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Generative AI Is Still Just a Prediction Machine

Artificial intelligence tools can now write, code, draw, summarize, and brainstorm. The proliferation of generative AI tools poses serious questions for managers, such as: What tasks can be done by AI, what will humans still need to do, and what are the sustainable sources of competitive advantage as AI continues to improve? To understand the strategic implications of these new capabilities, managers need a framework for when AI will be helpful and when it might fail.



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