Impact of Social Networks on Businesses: Advantages and Disadvantages

This report provides a detailed analysis of the advantages and disadvantages of incorporating social networks into business strategies. It begins with an introduction highlighting the importance of social media for business acceleration and sustainable market positioning. The report outlines project objectives, scope, and a literature review covering social media features, marketing, advantages, and disadvantages, along with research gaps. It poses primary and secondary research questions, followed by a discussion of qualitative and quantitative research methodologies, including data collection methods, sampling techniques, and data analysis processes. The research design employs both qualitative and quantitative approaches, using secondary sources, surveys, and questionnaires to gather data from managers in selected organizations. The findings aim to identify the benefits and drawbacks of social media use, offering insights into business opportunities, marketing strategies, and the overall impact of social networks in the modern business environment, including limitations and a time schedule for the research. The conclusion summarizes the key findings and their implications for businesses.

Running head: ADVANTAGES AND DISADVANTAGES OF HAVING SOCIAL
NETWORKS IN BUSINESSSES
Advantages and Disadvantages of Having Social Networks in Businesses
Name of the University:
Name of the Student:
Authors Note:

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Table of Contents
1. Introduction......................................................................................................................2
2. Project Objective.............................................................................................................2
3. Project Scope...................................................................................................................3
4. Literature Review............................................................................................................4
4.1. Social media features and marketing........................................................................4
4.2. Social media use advantages....................................................................................4
4.3. Social media disadvantages......................................................................................5
4.4. Research Gap............................................................................................................6
5. Research Questions/ Hypotheses.....................................................................................6
5.1. Primary Question......................................................................................................6
5.2. Secondary Questions................................................................................................6
6. Research Design and Methodology.................................................................................7
6.1. Qualitative Research.................................................................................................7
6.2. Quantitative Research...............................................................................................8
7. Research Limitations.....................................................................................................10
8. Time Schedule...............................................................................................................11
9. Conclusion.....................................................................................................................12
References..........................................................................................................................13

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1. Introduction
The social media use is a vital factor for the company as this process facilitates in
business acceleration along with maintaining a sustainable position in international business
market (Bharati, Zhang and Chaudhury 2015). Social networking is basically operated from
specific platforms and the application of web tools impacts the business development along with
enhancement techniques. Such process initiates with recruitment along with increase in risk
based situation that is properly dealt by the company. Process of innovation along with positive
business implementation is a concern thinking which all the companies attempt to implement so
that their product reaches to a broad range of consumers (Borgatti, Everett and Johnson 2018).
Moreover this is highly advantageous social networking conducts. With the growth in the
technology business opportunities are also deemed to increase in a better manner. In such
situation the full use of such conduct serves as most influencing aspect within the company. In
all the cases of network planning most of the business participation is deemed to be innovative
and the companies have decided the appropriate platform for their brand promotion (Brooks
2015).
2. Project Objective
The objectives those are to be attained in the investigation of advantages and
disadvantages of social media networks use within the businesses are explained under:
 To determine the disadvantages related with social networking that facilitates in
decreasing such issues through efficient use of alternative perceptions

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 To recognize the advantages related with social networking along with implementing
increasing practices over it
 To realize the business opportunities which might be gathered through implementation of
social media within the place of work
 To analyze the process, analyze, awareness along with development of social networking
along with offering the best networking facility for the company.
3. Project Scope
The scope of this research project is to investigate the advantages and disadvantages of
employing social networks use within business (Hallman 2015). The scope is to recognize the
social media use within business and this is the reason for which the promotional conducts are
observed within the social media. The current research also have a geographical scope of which
is for the reason that the social media justice state is used and this is the reason for which most of
social media channels that is increasingly acclaimed by the business executives (Bryman 2015).
There are certain selective techniques that are considered by business marketing that has
improved the business processes in order to maintain sustainable business situation. Social media
is renowned as an efficient tool in attaining advantages from the growing organizations revenue.
This can also facilitate in increasing the organizations online visibility along with widening a
target consumer base. This is deemed to be a process in which additional management execution
is not required rather than the business opportunity in order to advance the business at various
levels and through the implementation of social media (Burns 2016).

