The Implication of Digital Technology on Small and Medium Enterprises

This research project investigates the impact of digital technology, particularly social media, on small and medium enterprises (SMEs), using Rowlinson Knitwear as a case study. The study explores the rationale for examining social media's influence on revenue and productivity, aiming to understand its merits in enhancing business profitability. The research outlines the objectives, which include evaluating social media's role in enhancing profitability, determining its impact on organizational departments, and identifying specific social media tools used to improve performance. The literature review examines the role of social media in enhancing profitability, its impact on organizational departments, and the social media tools implemented to improve performance. The methodology section details the research approach, methods, and tools used to collect and analyze data. Overall, the report provides a comprehensive analysis of digital technology's implications for SMEs, offering insights into how businesses can leverage social media to achieve growth and improve performance.

RESEARCH
PROJECT (PART-2)

TITLE: “The implication of digital technology on small and medium enterprises.”
Chapter One: Introduction
Background of study
Digital technology is defined as a branch of scientific knowledge which deals in the
practical usage of computers, online media, internet and associated methods, devices etc. In
present time, digital technology is widely used in business organisations so that all the complex
and time taking tasks can be performed in a simple manner. Main concepts associated with
digital media are internet and social media. This research is based on Rowlinson Knitwear which
is a UK based apparel manufacturer established in 1935. Company specialises in providing
Knitwear, corporate wear dresses and school uniforms for their customers (Morris, 2013). As
Rowlinson Knitwear is a small scale company, to achieve high growth and profitability company
is planning to expand its business presence by enhancing their customer base. In this respect
digital technology especially social media will benefits the company in promoting and
advertising their products and services in a desired manner. The resultant outcomes will helps in
acknowledging the influence of digital media and technology on small and medium enterprises.
Rationale of study
This present research is carried out to understand the social media impact on revenue and
overall productivity of a company. By this, researcher will acknowledge the merits of social and
digital media in enhancing the profitability of the business organisations. In today's time, digital
media have an essential role in connecting millions of people within shortest time span. Social
media is a advantageous marketing toll as it will enhances the popularity of Rowlinson Knitwear
in the minds of people. Main reason to conduct this study is to analyse the effect of digital media
in enhancing productivity and growth of Rowlinson Knitwear within marketplace. By this,
company can enhance its revenues and profit margins without adopting any complex measures.
This research will enable the researcher to understand different concepts about social media and
its implications in business growth (Lovejoy and Saxton, 2012). This will benefits researcher in
enhancing its professional and personal knowledge in an effective manner due to which carrying
out future research will be an easy task.
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Research aim
“To analyse the impact of social media on overall growth and productivity of SME's. A
case study on Rowlinson Knitwear”.
Research objectives
 To evaluate the role of social media in enhancing the profitability level of Rowlinson
Knitwear.
 To determine the impact of social media on organisational department of Rowlinson
Knitwear.
 To identify the specific social media tools implement by Rowlinson Knitwear to improve
their performance.
Research questions
 What is the role of social media in enhancing the profitability level of the Rowlinson
Knitwear?
 What is the impact of social media on organisational department of Rowlinson
Knitwear?
 Which specific social media tools are implement by Rowlinson Knitwear to improve their
performance?
Conceptual framework
This research is divided into six chapters. In chapter one, background and rationale of the
study is given that will helps in understanding the need of research. Also, research aim and
objectives are specified. These aspects formulate a framework and in accordance to that further
research will proceeds. According to research objectives, some research questions are prepared
that will helps in preforming literature review which is chapter second in this research. LR will
provide us authentic information regarding research topics. In chapter three, research
methodology will be discussed that will specify the quality and viability of our research. In
chapter 4, data analysis and presentation is carried out. In accordance with chapter 4, data
interpretation in chapter five will be performed. In chapter six, valid conclusion,
recommendation and implications related to research are mentioned.
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Chapter Two: Literature review
Introduction of literature review
A literature review is defined as a written work which examines theoretical approaches,
findings, results, contrasting perspectives, methodologies etc. in a organised manner. It compiles
important researches which is published on a particular topic by researchers and scholars. Main
aim to carry out literature review is to survey books, conference proceedings, scholarly articles,
dissertations etc. so that desired information can be acquired in a proper manner. To support a
research proposal or project a literature review is required as it will help in analysing the critical
opinions of different people regarding same topic (Larson and Chang, 2016). In this research,
main reason for carrying out literature review is to acknowledge the implications of social media
on the productivity and growth of SME's. In literature review, all the required information will
be summarised briefly that will benefits the researcher in gaining valid conclusions.
