International Journal For Multidisciplinary Research

E-ISSN: 2582-2160   •   Impact Factor: 9.24

A Widely Indexed Open Access Peer Reviewed Multidisciplinary Bi-monthly Scholarly International Journal

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Volume 7 Issue 4
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Artificial Intelligence in SMES in India: Implementation, Benefits, and Challenges

Author(s) Prof. Dr. Rakesh Patil, Dr. Diksha Swaroop
Country India
Abstract Small and Medium Enterprises (SMEs) are pivotal to India’s economy, contributing significantly to GDP and employment. The integration of Artificial Intelligence (AI) offers transformative potential for these enterprises, enhancing operational efficiency and competitiveness. This research article examines the implementation strategies, benefits, and challenges of AI adoption in Indian SMEs, with a focus on industry-specific applications. Drawing on recent studies, including the Nasscom-Meta white paper (2024), case examples, insights from AI-driven businesses like Observe.AI, and research by Daga et al. (2025), the article highlights how AI tools such as Haptik, CropIn, Qure.ai, and Observe. AI’s contact center solutions are utilized in sectors like retail, agriculture, healthcare, and business process outsourcing. Despite benefits like cost optimization, improved decision-making, and enhanced customer engagement, challenges including financial constraints, skill shortages, and limited awareness persist. The findings suggest that strategic approaches, such as leveraging cloud-based solutions, government support, and localized training, can facilitate AI adoption. This study contributes to the literature on digital transformation in emerging economies.
Keywords Small and Medium Enterprises(SME), Artificial Intelligence (AI), E-Commerce, GDP
Field Business Administration
Published In Volume 7, Issue 4, July-August 2025
Published On 2025-07-05
DOI https://doi.org/10.36948/ijfmr.2025.v07i04.50209
Short DOI https://doi.org/g9s9h2
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