BUSINESS DIGITAL TRANSFORMATION IN THE DATA-DRIVEN ECONOMY: ENHANCING VALUE WITH AI SERVICES

. The purpose of the paper is to explore cutting-edge AI-based solutions applied for providing a multi-busi-ness company with the capability to increase business value in the agenda of digital transformation. The main elements of a scale-up business strategy, where AI creates business value, are identified and described. The methodology includes secondary research involving reviewing and interpretation of secondary data, analysis of publicly available statistical data, and a case study for providing factual evidence from a specific example – the company, which is one of the best illustrations of business digital transformation. The conducted research shows that today, data has become key resource for data-driven business model innovation and maximizing business value. The results are supposed to contribute to the debate what AI means for business leaders in the agenda of developing a scale-up strategy, and how they would benefit from building an AI-powered company.


Introduction
Growing digitalization of the modern knowledge-based economy is transforming the way people do business and communicate (United Nations Conference on Trade and Development [UNCTAD], 2021).It is quickly changing business practices and boosting innovation and modernization in all business segments (OECD, 2019(OECD, , 2021)).Data and data flows contribute to addressing burning economic and social challenges, including the issues that are associated with the Sustainable Development Goals (UNCTAD, 2021); the accomplishment of them being an essential pre-requisite for generating a company's competitive (The Sustainable Development Goals Report, 2021).
Digital innovation is reformatting companies and entire industries through disrupting business operational models and providing an assortment of opportunities for both businesses and policy-makers (World Economic Forum, 2018).Digital transformation (DT) associated with the usage of digital technologies significantly modifies customers' behaviours and expectations as well (Verhoef et al., 2021).The seven technologies, which are transforming the industries to a considerable degree include -Discussing the place of global digital platforms that support data value chain.-Exploring strategic data-driven solutions developed by the case company for different areas and industries.-Exploring the case company's Artificial Intelligence and Machine Learning (ML) services that are based on an all-inclusive cloud platform -as best examples of using AI in business in the agenda of digital transformation.-Based on the Amazon.comcase, identifying the main elements of a scale-up business strategy, where AI creates business value.

Methodology and research design
In the paper, the authors used a multi-method approach.
The methodology of the research includes 1) secondary research, involving reviewing and interpretation of secondary data; 2) analysis of statistical data -using and interpreting statistics from a number of sources; 3) analysis of the Amazon.comcase study for providing factual evidence from a specific example -the multi-business company that is one of the best illustrations of business digital transformation.
The choice of the above methods was determined by the nature of the study (exploratory), main research aim and asscociated supporting objectives.
To understand the context, in which AI is applied, the author reviewed the literature and previous research on the topic.Recent work about digital business transformation has been mainly dedicated on exploring related challenges, benefits and accompanying trends.The purpose of the review of related work and specialized literature was to familiarize the readers with the research issue and the rationale for exploring this issue.In the paper, different interconnected aspects of the phenomenon under observation are examined.
Statistical data was utilized to investigate some trends, patterns, and relationships in the context of business digital transformation.The authors analysed quantitative data that were available from trusted statistics portals -most commonly used secondary data sets within the social sciences.
The Amazon.com case study was conducted to explore strategic data-driven solutions developed by Amazon.com for different industries, mainly AI and ML services based on an all-inclusive cloud platform -as best examples of using AI in business.The rationale for choosing the company was its status of a global digital platform and one of the best illustrations of business digital transformation.For analysis, the authors used publicly available information from the company's website.
The paper is structured in the following sections.In the Introduction, the actuality of research topic, the aim and objectives of the study, as well as research methodology are described.In the second section, the authors provide a review of related work and specialized literature on the research topic.In the third section, the results of the analysis of statistical data and Amazon.comcase study are presented.In the same section, a framework for scaling up in the digital transformation age is provided.In the concluding section of the paper the main conclusions, limitations of the study and implications for further research are discussed.

