Impact of Social Media performance Small Business

Impact of Social Media on the performance of Small Business in Australia
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Table of Contents
Introduction......................................................................................................................................3
Definition of Social Media..............................................................................................................3
Evolution of Social Media...............................................................................................................4
Potential uses in Business................................................................................................................5
Underlying Technologies.................................................................................................................6
Digital Marketing.............................................................................................................................9
Social Media Analytics..................................................................................................................10
Social Media Marketing................................................................................................................11
Comparison Table..........................................................................................................................12
Conclusion.....................................................................................................................................12
References......................................................................................................................................14

Introduction
Internet technology has created a great boom among business organizations in the
market. It has shown various impacts in the performance of business organizations in the market.
The use of IT has helped in enhancing the performance of small business enterprises in the
market. Social media has been gaining its popularity in regulating operations in the SMEs in the
market. Social media has helped in providing several opportunities in the market fir the small
and medium enterprises. Various startups have been able to set up their business in the market
with the help of social media marketing and analytics (Ainin et al. 2015). The use of social
media has helped in providing better utilization of the internet and reaching up to a large number
of people in the market. This research has focused on the impact of social media in performance
of SMEs in the market. This research has helped in understanding the extent of social media
affect the performance of SMEs in the market. This research has used previous studies based on
the impact of social media in the SMEs in the market. The potential utilization of social media in
business have been studied from previous studies based on the research topic has been analyzed.
The concept of digital marketing in the SMEs have been mentioned in the research which will
help in understanding the effect of social media on the business performance of SMEs in the
market. Different forms of social media marketing have been provided in the research that will
help in understanding the impact of social media marketing on SMEs in the market. A
comparison of impact of different social media platforms have been provided in this research.
Definition of Social Media
As commented by Wang, Pauleen and Zhang (2016), digital revolution happened with the
coining if the term Web 2.0 in 2001. The second generation of internet development have opened

new opportunities for the developers to be on the internet. Web 2.0 has been opening various
opportunities and reshaping business organizations with its implementation. It provides
collaborative learning from the first generation of the internet. However, there have been
differences between Web 2.0 and social media. As commented by Quinton and Wilson (2016),
social media is a group of web-based applications that have been developed on an ideological
and technological based of Web 2.0. Social media is a technology that runs in the Web 2.0. As
suggested by Tajudeen, Jaafar and Ainin (2018), social media is a tool or application that help in
communicating with large number of individuals all over the world.
Evolution of Social Media
Social media has been undergoing several changes with the change in time. As mentioned by (),
the concept of social network has been different from today’s online social networking sites
(OSN). Earlier social networking sites were static and pre-defined set of neighborhood can
connect with it. The earlier version of social networking sites have been limited to web hosting
space and could not create own content. The next trend of social media arrived during 1990s.
The main features of this generation have been personal profiles, increase in social interactions
and searching friends over a network. The user interface of social networking sites had become
more user-friendly than before (Lodhia and Stone 2017). Users were able to create their own
profiles over the social networking sites. The engagement of user’s over the online social
networking suites get increased with amount of time. For example, SixDegrees was launched in
1997 and it was able to reach to one million users by 1998. However, it was interrupted and
closed down by 2004. There have been several number of OSNs that followed the suit of
SixDegrees but targeted different demographic groups.