OPTIMISING AI IN E-COMMERCE FOR SUSTAINABLE PRODUCTION AND CONSUMPTION

Abstract

The paper aims to investigate how artificial intelligence (AI) can promote sustainable practices in the e-commerce industry, particularly with reference to Sustainable Development Goal 12 (SDG 12): Responsible Consumption and Production, and to investigate how AI applications in ecommerce can be leveraged to create opportunities and address challenges related to SDG 12. This paper adopts a conceptual approach, drawing on existing literature to develop insights into AI applications in e-commerce and their impact on sustainability. Additionally, it also examines how leading e-commerce firms utilize AI to enhance the sustainability of their products and practices, deriving from the data from industry reports, company publications, and newspaper articles. The study found that AI has a significant impact on the sustainable practices associated with ecommerce through multiple applications. A large amount of overproduction activities leading to waste have been combated by using AI inventory and demand prediction management. AI promotes and encourages customers to involve in sustainable and environment friendly alternatives. Personalized recommendation systems motivate consumers to choose sustainable options by highlighting eco-friendly products. AI contribute in lowering negative environmental impact through reducing carbon emissions by efficient supply chains and logistics. AI driven solutions not only revamp product life cycle management, make the customers aware about sustainability but also reduces product returns and waste. These advancements demonstrate how AI can contribute to achieving SDG 12 by fostering more sustainable and eco-friendly ecommerce industry.