HND Business: Digital Technology's Impact on Business Activities

This report examines the impact of digital technology on business activities, with a specific focus on social media advertising's role in promotional activities, using Tesco as a case study. The introduction highlights the transformative effect of digital technology on business operations, including communication, marketing, and production, emphasizing its role in boosting sales and enabling global connections. The research aims to assess the use of social media advertising on promotional activities, exploring the impact of digital technology on various business operations, the relationship between digital technology and promotional activities, and the advantages and disadvantages of implementation. The literature review covers the impact of digital technology on business activities, its relationship with promotional activities, and the advantages and disadvantages of implementation. The research methodology section outlines the research philosophy, approach, sampling method, and data collection methods used to analyze the topic. The report concludes by emphasizing the importance of digital technology in modern business operations and provides insights into the use of social media advertising for promotional activities.

USE OF SOCIAL MEDIA
ADVERTISING ON
PROMOTIONAL
ACTIVITY

Table of Contents
INTRODUCTION.....................................................................................................................................4
Aim....................................................................................................................................................4
Objective............................................................................................................................................4
Question............................................................................................................................................5
Rationale of research.........................................................................................................................5
LITERATURE REVIEW..............................................................................................................................5
Impact of Digital Technology on Business activities...........................................................................5
Relationship between digital technology and business growth and development............................6
Advantages and disadvantages of implementing digital technology in an organisation....................7
RESEARCH METHODOLOGY...................................................................................................................7
TIME SCALE............................................................................................................................................9
RESEARCH LIMITATION........................................................................................................................10
REFERENCES.........................................................................................................................................12

INTRODUCTION
Digital technology has led to a dramatic change in business world. It is the changes
which assisted enterprise in managing their business activities very smoothly. Like, the
mobile technology has made easy communication worldwide which was the most successful
tool that helped in establishing international business connections over just call. Further, there
was evolution on emails, various applications which reduced the cost of communication etc.
However, the revolutionary tool evolved with digital technology is an online service that has
just doubled the sales of many enterprises (Drnevich and Croson, 2013). In accordance, it can
be said that it offers the tool which helps in developing wealth and options of growth. Digital
technology influence business activities as it provide firm different growth opportunities by
implementing innovation in existing goods and services. For instace, if in case the firm
implements the use of online marketing than it helps the enetrpise in connecting with global
buyers which is best technique to create awareness in market about innovation and on the
other hand it assit the organisation in boosting sales of company.
The key functions of organisations which are impacted by digital technology are
administration where the companies can make use of cloud computing. It is the tool which
enables management easy mode of sharing and storing information. Further, for
communication there is social media which helps the organisation in connection with
worldwide consumers. Communication is the most essential part of business activities as it
helps in collaboration and building strong business relationships at global level. Digital
technology is a most effective tool as it aid in business storage and distribution, where the
firm can manage its stock by making list of things with the help of internet. It is considered as
effective because it aims at integrating business resources and requirements. Apparently, it is
beneficial for the business activities because it helps in making optimum utilisation of
resources and minimising waste (Bharadwaj, El Sawy and Venkatraman, 2013). On the other
hand, tools of digital technology are useful in production department, where product growth
and innovation plays as crucial role in managing successful business operations. Thus, in
accordance, it can be said that tools of digital technology are helpful for every activity of
business and therefore can assist in managing innovating boosting growth.
Aim
“ To assess the use of social media advertising on promotional activity of Tesco”

