Kim saw her lead gradually whittled away as she shot a final-round 71.
Shadoff finished three shots clear of American Michelle Wie, whose final-round 66 left her joint third with Germany's Caroline Masson and England's Georgia Hall on 13 under par.
"I just got really inspired to play in Scotland," said Kim. "I tried to have some fun on the last nine."
(Reporting by Neil Robinson; Editing by Ken Ferris)
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