Understanding the Consumer Dynamics of AI in North Macedonian E-Business

Research Purpose This study investigates the dynamics of Artificial Intelligence (AI) in e-business, particularly from the perspective of consumers in North Macedonia. The research aims to identify and evaluate the benefits and challenges of AI integration in e-business, explore the ethical concerns related to AI decision-making, and understand the impact of AI on consumer behaviour and preferences. Design/Methodology/Approach The research adopts a mixed-methods approach, integrating qualitative and quantitative analyses. Primary data was collected via a structured questionnaire distributed among various demographic groups to gauge the level of awareness and experiences with AI in e-business. A range of statistical tests, including ANOVA and correlation tests, were employed to assess the significance of the data collected and to test a set of hypotheses concerning consumer perceptions and experiences of AI. Findings The results reveal that demographic factors such as age, status, education, and occupation do not significantly impact the level of understanding, awareness, or experiences with AI among Macedonian consumers. Participants exhibited a level of high awareness of the importance of AI in e-business and rated their shopping experiences with AI more positively than traditional methods. Trust and reliability in AI did not significantly differ across demographic lines. The findings of this study have significant policy implications, especially in guiding the ethical and responsible integration of AI in e-business. They suggest a need for policies emphasising consumer data protection and privacy, given the heightened awareness and concern among consumers regarding using their personal information. Furthermore, the results advocate for the development of regulatory frameworks that ensure transparency and fairness in AI algorithms, addressing potential biases that could negatively impact consumer trust. Originality/Value/Practical Implications This research contributes novel insights into the Macedonian consumer market’s perception of AI in e-business, a topic scarcely covered in existing literature. The findings underscore the necessity for businesses to adopt AI responsibly and ethically, highlighting the importance of prioritising fairness, privacy, and transparency to leverage AI’s full potential in e-business. This study stands out in its exploration of AI in e-business from the consumer perspective in North Macedonia, a context not extensively covered in existing literature. The originality of our research lies in its focus on a comprehensive range of consumer-centric factors, including awareness, experiences, ethical concerns, and behaviour related to AI in e-business.