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4. Literature Review
4.1. Social media features and marketing
Eriksson and Kovalainen (2015) revealed that the overall marketing process is developed
by the use of social media. This serves as most effective promotional tool and it facilitates in
attaining superior business opportunity for the current business to grow at an extent. Flick (2015)
also stated that he cross geographical impact serves as another barrier in promoting products
within different nations. Through implementation of social media networks to becomes simpler
for the organizations in promoting their products by means of social media. Hajli (2015)
indicated that the features that are presented by the social media is deemed to be web based
promotional approach along with exponential dissemination of trust along with the contacts that
take place by the social media effect. Hamid, Waycott, Kurnia and Chang (2015) explained that
the traditional facebook model or the tangible interaction process with the social friends is a
manner to advertise the product and this can lead to product promotion. In contrast, certain social
channels are observed to be highly renowned and more than 72% of people involved most of
their times with social media rather than something else.
4.2. Social media use advantages
Hamid, Kurnia and Chang (2015) revealed the advantages that can be attained by the
businesses in implementing social media networks for promotion of its services and products.
Such advantages are explained under:
 Social interaction- Hamid, Kurnia and Chang (2015) stated that this serves as the most
effective social media perspective in order to communicate with people. They might also

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communicate in a normal manner that is considered as social interaction. In case of
online business knowing about the product is important in social network interaction.
 Interactivity- Hatten (2015) indicated that another advantages of interactivity and
process explains the passive recipients use along with the trust of people by such process.
In such situation individuals are claiming the right and good processes in interacting
through vital medium.
 Advertising- Humphries (2017) stated that realistic nature of advertisements is a vital
aspect for businesses and for this reason most of the organizations put their focus on
developing commercials. The reach of such advertisements are wide through social media
networking use by organizations that can persuade people in purchasing products based
on watching the commercials.
4.3. Social media disadvantages
Ledford and Gast (2018) revealed that there are certain challenges which are revealed
within the use of social media networks within the organizations. Along with its reinforcement of
the planning and design that is required. Certain challenges within the marketing viewpoint along
with attaining the online information are deemed to be out of control tat further serves as the
major factor of business understanding. Sekaran and Bougie (2016) indicated that the
organizations tend to lost their control over the marketing communications. Increasing idea
reflection along with the innovative thoughts serves as concern of stagnant situation within the
market for which better understanding and planning is needed in such situation. Sekaran and
Bougie (2016) stated that low grade in the organizations ratings as well as lack of privacy serve
as major concern for the organization. The first mistake that is made by several brands makes it
believed that there are necessary to be present everywhere (Taylor, Bogdan and DeVault 2015).

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Covering as much possible grounds is indicated to be an innovative idea but the reality is that
organizations must be aware of the limitations of the organization along with extending their
reach.
4.4. Research Gap
It is gathered from analysis of the previous literature on the advantages and disadvantages
of having social networks within businesses. The previous researches failed to investigate that
the small businesses owners can have increased opportunity in using its social media for the
business development (Tsimonis and Dimitriadis 2014). Addressing this gap, the current
research will explain that the organizations can conduct a lot of promotional activities based on
social network use for their products o that people get aware of them.
5. Research Questions/ Hypotheses
5.1. Primary Question
The primary question that is to be answered through the current research is mentioned
under:
 What are the advantages and disadvantages of having social networks within the
businesses in current global business environment?
5.2. Secondary Questions
The secondary questions those are to be answered through investigating the advantages
and disadvantages of social media networking use within organizations are explained under:
 What are the disadvantages related with social networking that facilitates in decreasing
such issues through efficient use of alternative perceptions?

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 What are the advantages related with social networking along with implementing
increasing practices over it?
 What are the business opportunities which might be gathered through implementation of
social media within the place of work?
 What is the process, analysis technique, awareness along with development of social
networking in offering the best networking facility for the company?
6. Research Design and Methodology
6.1. Qualitative Research
Approaches to reliability and Validity- The researcher will consider gathering data from
highly authentic and reliable resources in order to attain better human responses. Moreover, the
researcher has also made increased attempts in maintaining the data reliability through
implementation of excel applications for interpreting the data that is collected. In addition, the
researcher has also considered using important and realizable websites for collecting important
data along with selecting the professionals from the selected organizations in dealing with the
research issues (Tsimonis and Dimitriadis 2014).
Sampling and sample size- simple random sampling technique is employed in this
research for carrying out survey with the managers of selected organizations in Australia. This
sampling method is employed as it provides equal chance to the respondents of getting chosen
for the survey process. For this reason, the quantitative data has been gathered from a large
population through employing simple random sampling technique (Cook 2017). Considering the
same, the quantitative data analysis requires relatively larger sample size in attaining and