Business digital transformation: new standards and attitudes to economic and business development
Today, digital business has become a prevalent economic segment (Wirtz, 2021).Remaining competitive in the global stormy environment requires from a modern company to go through an inclusive digital transformation (Sacolick, 2017).
Companies are now deploying various digital solutions that provide additional opportunities for transforming their products and services, innovation being regarded as the nonstop introduction of new technologies, business models and communications approaches (Chaffey, 2011;Chaffey et al., 2019).This is determined by the necessity to increase customer value as a response to growing demand for better-quality products and services in the agenda of markets internationalization (Morabito, 2016;Presser et al., 2018;Aagaard, 2018).Digital transformation allows creating value in collaboration with consumers over digital ecosystems and platforms (Vaska et al., 2021).
From the business perspective (based on the pragmatic needs of businessmen to gain benefits by investing into digital solutions), digital transformation is defined as "organizational change through the use of digital technologies and business models to improve performance" (Wade, 2015).Digital transformation embraces both the service sector producing intangible goods (professional services, health care, transportation and logistics, information services, arts and entertainment, etc.) and manufacturing sector ("Industry 4.0" -digital transformation of production procedures and value creation processes).
Business digital transformation is closely related to the company's capacity to effectively use novel technologies and advanced models for expanding their business processes (Herbert, 2017).Digital transformation initiates new standards and attitudes to economic and business development, having a strong economic effect (OECD, 2019); it "outruns the technology" itself, as it is more about dealing with emerging challenges through generating a competitive digital capability (Herbert, 2017;Vaz, 2021).
This can be done by utilizing new cost-efficient business models and developing more efficient business procedures practices, this way creating more customer value (Herbert, 2017).
Thus, digital transformation presupposes a more inclusive digitalization experience as ever before; it also transforms customer relations and operations and brings about crucial; changes in business structures, the management of the digital transformation being a serious challenge for any company (Klein, 2020).A real "digital enterprise" continuously endeavours to empower novel and "leaner-operating" models reinforced by agile business procedures, linked digital platforms, analytics and cooperation capabilities for increasing performance, new customer-centric and employee-centric digital business models being enabled (World Economic Forum, 2016).Therefore, the use of digital solutions by modern businesses can be regarded as a strategic tool linked to the company's overall strategy.

Digital transformation and the role of an efficient digital strategy
Digital transformation forces business leaders re-evaluate the way they develop a strategy aimed at achieving a competitive advantage (Rogers, 2016).As many enterprises are now "experimenting" with digital transformation, current research prove that the improved competitive positioning of successful companies is not only dependent on the ICTs they use, but on the strategies that they develop and implement (Ismail et al., 2017).
The business of global digital platforms is also about the platform strategies they develop and implement -the strategies that enable them to sustain their dominance in the international market (UNCTAD, 2021).
The main elements of a digital business strategy include (Chaffey et al., 2019): -Business priorities.
The business models involve data-and technologyenhanced models, advancements in ICTs making data monetization -the cost of storage, real-time data gathering, analytics and decision making -more affordable (World Economic Forum, 2016).So, as companies need to make investment decisions much faster, a bigger emphasis is put on the decisions supported by data and analytics (UNCTAD, 2021).
The concept of a unified strategy associated with a single long-term strategy is out-of-date; companies have to constantly launch new strategic initiatives (including digital solutions) and use several transient competitive ad-vantages (World Economic Forum, 2016), as many causal impacts govern the decisions managers take in terms of designing various strategic initiatives in the modern business environment (Stukalina, 2013).The following shifts should be made (World Economic Forum, 2016): allow experimenting and concentrate on experiences; focus on solutions to emerging problems, research and repeat if necessary; systematically support early-stage innovation; create durable relationships and networks based on digital innovations.
Thus, implementing digital business models developed in the frame of an effective digital strategy will demand a number of strategic digital solutions for revolutionizing the company's business processes: big data analytics and cloud technologies, Internet of Things, robotics, etc.As Artificial Intelligence in business is prevalent both directly and indirectly (Anderson & Coveyduc, 2020), it plays a leading role in improving the quality of decision-making through extending human capabilities (Phillips-Wren & Jain, 2016).

