TITLE:
Assessing the Potential Effects of Disruptive Technologies on Business Models: A Case of Saudi Arabia
AUTHORS:
Fahd Alqahtani, Abdullah Alshehri, John Mulyata, Desireé Cranfield
KEYWORDS:
Disruptive, Technologies, Innovation, Saudi Arabia, Businesses
JOURNAL NAME:
Open Journal of Business and Management,
Vol.12 No.5,
September
18,
2024
ABSTRACT: The aim of this study is to investigate the effects of disruptive technologies such as social media, big data, and artificial intelligence (AI) on the business models in Saudi Arabia. Thus, the study is set with the view of assessing the probable impacts of disruptive technologies and exploitation of competitive advantage by organizations. Disruptive technologies have been at the forefront of influencing business direction and strategies. Many businesses, particularly those of small or medium size, are confronted with the challenges of budgeting for digitalization, strategic plans, expansion, and other related issues. It is necessary to mount up and gallop with a strategic vision that is supported by the dynamism of the company model that is best suited. More emphasis is placed on exploring how technology can assist corporations to compete within the current existing market environment since the role of technology in assessing the performance of a firm has become relevant. While the government of Saudi Arabia has recently been implementing measures to change the orientation of the economy and shift toward the digital economy with the help of programs such as the National Transformation Program and Saudi Vision 2030, local businesses cautiously approach the implementation of new technologies as the existing market players are afraid of disruption and the costs of integration are high. The study will be significant in determining the best strategies for companies in Saudi Arabia to adopt in order to take advantage of the opportunities presented by disruptive technologies. The method of this paper is based mostly on reviews and employs a qualitative approach more prominently than quantitative methods. This paper’s findings revolve around disruptions, including artificial intelligence (AI), blockchain, and the Internet of Things (IoT), which are disruptive to Saudi Arabia’s business strategy, significantly influencing the business model. It stresses potential radical reconfigurations within commercial organizations as well as challenges like a lack of awareness and funding.