AI Adoption in MSMEs: Opportunities, Barriers and Strategic Readiness in Emerging Economies

Abstract

The adoption of artificial intelligence (AI) has become an important tool for harnessing competitiveness, learning and results of performance for micro, small and medium enterprises (MSMEs) in emerging economies. Despite requiring greater policy emphasis and greater access to technology, little research data have been collected on emerging perceptions of AI opportunities, adoption challenges and strategic preparedness of MSMEs. In an endeavour to generate such research data, this chapter will examine AI adoption by MSMEs using data. The use of AI not only serves as an aid to organizations but also an innovation for organizations to acquire knowledge on data that influence performance outcomes on results. In this chapter, a survey-structured approach to the analysis is used, and a pragmatic and empirical method of data handling is used to describe MSMEs in operating crucial sectors of emerging nations. The descriptive and interpretational statistics, such as comparison of mean tests, correlation and regression, are used to spot trends in the adoption of AI, intensity of value creation sentiments, degree of constraint and readiness. These trends and patterns are spotted with the help of bar chart comparison, trend charts, scatter charts and heat maps, among others. The findings highlight that there is great potential for AI to make working more efficient for MSMEs, to help them make good decisions and to help them react better to the market.