Digital Commerce in the AI Era: Opportunities and Challenges

International Journal of Emerging Research in Science, Engineering, and Management
Vol. 2, SI1 (2026), pp. 285–292
Proceedings of Selected Papers from the
National Conference on Emerging Trends in Commerce and Management
NCETCM-2K26
2026-03-30 to 2026-03-31
Vijayawada, Andhra Pradesh, India
Organized by Andhra Loyola College, Vijayawada, India
eISSN: 3107-9075

This work is licensed under a Creative Commons Attribution 4.0 International License .

Digital Commerce in the AI Era: Opportunities and Challenges

Vallabhadas Kalpana, P. Anupama, O. Padmaja

Assistant Professor, Department of Commerce, PB Siddhartha College of Arts & sciences, Vijayawada, India

Abstract

Artificial Intelligence (AI) is rapidly transforming digital commerce by enhancing business operations and improving customer experiences. AI-driven technologies such as machine learning, predictive analytics, chatbots, and recommendation systems enable businesses to provide personalized services, automate operations, and make data-driven decisions. This study examines the opportunities and challenges associated with digital commerce in the AI era using an analytical approach based on secondary data from research articles and industry reports. The findings reveal that AI improves operational efficiency, customer engagement, fraud detection, supply chain management, and marketing effectiveness. At the same time, challenges such as data privacy concerns, cybersecurity risks, algorithmic bias, high implementation costs, and job displacement remain significant issues. The study concludes that AI has the potential to revolutionize digital commerce by driving innovation and competitiveness. However, responsible AI adoption, ethical practices, transparency, and strong regulatory frameworks are essential to ensure sustainable growth and consumer trust in the evolving digital economy.

Keywords: Digital Commerce, Artificial Intelligence (AI), E-commerce, Machine Learning, Data privacy.

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DOI: 10.66710/ijersem.v2si1.36

Open Access • Peer Reviewed Article

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This article is part of Volume 2, Special Issue 1 (May 2026)

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2026-05-19