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evaluating responses gathered from the target survey respondents. 41 managers from the selected
organizations in Australia are selected in order to evaluate their responses.
Data Collection Method- Qualitative data is gathered through use of the secondary sources. The
secondary sources from which the advantages and disadvantages related with the use of social
networking within the businesses can be gathered is through the reliable journals, government
sites along with the company websites (Tsimonis and Dimitriadis 2014).
Variables Specifications- The variables those are to be selected in carrying out this
research includes the advantages attained by the business, disadvantages attained by the
businesses and implementation of social media network channels such as Facebook, Twitter and
Instagram.
6.2. Quantitative Research
Quantitative Research Design Process- Quantitative research design will be employed
in investigating the advantages and disadvantages of social networks in the businesses. This
research design is selected for the reason that it can facilitate in attaining important information
on the subject of inclination of human perception concerned with the specific research
information. For this reason a bigger sample size must be selected for this research.
Research Instrument- Questionnaire research instrument will be employed in gathering
relevant responses from the survey participants in this research (Cook 2017). The questionnaire
that will be presented to the respondents will have both the open-ended as well as close-ended
questionnaire. This research instrument is employed for the reason that questionnaire is deemed
to be most effective instrument for gathering significant data from a larger population. The

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questionnaire will be send through social media and e-mail mediums to all the target
respondents.
Quantitative Data Analysis Process- The data that will be gathered from the interview
process will be analyzed through employing several analytical processes. In such consideration,
effective analytical process selection is deemed important to attaining suitable research findings.
MS Excel application will be employed in attaining transparent and reliable data. Correlation and
regression analysis will be carried out and the results will be depicted through charts and graphs
that can convert consumer opinion into percentage for anticipating respondent’s insights trend.
Sampling and Simple Size- Proper sampling method is used in this research as this
serves as a technique in targeting respondents from a sample population (Tsimonis and
Dimitriadis 2014). It can also facilitate the researcher in selecting the most vital primary data
source in order to develop important information that is aligned with the aim and objectives of
the research. Considering the same, simple random sampling technique is employed in this
research for carrying out survey with the managers of selected organizations in Australia. This
sampling method is employed as it provides equal chance to the respondents of getting chosen
for the survey process. For this reason, the quantitative data has been gathered from a large
population through employing simple random sampling technique. Considering the same, the
quantitative data analysis requires relatively larger sample size in attaining and evaluating
responses gathered from the target survey respondents (Cook 2017). 41 managers from the
selected organizations in Australia are selected in order to evaluate their responses.
Interviewing and Questioner Design- The questionnaire that will be offered to the
target respondents will have open as well as close ended questions. The first section of the

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questionnaire will gather data regarding the demographic profile of the respondents. The second
section will include questions related to the advantages that are attained by their organizations
after they have used social media network. The third section of this questionnaire will include
questions regarding the disadvantages of social media networking which has significantly
affected the business of the companies. The fourth section of the questionnaire will have
questions gathering data about the social media networks used by the organizations ad their
likely recommendations regarding use of such networks in the organizations.
Reliability and Validity of Data- In collecting data through the interview process, the
reliability of the gathered data is ensured as authentic. This is because of the reason that the data
is collected after taking full consent from the respondents that facilitates in maintaining the
trustworthiness of the research findings (Cook 2017). The researcher has also avoided in asking
delicate questions in the interview process for persuading the respondents taking part in the
interview with their mutual permission. In addition, the identity of the respondents has been kept
confidential in which no business use of such research statement is entertained from the
researcher end.
7. Research Limitations
The primary data has been gathered from the selected managers of certain organizations
working within the companies that use social networks for maintaining effective business
operations (Cook 2017). The accuracy of the information serves as the major restraint which
develops a hurdle among the research outcomes along with attaining the research objectives.
Primary research might have certain limitations regarding reliability of the responses gathered
for the reason that the professionals have the intention of providing a positive image for the