Business Research: Social Networks Advantages and Disadvantages

This research report explores the advantages and disadvantages of utilizing social networks in a business context. The report begins with an introduction highlighting the increasing importance of social networks in modern business, particularly for marketing and customer engagement. It then defines the project's objectives, scope, and reviews relevant literature on the topic, including the views of various authors. The research investigates primary and secondary research questions, along with formulated hypotheses regarding the impact of social networks on business marketing and reputation. The methodology section details the quantitative research approach, data collection methods, and ethical considerations. The report analyzes the benefits of social networks, such as enhanced customer reach and cost-effectiveness, while also addressing drawbacks such as time investment and the risk of reputational damage. The conclusion summarizes the findings and emphasizes the need for businesses to carefully evaluate the pros and cons of social media integration. The report also includes a time schedule for research activities and a list of references.

RUNNING HEAD: Business Research
Business Research
Advantages and Disadvantages of Using Social Networks in Business

Advantages and Disadvantages of Using Social Networks in Business 1
Table of Contents
Research Title:...........................................................................................................................2
Introduction................................................................................................................................2
Project Objective........................................................................................................................4
Project Scope..............................................................................................................................5
Literature Review.......................................................................................................................6
Research Questions/Hypothesis.................................................................................................8
Primary research questions.....................................................................................................8
Secondary research questions.................................................................................................8
Hypotheses.............................................................................................................................8
Research Design and Methodology...........................................................................................9
Data analysis............................................................................................................................12
Research Limitations................................................................................................................13
Time Schedule (Research plan)...............................................................................................14
Conclusion................................................................................................................................17
References................................................................................................................................18
Appendix..................................................................................................................................21

Advantages and Disadvantages of Using Social Networks in Business 2
Research Title: Advantages and Disadvantages of Using Social Networks in Business
Introduction
This research proposal has been presented on the topic “Advantages and Disadvantages of
Using Social Networks in Business”. The social network has become an important part of the
business which is being used for enhancing the customer base all around the globe.
Marketing function of the business is performed by using social networking platforms.
Modes of communication with the customers and potential customers are changing and with
this changing aspect, business is using social networking platforms for interacting with the
customers. Brand communication is being done with the social networks. Different functions
of the business are being executed with the help of social networks (Vergeer & Liang, 2013).
These functions include brand communication, market analysis and recruitment of
employees. Business is using the social network for the purpose of targeting the
demographics for enhancing the customer base of the business. Business analysis the
different pros and cons associated with the use of social networks. This analysis helps in the
decision-making process of the business regarding the use of social networks. There is an
increase in the need to communicate with the customers and potential customers of the
business (Vevere, 2015). Different factors have encouraged business to select social networks
for marketing of the products or services.
The discussion will be made regarding the role played by social media platforms for the
business. This research proposal will discuss the various advantages and disadvantages of
using social networks in business. This research will discuss different methods or approaches
which will be applied for gathering the required information related to the research program.

Advantages and Disadvantages of Using Social Networks in Business 3
Figure 1: Social networking in business
Source: (York, 2013)

Advantages and Disadvantages of Using Social Networks in Business 4
Project Objective
The motive behind the execution of every activity is to achieve a goal. This goal guides the
efforts in the right direction and results in attainment of the targets set. This research program
has been conducted with a motive to gather information related to the role and importance of
social networks for business. The analysis will be made regarding the increasing trend of
using social networks in business. Business uses social networks after analysis of the various
advantages and disadvantages related to it. Knowledge of these aspects will be developed
from the execution of this research program. Different articles, journals and internet sources
will be accessed for presenting the quality information related to the research program.

Advantages and Disadvantages of Using Social Networks in Business 5
Project Scope
There is a shift towards the use of social networks in business for encouraging the
communication process between the business and people. Social networking is being used by
the businesses for promoting the products or services offered by them, analyzing the market
and interacting with the customers. This research program will cover the trend of use of
social networking in business. This research will also discuss the views of different authors
towards the use of social network in business. Different advantages and disadvantages will be
discussed related to the use of social network in business.

Advantages and Disadvantages of Using Social Networks in Business 6
Literature Review
The importance of social networking in this dynamic business environment is increasing.
Social networks are being used for the purpose of sharing of information and ensuring that
business is capable of reaching a large number of users in less time. There is an increase in
the number of people using social networks as a marketing tool. Businesses are analyzing the
advantages and disadvantages of social networks in business. Social networks are the
platforms which serve as a link between the business and key customers of the business
(Oyza & Edwin, 2015). Different social networks are used by the businesses for the
attainment of the objectives of the business. Social networks can be explained as those
platforms which encourage social interaction between different individuals. Change in the
business environment has increased the use of social networks in business. Different authors
have presented different views regarding the use of social networks in business which are
discussed in this research (Shafigullina & Palyakin, 2016).
In the words of Parveen (2012), social networks are offering a chance to develop a strong
social network for encouraging the chances of success and growth along with meeting the
needs of the business. The main objective behind the use of social network is to enhance the
customer base of the business by communicating with the customers. Social networks are
two-way communication tools which enhance the exchange of information between the
business and customers. Another advantage of using social networks is a requirement of low
cost and fewer efforts. Social networks help in enhancing the marketing function of the
business and reduce the cost as well as efforts of the business. Sales of the products or
services have been increased with the use of social networks. Different segments or
demographics of the world can be easily targeted with the help of social networks. The social

