The Effect of Artificial Intelligence on Shopee Business Performance in Indonesia:

Purpose: This study examines the effect of Artificial Intelligence (AI) Applications on Business Performance among active Shopee sellers in Indonesia, considering Consumer Engagement, Consumer Attitudes toward AI, and Operational Efficiency as related variables. Research Method: This study employed a quantitative approach using an online questionnaire distributed to active Shopee sellers in Indonesia through purposive sampling. Data were analyzed using SmartPLS and Partial Least Squares Structural Equation Modeling (PLS-SEM). Results and Discussion: The findings show that AI Applications significantly affect Consumer Engagement, Consumer Attitudes toward AI, Operational Efficiency, and Business Performance. Operational Efficiency also significantly affects Business Performance, while Consumer Engagement and Consumer Attitudes toward AI do not have significant effects on Business Performance. Implications: Shopee sellers can utilize AI Applications to improve operational efficiency and support business performance. Future research may examine other factors that influence business performance in e-commerce. Originality: This study contributes to the understanding of AI Applications and their relationship with business performance by examining operational efficiency and consumer-related variables among Shopee sellers in Indonesia.