COIT20249: Machine Learning Application in JD Online Retail Store

This report examines the implementation of machine learning within JD, an Australian online retail business, focusing primarily on apparel and consumer electronics. The project aims to address declining sales by integrating machine learning to improve customer handling, provide tailored services, and increase efficiency. The report defines machine learning, differentiates it from artificial intelligence, and explores its applications in various industries like healthcare, finance, and transportation. It investigates the potential of machine learning in seven functional areas of JD, including pricing, segmentation, fraud prevention, and product recommendations. Furthermore, it discusses the advantages of machine learning, such as trend identification and improved customer service, while also considering the disadvantages and ethical, social, and legal implications of its implementation. The report highlights the potential for improved decision-making and business outcomes through the strategic use of machine learning in JD's online retail operations.

Running head: MACHINE LEARNING IN JD ONLINE RETAIL STORE
MACHINE LEARNING IN JD ONLINE RETAIL STORE
Name of the Student:
Name of the University:
Author Note:

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MACHINE LEARNING IN JD ONLINE RETAIL STORE
Table of Contents
Introduction......................................................................................................................................2
Body.................................................................................................................................................3
Conclusion.....................................................................................................................................11
References......................................................................................................................................12

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Introduction
Overview of problem
JD is an Australian company that is based on online retailing business. They are mostly
focused on the apparels that they sell. Consumer electronics is also the focus point of JD. Books
and accessories is also considered as retailing services. In recent times there have been problems
regarding decreasing in sales rate. This has been one of the major problems that are considered in
this report.
Aim of the project
Aim of the project is to implement machine learning in the functioning of the JD online
retail shop.
Purpose of the project
The purpose of the project is to make a documentation regarding the processing of
Machine Learning implementation in JD for performing better
Objective of the report
Objective of the report are as follows: -
 To provide a documentation regarding proper concept of Machine Learning
 To create a proper documentation regarding advantages and disadvantages of Machine
Learning implementation in online business set up.
 To understand the legal, ethical and social aspect of implementing Machine Learning

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Outline of the sections
This report provides a brief discussion of the keywords that are used in completion of the
report. Proper discussion regarding the idea of the project is also stated in the report. Proper
discussions regarding machine learning definitions are also stated in this report. Difference in
between artificial intelligence and machine learning is also stated. Proper survey regarding
implementation of machine learning is also stated in the report. Proper discussion regarding the
advantages and disadvantages of machine learning is also provided. Critical discussion regarding
the ethical, social and legal issues present in the implementation stages of machine learning.
Body
Keyword
Machine learning and Artificial Intelligence,
Idea of the project
Idea of the project is to implement Machine learning in the functional process of the JD
online retailing business. The main prospect of the ideology is to perform proper assessment of
client handling. Providing tailored services to their clients have been the major concern of the
project. Increasing good will of the customer with the help of the machine learning
implementation will be benefitting the business making process of JD online retail stores (Liu et
al, 2016, p. 2-4). It is also expected that with the help of Machine learning implementation,
resume screening of HR will also be getting benefitted (Grbovic et al, 2015, p. 2-7). This will
ensure that the business processing will be getting more efficient.
Definition of Machine Learning

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Machine learning is considered as the algorithm that can be used for resolving problems.
Proper developing of programs that will be instructing the computing devices to work as it is
required. This section will be helping in ensuring the fact that assessment of task will be
performed on the basis of data that are collected. Decision making is performed in a manner that
certain rules and concepts that are to be followed will be well understood and hence wise steps
will be taken (Toussaint 2016, p. 05). The main concern that is considered in this case is that
programing for each and every step is the not the way out but programming in a manner that
ensures that the computing device will be capable enough to learn the required data as per its
requirement and hence wise reducing the manual interception has been the major goal. This
section includes the fact that algorithm development is to be performed. Performing proper
interference with regards to the data analysis and collection has been the major strength of
machine learning. Machine learning also highlights the importance of data in training algorithms
which can be used for bringing in radical innovations in the functioning process. The learning
section is performed in 3 major manners, the techniques are namely supervised learning,
unsupervised learning and reinforcement learning.
Difference in between Artificial Intelligence and Machine Learning
Artificial learning and Machine learning has a fine line of difference in between them. To
start off with the differences, it can be stated as a technology that is created by human which is
capable of thinking by itself and take decision hence wise. It can be stated that AI is the study of
the processes that are to be implemented for training the computers as in to make the computers
capable of doing things in a manner that present human can perform. Hence it can be stated AI
has the capabilities of human content performance (Costante et al, 2012, p. 91-96). Whereas in
case of Machine learning, machine learning is programmed in a manner that the computing