Advantages and Disadvantages of Using Social Networks in Business 7
network has enabled the business to attract customers for expansion of the customer base and
making a global presence (Qualman, 2010).
According to Abdulahi, et. al. (2014), there are various disadvantages of using social
networks in business. One of the most important disadvantages associated with the use of
social networks time investment. Social network involves time on the part of business as
there is a need to manage the different social networking platforms. Another disadvantage of
a social network is lack of control on the feedbacks from the customers. Social networking
platforms are an open platform where everyone has the freedom to give their views. Social
networks can result in failure of the marketing strategies of the business. Competitors of the
business can use social networking platforms for harming the reputation of the business.
Privacy of the business is at risk due to the use of social networking platforms. This
confidential information can be used by the competitors for gaining an advantage. Hackers
can hack the accounts of the business and gain the advantage of the information hacked (Lee
& Chen, 2011).

Advantages and Disadvantages of Using Social Networks in Business 8
Research Questions/Hypothesis
Primary research questions
Primary research questions for this research are listed below:
 What are advantages and disadvantages of adopting social networks for marketing of
the products or services of the business?
Secondary research questions
Secondary research questions for the research are as follows:
 What is the role of social network in this changing business environment?
 What is the trend of use of social networks in business?
 Which factors are responsible for the rise in the number of businesses adopting social
networks in business?
Hypotheses
 Social networks are used as a marketing tool by the businesses.
 Social networks have adversely affected the image or reputation of the business.

Advantages and Disadvantages of Using Social Networks in Business 9
Research Design and Methodology
Research methods define the different methods or approaches which will be used for the
collection of the data related to the research program. Data will be collected from the
different sources for enhancing the quality of the research. These methods or approaches are
mentioned below:
Research design or method: for the execution of the research, different research methods
are available. These research methods include experimental research method, observational
research method, quantitative research method, opinion based research method, qualitative
research method, descriptive research method and mixed research methods. Quantitative
research method will be followed for this research proposal for the collection of the data
related to the research. Primary and secondary sources will be applied for gathering the
relevant and quality information (Brunsdon, 2017).
Research approach: quantitative research approach has been selected for this research
proposal. This research approach helps in conducting the systematic empirical investigation
for observing and collecting data. Primary and secondary sources of data have been selected
for the purpose of collection of the required information. The questionnaire will be prepared
for gathering primary data. Internet sources will be used for gathering secondary data
(Zyphur & Pierides, 2017).
Data collection: data is collected for developing understanding of the research topic and
aspects associated to it. Reliability, authenticity, and quality of the research are relying on the
methods used for collection of data. Primary and secondary sources of data collection will be
applied for gathering quality data. Primary data is collected for presenting a raw form of data
and questionnaire will be prepared for the attainment of the objective (Thomas, 2015).
Secondary data is collected with the help of internet sources, journals and articles which are

Advantages and Disadvantages of Using Social Networks in Business 10
collected and used by others. Secondary sources are considered more reliable in comparison
to primary sources as these have been already collected and used (Johnston, 2014).
Procedures and techniques: huge quantity of data will be collected with the use of data
collection methods. Due to the availability of limited time, random sampling technique will
be applied in this research program. The motive behind the use of random sampling
technique is to analyze the data in an effective manner for successfully completing the
research. Random sampling technique ensures that every sample is given equal chance of
getting selected (Nishad & Sankar, 2016).
Research strategies: for the execution of the research program effectively, a research
strategy has been selected and will be applied for completing the research. This strategy will
help in conducting the research in a sequence and completing the research by covering
different aspects related to the research program. A systematic strategy will be followed for
guiding the efforts of the researcher in right direction.
Choice: For conducting this research project on the selected topic, different approaches or
methods are adopted. Selection of the approaches or methods has been done after properly
analyzing different them. Different alternatives have been analyzed and evaluated and
selection has been made after analyzing the requirement of the research program.
Research time frame: time available for the execution of the research is limited. For
completing the research within the limited timeframe and in an effective manner, an action
plan has been prepared. This action plan will help in covering every activity of the research
properly for the attainment of the objectives of the research.
Collection of data and targeted market: the targeted market can be explained as
identifying the sources or targeting the population from where information will be gathered.
Primary sources of data collection will be collected with the help of a questionnaire. This
questionnaire will be distributed among the employees of the organizations for collecting

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information related to the research program (Peersman, 2014). Secondary data will be
gathered from the internet sources and data will be used which has been collected or prepared
after the year 2008.
Ethical consideration: ethics need to be considered for ensuring that the research is executed
in the right manner. Various ethical principles will be considered while executing this
research program. Principles which will be followed in this research program include
confidentiality, honesty, integrity, and fairness.