This chapter explores the transformative role of Artificial Intelligence (AI) in strategic management, emphasizing how AI is reshaping leadership, decision-making, and competitive strategy in contemporary business environments. As AI evolves from a tool for operational efficiency to a central component of long-term planning, organizations are increasingly relying on data-driven insights, predictive analytics, and automation to develop adaptive and innovative strategies. The integration of AI challenges traditional leadership models and demands new competencies, including AI fluency and ethical awareness. Drawing on recent literature and practical developments, this chapter analyzes AI’s theoretical foundations, historical evolution, and strategic applications, highlighting its impact on decision-making, organizational change, and leadership transformation. While AI offers significant potential to enhance strategic agility and gain competitive advantage, it also raises critical concerns related to ethics, privacy, and workforce dynamics. By examining the opportunities and risks of AI integration, this chapter provides a comprehensive overview of how AI is shaping the future of strategic business leadership.