What it is
In economics, information asymmetry occurs when one party has more or better information than another. In the AI era, this gap is widening between "AI-haves" and "AI-have-nots." Companies using AI can spot market trends, customer sentiment, and operational inefficiencies that are invisible to those working manually.
Why it matters
- Decision Speed: AI can analyze 1 million rows of data in seconds to recommend a price change or a new lead source.
- Predictive Power: Moving from "what happened?" (backward-looking) to "what will happen?" (forward-looking).
- Market Dominance: Businesses with better information consistently win by out-maneuvering competitors who are "flying blind."
Closing the Gap
The goal of modern automation is to eliminate internal information silos and use AI to provide every decision-maker with "perfect" information in real-time.