Artificial Intelligence in Business Strategy: How AI Driven Analytics is Reshaping Decision Making

Abstract

At a time when data is now a strategic asset, Artificial Intelligence (AI) is transforming the way organizations develop and execute business strategies. The paper discusses AI-based analytics as a way to change the managerial decision-making process, improving its accuracy, speed, and foresight. The study employs a mixed-method design to merge literature review and empirical findings of business leaders, data analysts, and technology strategists to examine the degree to which AI analytics models like predictive modeling, machine learning, and natural language processing can be used in data-driven decision-making processes. The conclusions indicate that AI implementation enhances operational efficiency, less cognitive bias in strategic decision-making, and real-time flexibility in competitive markets. Nonetheless, the research also pinpoints some serious issues such as privacy of data, ethical issues, and lack of skills that impede the best adoption of AI. The implications point to the need to strike a balance between the technological capacity and human control and ethical governance in organizations. This study adds to strategic management literature because it offers an in-depth insight into the role of AI-powered analytics in transforming decision-making frameworks and offers a prospective of sustainable, smart business strategies in the digital economy.