The Role of Artificial Intelligence in Strategic Planning and Competitive Advantage

Abstract

This study investigates how Artificial Intelligence (AI) affects strategic planning and helps industries improve their competitive positions. With digital changes becoming more overwhelming, organisations need to act fast and AI gives them the tools and guidelines they need for foresight, agility and decision intelligence. By studying more than 80 recent academic articles on the topic, the paper explores how AI merges with approaches like Resource-Based View (RBV), SWOT and Porter’s Five Forces and boosts them by using predictive analytics, natural language processing (NLP) and machine learning (ML). Looking at Amazon, Google, IBM, Tesla and SMEs reveals how AI helps improve efficiency, speed up innovation, develop well-known brands and improve interaction with the ecosystem. The findings also show that unmanaged ethical problems, governance gaps and differences in goals can hold back AI. The results point out that AI should be considered both a useful technology and a strategic partner, creating continuous value when it supports corporate aims, ethics and leadership. In addition, the paper advocates for additional research that brings together different experts to solve the challenges in AI policy, planning and its social results. Because of these insights, organisations, scholars and policymakers gain the support they need in the dynamic AI-based business environment.