I am just curious and am willing to learn-what is your definition of AI?
With respect to unrealistic expectations from clients-it is your duty as a developer to inform the client what your solution brings to the table. Do an agile inception and set a realistic scope. That way all parties involved know what to expect from the project. Don’t take the risk of assuming non-technical clients know what product’s limitations are.
But I just gave you one solid reference. Can you support you own arguments with (a) credible reference(s)? These technical fields have lots of such references, that way we avoid personal opinion and biases.
Example, RL can be used to create an artificial chess player ( AlphaZero by DeepMind). You just tell it how the pieces move (rules) and code the rewards so that it understands it needs to win. Not much other data is needed. The agent(decision-making software in this case) will learn the rules and tricks of the game on its own and get to world class level without you teaching the artificial chess player anything else. AI is very advanced these days-how do self-driving cars operate themselves without human intuition coded to them? Yes, AI has reached and surpassed human-levels of problem solving and decision making in some fields.
good example I was just playing chess myself right now
here chess moves are already assigned as per what move a pawn can play which is fed into algorithm but will it play same way life how I will make my move next?
I think all this already incorporates these learning algorithms when it comes with column play with computer, where all the moves a pawn or in Ludo a dice can throw 6 or 1 is in the power of machine, what a human will make the move, machine still cannot completely mimic and that’s why sometimes computer fails 
as does human too.
There are some really good books on this, “Why Machine can never replace human” probably a read is good way to understand this part of what mentors are trying to state.
Why Machines Will Never Rule the World: Artificial Intelligence without Fear
Why Machines Will Never Rule the World: Artificial Intelligence without Fear Why Machines Will Never Rule the World: Artificial Intelligence without Fear eBook : Landgrebe, Jobst, Smith, Barry: Amazon.in: Kindle Store
Regards
DP
@Deepti_Prasad , thanks for the reference. I will try to get a copy of the book and read it. Thanks as well for the discussion.