Small businesses are the staple to any community. The mom and pop stores help to create a culture atmosphere for the location they are in. Technology has an important role in all business models; however, certain aspects of technological advances can have both a negative and positive effect. While machines can aid the shop owners, artificial intelligence is becoming increasingly available and aiding businesses. Larger businesses will continue to benefit from the use of the machines, but they will have conflicting effects on small businesses.
WHAT IS ARTIFICIAL INTELLIGENCE?
Artificial intelligence is the use of a machine to carry out an activity. These are normal carried out by humans or animals and looked at and categorized as service. Through the use of machines, service now becomes completely automated. These machines have the knowledge that a human carries and can act through a series of computing models to replicate that service.
NEGATIVE EFFECTS OF ARTIFICIAL INTELLIGENCE
Interacting with a human or an animal is all part of the experience. This interaction plays a key role in small businesses. It is warm and inviting and pleasing to basic human needs. In most larger stores, artificial intelligence has taken over these interactions. Artificial intelligence can also be used in factories to replace a normal worker and create faster efficiency. With the ability to create an item faster, it will more widely available which will ultimately drop the price. The demand will be naturally higher for the more economically priced item. Eventually, the market for the small business will become smaller and in some cases non-existent. Artificial intelligence is slowly fading out small businesses and making it harder for them to compete with the market.
POSITIVE EFFECTS OF ARTIFICIAL INTELLIGENCE
Although there are some negative effects to using artificial intelligence, the positive effects balance them out well. Small businesses normally carry a product or service that is local to the buyer and can be re-created to be unique. Machines cannot create unique products efficiently while the smaller business can still offer the “homemade” feel. Artificial intelligence can help small business with the ability to create and maintain their orders and demands for help. With the use of artificial intelligence, machines and computers are available to them to help with inventory control. This can eliminate the need for additional employees. Labor cost remain lo which help keep the cost of operations down as well as price of the item.
Artificial intelligence has both negative and positive effects on small businesses world wide. With the growing advances of society, this is becoming a way of life. People are being phased out and their jobs are being replaced by machines. Small business owners will always exist, but the job of running the business will change. Living up to the demands of the economy and technology is tough although the basic human needs and interactions will always remain important.