A visual presentation of Online Shopping Agent in Artificial Intelligence (AI)

1. Online Shopping
Agent in AI

2. 1.
Internet Shopping Agents
(ISAs)
Let’s start with the first set of slides

3. ▷ Allow consumers to costless search many online retailers and
buy at the lowest price.
▷ Creates differentiation in the pricing strategies of ex-ante
identical retailers.
▷ Some retailers join the ISA due to mass of consumers that they
can potentially win.
▷ Others stay out and extract surplus from their loyal consumers.
What is does?

4. What is does?
▷ The equilibrium inside pricing is such that the average price
charged can increase or decrease when more retailers join.
▷ Depending on whether or not the reach of the ISA is
independent of the number of joining retailers.
▷ When the reach is endogenous, there exist a unique number of
inside retailers.

5. 2.
Agent
Let’s start with What is “Agent”?

6. What is Agent?
▷ An agent is anything that can be viewed as perceiving
its environment through sensors and acting upon that
environment through effectors.
▷ A human agent has eyes, ears, and other organs for
sensors, and hands, legs, mouth, and other body parts
for effectors.
▷ A robotic agent substitutes cameras and infrared
range finders for the sensors and various motors for
the effectors.

7. Agent Diagram
Environment:
Website, Consumers,
Retailers.
Percept:
User demand.
Action:
Will get the list of products for the user what user want
if that is available, if available user will get the list, if not
than a suggestion will show to find another brand or
lower/higher the budget.

8. Agent Function
Percept Sequence Action
(Price, higher) Search in range / show list
(Price, lower) Search in range / show list
(Price, higher) Not found / notification for
another range
(Price, lower) Not found / notification for
another range
(Brand, found) Show the list
(Brand, not found) Notification for another brand

9. 2.
PEAS
Let’s start with What is “PEAS”?

10. PEAS Description
▷ Performance measure: Price, quality, appropriateness,
efficiency.
▷ Environment: Current and future Web sites, vendors, shippers.
▷ Actuators: Display to user, follow URL, fill in form.
▷ Sensors: Web pages (text, graphics, scripts).

11. Better Prices
More Variety
Price Comparisons
No Crowds
Buying Old And Unused in Lower Price
Advantages

12. Physical Inspection
Power of Negotiation
Legitimacy
Charges
Dealings
Disadvantages

13. Revenue of
Amazon.com
Already Apple (AAPL, +1.80%)
Facebook Inc (FB, +2.46%),
Amazon and other top tech
companies are developing
and using AI for their own
products.

14. Conclusion
Technology has made significant progress over the years to provide consumers
a better online shopping experience and will continue to do so for years to
come. With the rapid growth of products and brands, people have speculated
that online shopping will overtake in-store shopping. While this has been the
case in some areas, there is still demand for brick and mortar stores in market
areas where the consumer feels more comfortable seeing and touching the
product being bought.
However, the availability of online shopping has produced a more educated
consumer that can shop around with relative ease without having to spend a
large amount of time. In exchange, online shopping has opened up doors to
many small retailers that would never be in business if they had to incur the
high cost of owning a brick and mortar store. At the end, it has been a win-win
situation for both consumer and sellers.

15. Referance
Date: 25/02/2018 11.18Am
▷ https://www.fastcompany.com/40474585/how-apple-facebook-amazon-
and-google-use-ai-to-best-each-other
▷ http://fortune.com/2017/11/30/amazon-artificial-intelligence-google/
▷ https://www.slideshare.net/GeetaJaswani/intelligent-agent
▷ https://seekingalpha.com/article/4034288-amazon-case-1-trillion-
market-cap-and-debunking-profit-misconception
▷ http://www.cs.iusb.edu/~danav/teach/c463/3_agents.html
▷ https://en.wikipedia.org/wiki/Intelligent_agent

16. Thanks!