The Role of AI in Consumer Decision-Making

This chapter explores the impact of artificial intelligence (AI) on consumer decision-making, focusing on its role in transforming purchasing behavior and personalization. AI technologies such as machine learning, predictive analytics, and recommendation systems have revolutionized how businesses engage with consumers, providing personalized experiences across the decision-making process. From problem recognition to post-purchase evaluations, AI enhances efficiency and relevance. However, it also raises ethical concerns, including data privacy, algorithmic bias, and transparency. The chapter examines these challenges and offers insights for marketers and retailers on leveraging AI for consumer behavior analysis. It also highlights areas for future research, particularly in AI ethics, data privacy, and the long-term effects on consumer autonomy.