Objective
 To assess impact of digital technology on different business operations.
 To determine relationship between digital technology and promotional activities of
Tesco.
 To ascertain advantages and disadvantages of implementing digital technology in
organisation.
Question
 How digital technology impacts different business operation?
 What is the relationship between digital technology and promotional activities of
Tesco.
 What are the advantages and disadvantages of implementing digital technology in an
organisation?
Rationale of research
The research is conducted to determine usefulness of digital technology in functions
of business. In this study, the motive of researcher is to analyse view point of employees of
Tesco over implementing use of social media advertising for promotional activities. This
study will help scholar in ascertaining risk associated with promotional activities with the
help of online advertising. Further, it will help in collecting different opinions over advanced
tools which will understanding appropriate use of technological tools. Thus, it is important to
conduct this study as it will aid in evaluating different ways of using technological tools in
managing successful business functions.
LITERATURE REVIEW
Impact of Digital Technology on Business activities.
According to Fitzgerald, Kruschwitz and Welch, 2014, digital technology has created
revolution in business world by creating easiest and simplest way of managing organisational
functions. Like use of smart phones has established easy way of communication at domestic
as well as international level. The entrepreneurs are establishing their start-ups in
collaboration with foreign people and had started using safe mode of sharing documentation
via e-mails and other applications. Apart from mobile solutions, the author discussed about

cloud computing, tool which helps the management in storing necessary information related
to firm and its consumers. This advanced technology has assisted the enterprises in managing
systematic record of all necessary organisational functions. Similarly, O'Keeffe and Clarke-
Pearson, 2011, has stated about implication of digital technology in specific business
activities such as in production department where it aid in implementing innovation in
existing companies products by studying market with the help social media marketing tools
such Whatsapp, Instagram, Facebook etc. Further, the author discussed about effectiveness of
social media channels in building public relations and promotion. It is marketing tool which
assist in identifying consumers preferences and market trends of global level. On the hand, as
per the views of Lai, 2011, it has been argued that digital technology influence business
activities, where the scholar stated about small business which can implement the use of
advanced technological tool to reduce business cost of recruiting skilled employees for
managing accountants, payroll and record keeping. Moreover, organisation implements the
use of technological tools to reduce workload of manpower such as manual handling of stock
and storages. It is difficult for the storage team to manual keep a record of stock which leads
to waste of resources. Therefore, digital technology has assisted the business work in
minimizing waste and consumption of energy and other hand has been focused on making
optimum utilisation of resources.
Relationship between digital technology and and promotional activities.
According to views of Bharadwaj, El Sawy and Venkatraman, 2013, it has been
determined that digital technology plays an vital role in companies growth and development
as it helps the business in managing safe and secure business function and reducing error.
Like in case the sale of any product is decreasing than the firm can implement the use of
social media advertising and can share product detail and discounts. Promoting companies
products on discounts is the technique which helps the business in boosting sales and
managing growth. However, according to author there is strong relation between tools of
digital technology and growth of business because the development of firm is based on
services provided by them and targeting potential buyers and therefore the tools assist the
enterprise in determining market trends and changing consumers taste and preferences which
helps serving buyers satisfaction which on the other hand is the key to success. The author
also stated about, social media advertsing as it is the most effective technique which is used
by firm to promote its products and services on large platform. It is the technique which
helps the firm in connecting with large number of consumers at one time. Apparently, as per

Oldham and Da Silva, 2015, growth of organisation is based on its management of function
and innovation and therefore implanting use of cloud computing tools is technique which aids
the enterprises in making safe storage of data at one place without taking risk of losing
information. Innovation in goods and services are tonic for growth and development of entity
and the advanced technological tools assist the firm in determining need of innovation in
products as per competitors and market changes which denotes the actual relationship
between digital technology and growth of firm. The scholar also disccused about differnt
tools of social meda which helps the firm in advertsing about their buinsess products online
like facebbok. intagram, twitter etc. These are channels which connect people worldwide and
therfroe with the help of this advancement the enterprises are bale to promte about thier
product at global level.
Advantages and disadvantages of implementing digital technology in an organisation
Drnevich and Croson, 2013, has stated that implementing digital technology in
business is beneficial for overall functions as it assist in improving communication that is
necessary for exchanging meaningful information. Moreover, according to scholar it
encourages innovation and creativity nit only in goods and services but also in working
practices which aid in minimizing energy consumption, waste etc. and helps in reducing cost
functions. Apart from this, use of digital technology is considered as effective because it
improvises working of Human Resource like with the help of Bio metric system the
management is able to keep appropriate record of employee’s attendance and tools like
CCTC help in monitoring every action of workplace. Nevertheless, Oldham and Da Silva,
2015, has argued on limitation of digital technology like it demands high maintenance cost
which reduced cost efficiency of business. In addition, it make employees lazy by reducing
their manual work and also make workers dependent on technology even for minor work
such as, tracking of inventory, calculations of sales etc. Hence, according to view of author it
can be said that regardless of limitation Digital technology is the technique which helps the
business in managing successful business operations.
RESEARCH METHODOLOGY
Research methodology is the critical part of study as it determines a different tool
which helps to make investigation process systematic and smooth. It helps in deriving every
necessary step which is required to make research effective and efficient (Vujaklija, Hren and
Marušić, 2010). Methodology tools is the essential part of research process because it will