The importance of integrating Artificial Intelligence into a digital business strategy
In business, Artificial Intelligence is used for considerably transforming existing business models and generating new models (Akerkar, 2019;Rose, 2020;Frockman, 2020;Jha, 2020).
Understanding specific business benefits of adopting AI adoption is crucial for a company's success, since they are closely linked with the business objectives (Enterprise AI Guide, 2019).For business, AI provides the following benefits (Akerkar, 2019): -Dealing with enormous amounts of data and discovering valuable patterns in huge volumes of data of any category to be used in self-learning models.-Making better decisions by increasing value of the data and moving to the "prescriptive analytics".-Through better visualization and transparency of data interpreting and use data.-Segmenting customers optimally through recognizing archetypes.-Offering novel business models and stimulating value creation by speeding up innovation.For business executives, one of the main AI benefits is its applicability for analysing big databases, this way creating a foundation for the decision-making (Buntak et al., 2021) by applying analytical tools to unstructured data (e.g.Fuzzy Logic, Intelligent Agents, Artificial Neural Networks, Agent Teams, Case-Based Reasoning, decision support systems, etc.), developing generalized solutions and discovering connotations in the information obtained from numerous sources (Phillips-Wren & Jain, 2016).Business leaders are faced with the necessity to integrate AI-related technologies into their business procedures (Medicine, 2021).
In other words, AI-based solutions must be incorporated companies' business strategies -as strategic initiatives (projects) launched in the frame of strategic priorities identified in the course of the market analysis.Using a strategic approach to Artificial Intelligence, business leaders can focus their AI efforts in the areas that would deliver the maximum value for the company (Akerkar, 2019).Owing to machine learning capabilities, any data, which AI is provided, will enable executives to make optimal predictions and decisions (Medicine, 2021).
In view of the above, AI is supposed to be key to generating a company's competitive advantage through establishing unique value proposition supported by huge amounts of data, which are collected, processed, stored and used by business organizations.

Main trends, patterns and relationships in the context of business digital transformation
In this section, the main trends, patterns and relationships in the context of business digital transformation are discussed based on the available statistics.
Business organizations worldwide are continuously investing in information technologies and services to speed up growth and efficiency (Figure 1).Adoption rate of emerging technologies in organizations worldwide is reflected in Figure 2. Developing the appropriate technological capabilities is the first step in an organization's digital transformation (World Economic Forum, 2016).Digitalization leads organizations to modify their business models with the support of several digital technologies, especially the Internet (Klein, 2020).So, digital business can be defined as the trans-formation of key business processes through the use of Internet technologies (via digital platforms) (Chaffey et al., 2019).
In the data-driven economy, the majority of digital business applications are available via the Internet; so, the importance of the Internet and digital data for the modern economy and society is increasing.The number of Internet activities undertaken by individuals in different countries is constantly growing, which leads to further development of digital businesses worldwide (UNCTAD, 2021).
The COVID-19 pandemic brought about a dramatic increase in the use of digital technologies owing to the social distancing rules and national lockdowns (De et al., 2020).It has also influenced Internet traffic considerably, as the majority of activities occurred online (UNCTAD, 2021).
In view of the above, the significance of the Internet and digital data for economies and societies is growing, especially in terms of e-commerce developments.In this context, companies worldwide are concerned about how to use the benefits of digital business for generating more value to their organizations, which can be done through reaching to a larger customer base and stimulating customer loyalty, reducing costs due to electronic delivery of services (Chaffey et al., 2019).
In the agenda of business digital transformation, data is collected by different means.From 2015 to 2020, there has been a considerable increase of the number of digital platforms that can collect data at a massive scale -from fifty to one hundred fifty; major hybrid platform companies such as Amazon are now dominating the market (controlling both innovation and transaction platforms) (Acs et al., 2021).A platform generates the whole network of data, users and functionality that grows exponentially and creates a loyal community of consumers (Cusumano et al., 2019).Platform-based ecosystems are global in nature, having billions of users and millions of mediators (Sussan & Acs, 2017).These platforms offer enormous potential for innovation and the provision of "next-generation services" (World Economic Forum, 2016).Digital (internet-based) "multisided" platforms provide more opportunities for value creation, value capture and innovation -the so-called "platformization" (Acs et al., 2021).
Thus, global digital platforms that can collect data at a massive scale play a central role in all stages of the socalled "data value chain"; using the Internet-based technologies they can considerably enhance data generation and data flows, this way accomplishing a competitive advantage (UNCTAD, 2021).
Lately, top digital platforms have witnessed a noteworthy increase in their revenues (Figure 3).Digital platforms that handle massive data are now enhancing their market power in the data value chain with the help of acquiring start-ups (UNCTAD, 2019).They also invest heavily in Artificial Intelligence; this helps them utilize and manage data in the most efficient way and enrich customer experience (UNCTAD, 2021).Business data and Artificial Intelligence are interconnected, so the business and technology can evolve together (Medicine, 2021).
AI-based technologies are now being applied in manufacturing, marketing and promotion, research and development, quality management, etc. (Buntak et al., 2021).In many companies worldwide, AI is already driving revenue growth -the best examples being Netflix, Alibaba Group, Rolls-Royce, General Electric, Lancôme, Amazon (Candelon & Stokol, 2021).The number of companies -largest patent owners in Machine Learning and Artificial Intelligence -is constantly growing.Digital platforms that handle massive data are now enhancing their market power in the data value chain by acquiring start-ups (UNCTAD, 2019).The number of acquisitions of AI start-ups from 2016 to 2021 is shown in Figure 4.The above data proves that Artificial Intelligence demonstrates increasing potential in terms of both improved business systems and processes.

