Final answer:
A strong example of a business objective to define before adopting an AI-powered solution is the cost of goods sold (COGS), as it directly impacts profitability and can guide the optimization potential of AI in production and inventory management. The correct answer is a. cost of goods sold.
Step-by-step explanation:
When adopting an AI-powered solution for a business, it is essential to have clear objectives in place. One strong example of a business objective needed prior to implementing AI technology is the cost of goods sold (COGS).
This metric is vital as it not only reflects the direct costs associated with the production of the goods sold by a company but also affects the overall profitability and pricing strategy.
By determining the COGS, a company can assess how an AI solution might optimize supply chain efficiencies, reduce production costs, or improve inventory management, aligning the technology's capabilities with the business's financial goals.
This objective refers to the amount of money a company is willing to allocate for marketing activities. By setting clear goals and budget for marketing spend, companies can determine the effectiveness and ROI of an AI-powered solution in achieving those goals.