The study explored the use of Artificial Intelligence (AI) in South Africa to scale Small, Medium and Micro Enterprises (SMMEs) and promote sustainable local economic development. It used a qualitative research approach, analyzing AI integration, challenges, and outcomes. The results indicated that AI improved business efficiency, customer engagement, and market access, especially in urban and semi-urban areas. However, barriers such as limited digital infrastructure, skills shortages, and inadequate policy support persisted. To fully benefit from AI-driven growth, SMMEs require inclusive strategies and targeted interventions.
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DOI: 10.4018/979-8-3373-2817-1.ch011
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