The retail landscape is undergoing a dramatic transformation driven by artificial intelligence (AI). From personalized recommendations to automated inventory management, AI promises to revolutionize the shopping experience for both retailers and consumers. However, alongside these advancements come significant ethical considerations. This paper will delve into three key areas of concern: bias, transparency, and user privacy. We will explore how AI algorithms can perpetuate societal biases, the challenges of understanding complex AI decision-making processes, and the potential for data misuse in an AI-driven retail environment. By critically examining these ethical considerations, we can pave the way for a future where AI fosters a fair, transparent, and privacy-conscious retail experience for all.