The Importance of Artificial Intelligence in Improving True Value Company's Profitability

Public Speaking

Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION................................................................................................................................3
REFERENCES................................................................................................................................4

INTRODUCTION
The beneficial impact of AI on profitability of True Value Company is being ignored. It is
important for businesses to introduce Artificial intelligence as resource in order to improve
business operations and succeed in the online and offline retailing industry (Loske & Klumpp,
2021). This speech focuses on benefits gained from adding Artificial Intelligence as a resource in
the company budget.
MAIN BODY
I am seeking to your attention the fact that The True Value company is facing a bleak future
because of high intense competition prevalent in the retail industry. E-commerce giants such as
Amazon and other hardware retailers in US. The company generated revenue lower than 500
million in the first quarter of 2021 which showcases that firm is not able to attain high
profitability during increase in online shopping (True Value Company, 2021). The company also
does not have a strong online presence and inability to build digital capabilities can affect long-
term survival of the firm. Therefore. It is necessary to take steps for encouraging digital
transformation at True Value Company which can be initiated by focusing on Artificial
Intelligence.
Adoption of Artificial Intelligence technology is not new in US as many small business
firms are using AI technology in at least one of their functions to enhance business of
performance. This is evidenced by the statistical data of International Data Corporation that the
global expenditure on Artificial Intelligence is expected to increase in the next four years from
$50.1 billion currently to more than $110 billion by the year 2024 (Worldwide Spending on
Artificial Intelligence Is Expected to Double in Four Years, Reaching $110 Billion in 2024,
According to New IDC Spending Guide, 2020). The lack of company investment in Artificial
Intelligence is evading the respective company from exploiting lucrative opportunities
introduced by usage of Artificial Intelligence. As per the Boston Consulting group business firms
who offer personalized experiences by integration of advanced digital technologies and usage of
propriety data are able to enhance revenue by 6% to 10% compared with business firms who do
not utilize digital technology (Artificial Intelligence: How AI Is Changing Retail, 2021).
In order to solve the problem of increasing competition, the True Value company needs to adopt
AI technology to enhance various business processes and improve consumer experience.
1