The emergence of AI agents as digital intermediaries marks a fundamental transformation in how consumers discover, evaluate, and select products and services. As consumers increasingly delegate their decisions to these algorithmic gatekeepers, it compels firms to expand beyond traditional human-centered search engine optimization and user experience design to compete for algorithmic selection. Firms face a new competitive imperative: achieving what we term Algorithmic Fidelity , the capacity to be accurately discovered, interpreted, and executed by AI systems acting on behalf of users. We trace the theoretical foundations of this shift through resource dependence, bounded rationality and institutional convergence to reveal how agent-based intermediation compresses choice sets, reshapes market access, and redefines brand visibility. Drawing on early evidence from major platforms’ AI implementations, we develop a Delegation Readiness Audit positioning firms in the Intermediation Vulnerability Matrix to identify four distinct strategic archetypes and prescribe tailored pathways for achieving algorithmic competitiveness. Our analysis reveals that success in this emerging economy requires fundamental reimagination of business models, from optimizing for human attention to engineering for machine selection. We offer a forward-looking framework for senior executives seeking to maintain relevance as AI agents become the new gatekeepers of demand, with implications that extend beyond individual firms’ strategy to reshape market structure, competitive dynamics, and the nature of consumer agency itself.
Cui et al. (Sat,) studied this question.