Main body
Role of social media in enhancing the profitability level of Rowlinson Knitwear
According to Hudson. M, 2018, Social media is referred to the internet based applications
and websites which are designed with the motive of sharing content, data and information in a
quick manner. Social media is widely used by business organisations for the purpose of
marketing research, sales promotion, customer-organisational relationship development,
communication etc. Different kinds of loyalty programs are also implemented by business
organisations with the help of social media due to which wide attention form customers is
attained easily. Due to this, people became familiar with services and products provided by an
organisation and prefer to buy their products to satisfy their needs & requirements in a
satisfactory manner. This will helps in enhancing the sales of company due to which high
revenues and profitability will be achieved.
Other than that, by using the advantages of social media, consumers will be able to place
online orders due to which sales and profit margins of company will increase. Hence, social
media will benefit Rowlinson Knitwear in properly advertising their products and getting
feedbacks of customers. Feedbacks will help in carrying out required improvements in products
and services due to which company will easily attain high profitability.
Impact of social media on organisational department of Rowlinson Knitwear
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According to Kakroo. U, 2015, Social media posses a considerable impact on the
organisational department of a company. Departments of a firm gets social makeover when get
impacted with social media platform. There are different departments in a company which are
highly impacted with the advent of social media such as customer service department,
information technology department and marketing department etc. In case of IT department,
main duty of this department is to manage all the technological aspects such as computers,
software and online applications. All the businesses carried out by social media will be will be
managed by this department. Hence, social media will impacts the working of this department in
a considerable manner. For marketing department, Social media will have a visible impact as
with the help of social sites customer demand for products of Rowlinson Knitwear will be
acknowledged. Customer service department will assists customers to solve their queries and
problems with the help of feedbacks that will be gathered from online sites. These online sites
are part of social media. Hence, it can be stated that social media will posses impact on the
organisational departments in Rwolinson Knitwear.
Social media tools implement by Rowlinson Knitwear to improve their performance
Social media is a collective online platform where there is free flow of communications
without any biasses. It is a computer mediated technologies that facilities sharing of
informations, ideas, expressions etc. Company can use social media tools like LinkedIn twitter,
Facebook and Instagram for effective results and performance. These social sites give path to
explore business by using various tactics to create brand image, like, fan page, contests,
sweepstakes etc. On various social sites customers put complaints regarding the product default
and services which can be taken as positive sign for further improvements. These provide a free
place to express likes and dislikes about the services offered to the customers and company can
accordingly judge the targeted customers out of the crowd.
Company should do continuous efforts to go beyond the existing product and convert
their objectives accordingly in to existing and real social media activities. Using frequently
Facebook, instagram,twitter, is the easiest way to reach out the their customers targeted and sales
volumes can be raised accordingly. Searching target customers can lead to upliftment in
performance by generating good amount of revenue and generating huge amount of profitability
from the customers. The performance of the company can be upgraded by reviewing customers
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complaints and making changes in the existing product or services which will help the company
to create goodwill in the eyes of the customers.
Chapter Three: Methodology
Research Methodology
Research is the investigation about some topic in order to enhance knowledge by in-
depth analysis of subject matter. While performing study various activities performed under
investigation such as introduction, literature review, methodology, etc. In order to understand
tools and technique of research and conduct activities in systematic manner research
methodology is used. Hence there is some specific tools and techniques which has to be
considered by research. Research onion is used to study different techniques in order to conduct
research in ethical and appropriate manner.
Research philosophy- This is the outermost layer in research onion which helps to cover
different aspects in order to get appropriate outcome. There are three types of research
philosophy i.e. pragmatist, positivist and interpretivist. In this investigation pragmist research is
used because this provides complete information about prospects which helps to conduct
research in more ethical and reliable manner.
Research approach- After research philosophy research approach is studied. Under
approach understanding about conducting research is possible. There are two types of research
approach: inductive and deductive. In this research deductive is used because this covers all
relevant points which are essential for conducting research. These are relevant to provide
complete information about factors which affects research (Laroche, Habibi and Richard,
2013).
Research methods- Research is conducted in specified form to get systematic outcome.
There are two types of research outcome i.e. qualitative and quantitative research. In this
research qualitative research is used. This is method which provides reasons behind specific view
of respondents. Qualitative methods helps to get practical knowledge about research topic with
the help of graph, pictures, etc. Under this method researcher can easily understand concept of
social media technology which is relevant to achieve aims and objectives.
Research tools- Research is effective collection of data about research topic. There are
different tools and techniques through which it is easy to get authentic and relevant data about
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research topic. There are two tools which helps to collect data i.e. primary and secondary data.
