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AI Glossary

Chain-of-thought prompting

What is Chain-of-thought prompting?

A prompting technique where you instruct the model to reason through a problem step by step before giving a final answer. Significantly improves accuracy on complex reasoning tasks.

Example in practice

A finance analyst asking an AI to assess acquisition risk would get a more reliable answer by adding "Think step by step" — prompting the model to walk through financial, operational, and market factors before summarising.