Amazon.com: scaling up in the digital transformation age
The Amazon.com case study investigates the way a successful multi-business company and a recognized innovator uses original AI-based solutions for supporting implementation of its scale-up business strategy with a strong emphasis on multi-functional and trans-industrial aspects.Over the course of years, Amazon com.has developed into a global digital platform, becoming a real "technology" company, whose business operations are focused on simplifying online transactions for consumers.Over time, Amazon has demonstrated an increase in global net revenue (Figure 5), following the "customercentric" business strategy (Amazon's 2021Sustainability Report, 2022).Their exponential growth emerges from the control of such strategic services as retail, subscription, logistics, advertising, etc., which are instrumental to producing, distributing and selling goods.The scope of Amazon's digital strategy involves trans-functional and trans-industrial aspects, digitization of services and products and the accompanying information (Bharadwaj et al., 2013).The strategy scope is extensive, since their strategy embraces several value chains and industries that are sustained by unique digital solutions.Their scale-up business strategy aimed at sustaining their global competitive advantage is based on technological innovation and own digital infrastructure (Bharadwaj et al., 2013).
In the frame of their scale-up business strategy, a set of strategic sustainability-related initiatives (projects) are being implemented; among the most "continue to be heard" are supporting small and medium businesses (SMBs) selling in Amazon's Store ($30 billion investment in 2019 and 2020), renovating transportation network utilizing novel technologies, alternative fuels and delivery procedures, transition to the use of renewable energy only in the frame of "the Climate Pledge Initiative" started in 2019, introducing "sustainable packaging" ("smart packaging for e-commerce"), launching new certifications such as CarbonNeutral product, Carbon Neutral Certification, Carbon Trust Carbon Neutral Certification, delivering Amazon Technical Academy tuition program ($12 million investment in 2020) and Amazon Future Engineer Program ($50 million investment in 2020).
In the agenda of implementing a scale-up business strategy with a strong focus on trans-functional and trans-industrial aspect, Amazon offers a variety of strategic data-driven solutions to different industries (Table 1).

