Advancements in the area of artificial intelligence(AI) have the potential to enhance and augment the functioning of economic entities. It has already begun transforming the way in which we live. With AI expanding its grip to a variety of domains ranging from simple mechanics to intellectual creativity, it becomes imperative to analyse the potential impact of artificial intelligence in economic enterprises. The potential gains and losses of AI expansion may go much beyond the automation and its impacts. The transformational ability of artificial intelligence is very well utilized by economic entities, particularly multinational corporations. Past few years have witnessed significant suge in transforming AI research and technology into viable products and services.  Commercialising AI has opened a diverse array of opportunities as well as challenges. On the brighter side, AI is expected to increase total productivity leading to greater output and higher income. AI can intervene at various stages of the value chain such as strategizing business models, sourcing raw material, production, marketing and sales, supply chain management, customer services and even the supportive sectors like banking and finance. Concerns regarding the impact of AI interventions of labour markets are also on rise since AI related technological advancements could be labour displacing. India as a developing economy is posed with unique challenges which could well be addressed with the advancements in AI. Looking from the angle of global competitiveness also it becomes imperative for the Indian economy to adapt to the increased infusion of AI into various sectors at various levels. Despite the projected advantages, the unfair outcomes of AI could also be not overlooked. India being the world's most populous nation is expected to thicken its labour market contributions. The current unemployment crisis may further be accentuated temporarily or even permanently by the technological unemployment ingrained with the invasion of AI technologies. This paper attempts to examine the potential impact of application of AI and related technologies in various sectors of the Indian economy and business.