help the scholar in identifying the best data collection and analysis method as per aim which
is to analyse use of social media advertising on promotional action of Tesco.
Research Philosophy
Research philosophy is base of study as it helps the scholar in developing critical
understanding over research aims and objective. Research philosophy are of various types
such positivism and interpretivism where positivism is based on analysis study topic which
the help of related properties and models. interpretivism helps in analysing topic which are
human interests. Thus, the investigation will be based on interpretivism philosophy because
the research title is based on evaluating social media advertising on promotional activity of
retail organisation.
Research approach
Research approach is the tool which helps in establishing systematic way of
conducting study. Approaches are of two types that is inductive and deductive where in
inductive approach, the person aims at making logical representation of collected data on the
basis of observation of study (Meskendahl, 2010). However, in inductive approach the
individuals analyses information with the help of different theories and models. Thus,
researcher will implement the use of deductive approach where the person will focus on
framing assumption on the basis of observation. The investigation will be based on deductive
approach because the study is subjective in nature and inductive approach limits the study to
models and theories.
Sampling
Sampling is choosing appropriate respondents from the large group of population. It is
the critical part of investigation because in this the researcher is liable to assure that when
sampling no person is biased and all the participants have equal chance of getting selected.
There are different types of sampling methods such as stratified, cluster, random etc. For this
investigation scholar will use random sampling method, where the sample will be of 20
employees of Tesco from every department of company. Thus, random sampling method is
used because it reduced the chance of getting biased results.
Data collection

Data collection is base for research as it helps the researcher in collecting appropriate
information as per topic. There are two types of data collection method that is primary and
secondary where in primary data collection, scholar aims at collecting information through
interview, focus group, survey etc, (Geerts, 2011) On the other hand secondary information is
gathered through governmental publication, newspaper, articles, magazines etc. Thus, the
researcher will focus on primary data collection process where the individual will conduct
interview of 20 employees of Tesco to determine their views on use of social media
advertising. Primary data collection is used because secondary is based on past researches
and cannot be relied upon because of changing marketing trends.
Data Analysis
Data analysis in study is the part where the scholar aims at outlining important
information which is been collected through data collection process. 2 methods of analysing
data are quantitative and qualitative, where in quantitative the individual is able to analyse
information with the help of numerical and mathematical tools (Gale, Heath and Redwood,
2013). However, in qualitative analysis the person is able to analyse information in
theoretical form by considering thematic analysis. Thus, the scholar will use qualitative
analysis to evaluate opinion and information given by respondents. Hence, qualitative
analysis is implemented for evaluating use of social media advertising on promotional
activity of Tesco because the research is subjective in nature.
Ethical considerations
Considering ethics is important and essential part of research process as in this, it is
the responsibility of researcher to ensure data collection and sampling is ethical where there
is no chance of getting biased results. Apart from this, another duty of scholar when
conducting survey will make sure that feelings, work and emotions of no employee is harmed
(Miller, Birch and Jessop, 2012).

RESEARCH LIMITATION
There are few research limitation which can hinder effectiveness of study which are
as follows:
 Small sample size can lead to bias results.
 Lack of time management due to primary data collection process through interview.

 Misunderstanding at the time data analysis because of different types of opinions of
employees.