Tele communications
Solutions including advanced and secure cloud infrastructure for "cloudifying" businesses, operations support system and business support system As seen from the Table 1, among various strategic digital solutions, unique AI-based solutions developed by Amazon play a very special role.Some of them were created in a strategic partnership with Intel Corporation.AWS and Intel have a more than fifteen-year relationship in terms of designing, building and supporting cloud ser-vices, which helps to improve business outcomes by better managing cost and complexity and enabling scaling to satisfy both current and future needs.As for cooperation in the area of finance, Amazon is partnering with Goldman Sachs -the investment bank that offers loans to US customers and lines of credit of up to $1 million to traders selling on Amazon.Seeking partners with complimentary capabilities is an essential element of Amazon's scale-up business strategy.
For Amazon, the above exclusive AI-based solutions present new opportunities for getting such gains as costefficiency and productivity through a) encouraging research and product/service innovation at Amazon; b) enhancing customer experience and improving customer service at Amazon; c) improving security of the company's operations; d) optimizing supply chain processes in the company (Enterprise AI Guide, 2019).As a result, Amazon's sustainability-related initiatives integrated in their business strategy are supported by the company's original AI technologies.Thinking strategically, the company offers various AI-based business solutions to other enterprises across many industries worldwide.
So, Amazon Web Services (AWSs) provide a wide range of AI and Machine Learning services for any business.AWS AI capabilities are based on an all-inclusive cloud platform that is optimized for Machine Learning (Enterprise AI Guide, 2019).There are numerous powerful applications that AI has at Amazon, which are applied for addressing both general business issues (increasing customer experience and engagement, improving safety and security, optimizing business procedures, accelerating innovation, etc.) and specific problems of a particular enterprise based on its business needs ("purpose-built" AI services).The so-called "AWS pre-trained AI Services" provide ready-made intelligence for various business applications.In Table 2, AWS AI Services are summarized.

Transcription Amazon Transcribe
A tool for converting speech to text In Table 3, AWS Machine Learning Services for developers, business analysts and data scientists are summarized.In view of the above, it is observable that at Amazon.com (which has become a global digital platform), they are using an innovative approach to creating and executing a customer-centric digital business strategy, which incorporates both technology and organizational procedures for designing and providing original services to a broad range of consumers (Digital transformation checklist, 2017).It is determined by the importance of the Internet and digital data for the modern economy, especially regarding e-commerce expansions.
Based on the conducted analysis it can be concluded that Amazon's digital business strategy is characterized by the following features: -It is focused on scaling up performance for sustaining their universal competitive advantage.
-Its extensive scope covers both trans-functional and trans-industrial aspects, including various value chains and industries.-The main elements of scaling up are as follows: 1) technological innovations (advanced digital solutions); 2) own resource team (researchers, designers, experts, managers, educators); 3) original sustainability-related initiatives supported by own resources and digital technologies; 4) strategic partnerships that allow sharing resources and risks; 5) brand commercialization through offering innovative digital services to other businesses (Amazon Web Services based on cloud computing, providing a reliable, effortlessly available and low-cost infrastructure platform for enterprises internationally).As regards Amazon Web Services, cutting-edge AIbased solutions (provide ready-made intelligence for various business applications) play the most important role in terms of enhanced performance and improved business processes, demonstrating a high potential for future success.Amazon's scale-up strategy elements are presented in Figure 6.

Conclusions
The results of the study show that in the age of digital transformation, data has become key resource for data-driven business model innovation.Global digital platforms, which can manage huge amounts of data, have increased their market power in the data value chain, thanks in no small part to heavy investments in Artificial Intelligence (AI).Business data and AI are interrelated, evolving together and being mutually beneficial.The Amazon.com case has proved the importance of developing a customer-centric digital business strategy aligned with strategic priorities, which are identified on the basis of the modern consumers' needs analysis.AIbased solutions and related web-based services are at the core of such a strategy, supporting the implementation End of Table 2 of a scale-up business strategy characterized by a strong focus on multi-functional and trans-industrial aspects.
The main contribution of this study can be summarized as follows.The obtained results are supposed to contribute to the debate what AI means for business leaders in the agenda of developing a scale-up strategy, and how they would benefit from building an AI-powered company in the age of digital transformation.
The main limitation to the generalization of the research results is the following: the case study involved in-depth analysis of one global digital platform.A reference period -the time period for which statistical data were collected -should be extended, which would result in more precise findings.
So, further study based on the use of new data sources is required to develop a deeper understanding of how AI-based solutions and services may be integrated in a digital strategy of a successful multi-business company, which is aimed at achieving a competitive advantage in the turbulent international environment.

Figure 3 .
Figure 3. Profits by major digital platforms in the United States/billions of dollars (source: UNCTAD, 2021)

Figure 6 .
Figure 6.Amazon's scale-up strategy elements: where AI creates business value (source: author's construction based on the Amazon.comcase study)