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device is capable of learning at its own. This ensures the fact that proper assessment of the tasks
and the progress process is decided by the experience that is gained during performing the
performing the previous tasks. This section ensures the fact that ability of automatically learn
and develop as per the requirement of the task is something unique in case of machine learning
and which acts differentially from the artificial intelligence concept (Wehle 2017, p. 2-4). AI is
mainly focused with acquiring knowledge and implementing the same as per the knowledge
provided during the programing phase again Machine Learning is mainly focused with
acquisition of knowledge or skills.
There is a major difference in the process of visualization of the projects. The main
aspect that is considered in case of Artificial Intelligence, it is mainly focused on the success of
the output that is provided but not the accuracy of the task that is performed, whereas in case of
Machine learning imposing accuracy in the working process is the main concern. Success has not
been the major goal of Machine Learning (Qazi et al, 2016). In case of AI, performing smart
work is the main concern whereas in case of Machine Learning, learning from previous data sets
is the most important concern.
Survey of machine learning in other industries other than e commerce
The industries that uses machine learning in the process includes healthcare industry,
financial service industry, automotive industry, Transport industry and Oil & Gas Industry.
In case of usage of machine learning in the healthcare industry, the main aspect that is
considered is assessing of patient data in real time. This ensures the fact that there has been a
drastic growth in the field of digital treatment process. This ensures the fact that Machine

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Learning analytics centers the flag of anomalies and hence wise sends alerts to the treatment
professional. This usage of machine learning ensures that improved diagnosis can be gained.
Again in case of the Finance based industries, Machine learning is mainly used for 2
purposes, namely gaining insight to data and preventing frauds. Performing proper investments
as per predicative analysis is one of the major advantage that is to be performed.
Again in case of automotive industry, taking steps in a differential manner will be
including the aspect that data analytics will be getting benefitted and hence wise performing
proper customer experience before and after deal is conducted is seen. Identifying trends has
been another aspect that is considered in this case (Ata et al, 2019, p. 10). Proper assessment of
in trend patterns and handle data sets and hence wise perform proper assessment of location
optimization. This also helps in performing real time parts inventory and improved customer
care.
In case of the transportation industry the route identification has been the major scene in
which machine learning is used. This usage of machine learning in the transportation industry
helps in performing bettering the performance of the transportation company and hence increase
its efficiency. This will also increase the profitability of the organization implementing machine
learning.
Machine learning has been the integral part of every oil & gas industry. The main aspect
that is considered in this case is that gathering real time data as per the sectioning of the
actionable sector. This also helps in providing better competitive edge over the other companies
in the data analysis section.
Investigation of how much machine learning can be adopted in the JD

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Machine learning can be implemented to a very high extent in JD online retail store. As
the processing of the e commerce business process is completely dependent on the data that is
collected. Hence wise data analyzed will ensure that better decision making can be made
(Biamonte et al, 2017, p. 02).
Different functional areas that will be getting affected with the implementation of machine
learning
There are a total 7 functional areas of JD online retail store that will be getting benefitted
due to implementation of Machine learning.
The functional areas are namely pricing section, Segmentation and targeting section,
fraud prevention, search ranking, product recommendation, providing customer support and
supply & demand estimation.
In case of the segmentation section, JD online retail store was facing issues related to the
customer base segmentation. Due to the lack of segmentation in the business process the main
aspect that is concerned is that tailored service is not provided. This imbibes the fact that clients
might not be getting specialized and unique service for them.
Performing pricing optimization as per the products that are to be transacted will be
bettering the mark up rate. Hence wise performing proper pricing optimization as per the quality
of the product as well as the client will be benefitting the functional process (Gupta & Pathak
2014, p. 600-604).
Search ranking determination is also another aspect that is to be considered. In this case
the product that is searched the most is stated and proper ranking is created. This ensures that

