Strategic decision making in smart home ecosystems: A review on the use of artificial intelligence and Internet of things

Abstract

In the context of smart-home ecosystems (SHE), this paper reviews the existing literature on the application of artificial intelligence (AI) and Internet of things (IoT) concepts in strategic decision-making. The paper provides insights about this field by identifying main trends, potential benefits, challenges and opportunities of generating new business models related to the creation of SHE. A conceptual framework is presented and analysed according to three sources of value creation: (i) AI for strategic decision support; (ii) AI for alliances and partnerships; and (iii) AI and IoT in SHE. One of the uniqueness of this paper is the fact that the clustering analysis combines the authors’ assessment with the results of a machine learning method (non-negative matrix factorization). Our findings contribute to enrich both theoretical and managerial perspectives with new forms of corporate development.