024). The availability of too much information can also be issue and leading to the over burden on the employees in the company.

Conclusion

This can be summarised from the above presentation that use of the AI has impacted the retail sector in numerous ways. There are positive impact such as the prediction in the demand, optimised supply chain, smart shops and customer support. However, there are few challenges related to the negative impact which are the security issues, overloaded information and increased cost.

Recommendations:

• It is recommended that the firm can check the privacy and continuously work on the updating the version of the software to prevent the malware and cyber-attacks.
• It can also be advised that companies can make budgets for the allocation of funds in the AI and its uses to cover the cost and expenditure.

References

Books and Journals

• Anica-Popa, I., Anica-Popa, L., Rădulescu, C. and Vrîncianu, M., 2021. The integration of artificial intelligence in retail: benefits, challenges and a dedicated conceptual framework. Amfiteatru Economic, 23(56), pp.120-136.
• Cao, L., 2021. Artificial intelligence in retail: applications and value creation logics. International Journal of Retail & Distribution Management, 49(7), pp.958-976.
• Fu, H.P., Chang, T.H., Lin, S.W., Teng, Y.H. and Huang, Y.Z., 2023. Evaluation and adoption of artificial intelligence in the retail industry. International Journal of Retail & Distribution Management, 51(6), pp.773-790.
• Heins, C., 2023. Artificial intelligence in retail–a systematic literature review. foresight, 25(2), pp.264-286.
• Malikireddy, S.K.R., 2024. Generative AI for retail marketing: Automated campaign creation and optimization. World Journal of Advanced Engineering Technology and Sciences, 13(1), pp.1058-1068.
• Mirza, J.B., Hasan, M.M., Paul, R., Hasan, M.R. and Asha, A.I., 2025. AI-Driven Business Intelligence in Retail: Transforming Customer Data into Strategic Decision-Making Tools. AIJMR-Advanced International Journal of Multidisciplinary Research, 3(1).
• Oosthuizen, K., Botha, E., Robertson, J. and Montecchi, M., 2021. Artificial intelligence in retail: The AI-enabled value chain. Australasian Marketing Journal, 29(3), pp.264-273.

Online

• IM, 2024). Largest UK Retailers Showing Signs Of Cyber Security Apathy Despite Growing Risks. Online. Available through: <https://www.irwinmitchell.com/news-and-insights/newsandmedia/2024/march/largest-uk-retailers-showing-signs-of-cyber-security-apathy-despite-growing-risks>
• M&S, (2025). M&S. Online. Available through: <https://www.marksandspencer.in/?utm_source=google&utm_medium=search&utm_campaign=10019994644&adgroupid=100707296803&utm_content=729871972245&utm_term=marks%20and%20spencer&gad_source=1&gclid=EAIaIQobChMI3866lKLUiwMVxxZ7Bx19hjJVEAAYASAAEgI2dPD_BwE>
• Morrisons, 2025). Welcome to your Morrisons Help Hub. Online. Available through: <https://www.morrisons.com/help/>
• Sainsbury's, 2025). SmartShop is the new way to shop at Sainsbury's. Online. Available through: <https://smartshop.sainsburys.co.uk/>