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marketing strategy can be set in a better manner. The results also helps in understanding the
products that are not performing in a proper manner (Gu, Kelly & Xiu 2018, p. 04). This will
also help in better analysis of the marketing strategy.
Providing product recommendation will also help JD online retailer to reach the general
mass in a vaster range (Saleem et al, 2019, p. 589). This strategy might increase the rate of sales
and hence wise providing better business for the organization.
JD online support and service will also be capable of providing better customer support
and service to the clients after sales. With the help of machine learning, introduction of chat bots
will be enhancing the customer service provisioning section.
With the help of implementation of the machine learning proper understanding of the
demand and estimating the rates can be made. This will help in operational section of JD online
retail stores.
Advantages and disadvantages of implementing machine learning
There are several advantages that will be faced by the JD online retail shop due to the
implementation of machine learning are as follows: -
 Efficient identification of trends and patterns: with the help of machine learning, the main
aspect that will be getting better includes the fact that proper marketing can be performed
by JD online retailers. With exclusive data collection, proper analysis will be benefitting
the business organization in understanding the demands of the clients (Lison 2015, p. 8).
Proper understanding of the behavior of the client will help in performing better
prediction process.

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 Least intervention and human and inclusion of chat bots will be helping in providing
better service to the clients. With the help of the chat bots the data that will be provided
via the clients will be getting transacted and regulated in a better manner. This also
ensures that real time answers will be provided to the clients. This will also help in
providing better support to the clients and in a faster manner.
 With the help of gaining experience, it is obvious for Machine Learning that it will be
getting. This ensures that JD online retail will be getting better in terms of innovation
provisioning ((Pereira et al, 2018, p. 1708). Hence wise making more accurate prediction
can be performed. Machine learning algorithm will also be getting better with passing
time and hence better results can be expected with higher accuracy.
There are few disadvantages that might arise due to implementation of machine learning
and they are as follows: -
 Data Acquisition: Data Acquisition has been one of the major issue that might arise in the
processing of the business completion. The main aspect that is considered is that Machine
learning is completely based on data. This ensures that huge data collection will be made
in the process and in case proper security is not provided and data gets accessed by an
unauthorized identity, security issues might arise.
 Another major issue that will be present includes the fact that Machine Learning takes a
lot of time for data gathering and data analyzing (Grimmer 2015, p. 81). It is seen that
with time experience is gained and hence accurate decision making is performed. In the
initial stages, accuracy of the decisions made can be questioned.

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 Selection of Machine Learning algorithm will be acting as a major issue. This intend the
fact that in case wrong algorithm is selected in inappropriate case, decision making will
be made in a manner might not be as desired.
Discuss the ethical, legal and social issues about the implementation of machine learning in on
line retailer platforms
Ethical issue: The ethical issue that is present due to the implementation of machine
learning includes the fact that data collected might not be highly authenticated. The data that are
being used during the machine language, the main aspect that will be considered is that data that
are collected might get accessed in an unauthenticated manner. This will be harming the privacy
of the data and hence this will be acting as a major ethical issue for JD online retail store
(Quinlan 2014).
Legal issues: This might lead to unauthenticated political consulting and hence wise
validating the end user license agreements (Domingos 2012). This is the legal issue that might be
affecting the functioning process of JD online retail stores.
Social Issue: As the business processing has been getting more and more data centric.
Hence wise decision making and providing tailored service is completely based on the data that
is collected. In case the data that is collected is inappropriate decision making will be suffering
and hence this will lead to inappropriate tailored service provisioning. This might be affecting
the social processing of JD online retail store.
Recommendations

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The recommendations that are to be implemented for processing of machine learning are
as follows: -
 Performing proper risk analysis before implementation of the machine learning
 Implementing firewall in the machine learning process for protecting the data that will be
used for gaining experience. With proper security provisioning the main aspect that will
be considered includes the fact that unauthorized access to the data will be mitigated.
 Proper validation of framework will be required. This system will ensure that design
control will be made in a better manner.
 Proper transparency and interpretability is also needed to be maintained.
 Proper data quality control is also implemented
 Review of the collected data for better decision making is required in the process.
Conclusion
From the above report it can be stated that usage of machine learning will be bettering the
processing decision making and functioning of JD online retail store. This ensures that higher
efficiency in the process can be maintained. There are several advantages and disadvantages that
are to be considered in the implementation process of machine learning. The issues that are
present in the process can be mitigated with the help of the recommendations stated.

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References
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