Artificial Intelligence as a Strategic Tool for Corporate Decision-Making in Modern Businesses: An Indian Perspective

Abstract

Artificial Intelligence (AI) has emerged as a powerful strategic tool that is reshaping how modern businesses take decisions. In the Indian corporate environment, organizations are increasingly adopting AI-driven systems to improve efficiency, accuracy, speed, and competitiveness in decision-making processes. From finance and marketing to supply chain management and human resource planning, AI tools such as machine learning, data analytics, natural language processing, and predictive modelling are supporting managers and top executives in making informed and timely decisions. This research paper examines the role of Artificial Intelligence as a strategic decision-making tool in Indian businesses, with a special focus on large corporations, startups, and public sector enterprises. The study discusses the conceptual foundations of AI, its evolution in the Indian context, and its application in corporate decision-making functions. It also highlights the strategic advantages of AI adoption, including cost reduction, risk minimization, improved forecasting, and enhanced customer engagement. The paper uses secondary data from published reports, industry surveys, government publications, and academic literature between 2014 and 2023. Simple statistical tables, decision models, and illustrative equations are used to explain how AI supports corporate strategies. The findings suggest that while AI adoption in India is growing rapidly, challenges such as data quality, skill gaps, ethical concerns, and regulatory uncertainties continue to limit its full potential. The paper concludes with practical recommendations for Indian businesses to effectively integrate AI into their strategic decision-making frameworks. This research contributes to the understanding of AI-driven corporate strategies in emerging economies like India.