Primary data means collecting information from individuals on the basis of one to one. This
source is relevant because in this information is collected with help of personal interview,
questionnaire, telephonic interview, etc.
While in secondary source information is collected from online sources, journals,
newspaper, books, etc. these sources are presented and published by other person, group of
people on the basis larger number of people. In this research both the methods are considered so
in- depth knowledge about project can be achieved.
Research design- There is some specific design under which research is conducted. This
is the process under which research can be performed in appropriate manner. There are three
methods through which research design is done i.e. exploratory, experimental, descriptive. In this
research, exploratory design is used (jenner, 2012). With using this method, it is easy to explore
different sources which helps to achieve in- depth analysis about topic. Exploratory research
helps to collect relevant and authentic data which is important for providing appropriate
conclusions and recommendations.
Research site- This is the place where research is conducting. In this research data is
collected from employees and consumers. Hence in this case, research is performed in
organisation and market to gather data.
Research sampling- Sample is the group of individuals which is selected from larger
number of people. Sample is representation of group of people. With the help of sampling
researcher can interpret outcome of whole population. Sampling is effective to draw conclusion
about research topic.
Research strategy- There are two methods of sampling: i.e. random and non random
sampling. In this investigation random sampling is used which helps to collect information which
is free from biasiness and partiality. With using this method, it is easy to give appropriate
conclusions and recommendations because information is collected from specific number of
respondents. In this research, 20 employees and 30 consumers are selected. They helps to get
information about digitalisation and its impact on business operations (Heavey, Simsek and Fox,
2015).
Ethical implications- Research is the process through in which systematic collection of
data about research topic is conducted. This research is conducted by considered ethical aspects
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which is relevant for achieving aims and objectives. While collecting data from respondents,
information is collected which authentic and relevant, while selecting secondary data
information is collected from authentic sources. Hence information is relevant and significant for
getting positive outcome.
Research limitations- There are some limitation while conducting research i.e. time and
cost. There is requirement of both the aspects because this helps to collect analyse data in
appropriate manner. While conducting this research, there is issue of cost because budget set for
collecting data is low.
Research reliability- Research is conducted in best and reliable manner. Research
provides absolute and in- depth data about impact of social media on growth and productivity of
organisation. Hence in this case al the information is relevant because collected from authentic
sources (Goksoy, Ozsoy and Vayvay, 2012). Information from questionnaire is relevant because
information is collected from respondents who have knowledge about concept of social media.
Chapter Four: Findings( Data analysis and presentation)
Data analysis
Data analysis is a procedure of inspecting, modelling and transforming information with
the objective of attaining relevant data that will supports in formulating appropriate strategies.
These strategies will helps in gaining valid conclusions with the help of systematic logical and
statistical techniques that aims to describe, illustrate and evaluate data. Data analysis will
benefits in understanding the effect due to social media on the growth of SME's with the help of
questionnaire (Fuchs, 2017).
Questionnaire
1) Do you acknowledge the term social media?
 Yes
 No
2) Do you believe social media will benefit Rowlinson Knitwear in achieving desired growth?
 Yes
 No
3) What can be the main reasons for SME's to expand their business operations with the help of
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social media?
 Increased customer base
 Enhanced sales and revenues
 Increased brand reputation
4) What is the major advantage for Rowlinson Knitwear to adopt social media platform ?
 Increased business growth
 Increased profit margins
5) Which social media tool will benefits Rowlinosn Knitwear in achieving desired business
growth ?
 Facebook
 Twitter
 LinkedIn
6) What barrier can be faced by an organisation while using social media for promotional
activities?
 Outdated software
 Lack of knowledge
7) How barriers can be eliminated so that business can be run smoothly?
 Employees training
 High investment in digital technology
8) What is the potential risk of using social media as a platform to enhance business growth?
 Increased expenses
 uninterested customers
 Competition rivalry
9) Recommend some measures by which Rowlinson Knitwear can expand its operational
activity by using digital technology.
Theme 1: acknowledge term social media
1) Do you acknowledge the term social media? Frequency
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 Yes 38
 No 12
Theme 2: Benefits of social media in achieving desired growth.
2) Do you think social media will benefit Rowlinson Knitwear in
achieving desired growth?
Frequency
 Yes 42
 No 8
9
Yes No
0
5
10
15
20
25
30
35
40
38
12
Frequency

Theme 3: Reasons for SME's to enhance their business activities
3) What can be the main reasons for SME's to expand their business
operations with the help of social media?
Frequency
 Increased customer base 20
 Enhanced sales and revenues 20
 Increased brand reputation 10
10
Yes No
0
5
10
15
20
25
30
35
40
45 42
8
Frequency