The Positive and Negative Impact of Social Media on Tesco's Business

This report provides a comprehensive analysis of the impact of social media on Tesco's business operations. It explores the positive effects, such as reduced operational costs, increased customer engagement through platforms like Facebook, Twitter, and Instagram, and enhanced brand recognition. The report also addresses the limitations of social media, including data security concerns and the time required for account management. The methodology involves primary and secondary data collection, including surveys and analysis of existing literature. Recommendations include employee training, data protection policies, and transparent communication. The report concludes that while social media offers significant benefits in terms of marketing, customer service, and revenue generation, businesses like Tesco must carefully manage the associated risks to maximize its effectiveness and achieve long-term goals. The study emphasizes the importance of strategic planning and adaptation to the dynamic social media landscape for sustained business growth.

IMPACT OF
SOCIAL MEDIA ON
BUSINESS

ABSTRACT
Present report will focus on the positive and negative impact of social media on business. The
taken company is Tesco and report will provide details about the how social media has supported
company in achieving goals and objectives. Channels like Facebook, Twitter, Instagram can
support organization to decrease their operational cost and reach out large number of consumers.
It will be very beneficial for company to make use of these channels.

Contents
ABSTRACT....................................................................................................................................2
INTRODUCTION...........................................................................................................................4
METHODOLGY.............................................................................................................................4
MAIN BODY..................................................................................................................................5
Impact of Social media on business.............................................................................................5
RECOMMENDATIONS.................................................................................................................6
LIMITATIONS................................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................8

INTRODUCTION
Social media can be defined as that channel that can be used by an individual to build
relationship with them through online means or internet. This can support individuals and public
in facilitating communication. There are various channels of social media like Facebook, Twitter
and Instagram that can be used by public or business in order to build up better relationship.
These channels can support business in growing and increasing their sales and revenue. Present
report will lay emphasis on Tesco. It is one of the largest British retail store. Report will
emphasize on impact of social media on business. It will also provide the limitations of using
social media. Assignment will also provide details related to recommendations to solve issues
related to social media
METHODOLGY
The various methods that has been used by researcher to know about the impact of social
media on business in through primary and secondary method of data collection. Primary data is
the raw and unfinished data which can be collected by surveys, interviews, and questionnaire.
Through this method the opinion and view point of various employees related to impact of social
media can be analysed. This will help researcher in reaching out the end results. This method of
data collection is reliable and authentic (Surani and et.al., 2017). This method will also support
researchers in analysing the facts and figures related to subject matter.
Other method that can be used in collecting information is secondary technique of gathering
information. The data related to impact of social media on business is been collected by books,
journal, articles, blogs. The information collected from this source is finished data. It is based on
theoretical framework and models. It will assist researchers in analysing all facts and figures
related to subject matter. This will support researchers in meeting out the end results. It will also
help them in better understanding of limitations related to subject matter. It has also been
analysed that the data collected from this type of method is authentic and reliable. It is been
collected from most reliable sources. It will help researchers in finding out the end results related
to subject matter. It will help them in achieving objectives that has been set up them.

MAIN BODY
Impact of Social media on business
Social media is one of the most effective online tool that can be used by various
organizations in order to promote their product. This can assist Tesco in reaching out the large
number of consumers. Channels like Facebook, Twitter, Instagram can support organization to
decrease their operational cost and reach out large number of consumers. It will be very
beneficial for company to make use of these channels. Tesco can build up their target consumer
strategy by making use of social media platforms. Like they can communicate with target
audience through it. It will also help them in taking feedback from consumers, analysing gaps in
their service. Tesco enhance their quality of services by taking feedback from consumers through
social media channels. This will assist them in expanding their business. It will also support
organization in achieving their short term as well a long term goals and objectives. It has also
been analysed that social media can be used by Tesco in analysing the trends of market.
This will help them in meeting out the needs, wants, and demands of consumers that is
really necessary for their growth. It will support business in creating consumer loyalty and can
also help them in reaching out their goals (Parker and et.al., 2019.). Social media can help Tesco
in engaging in effective communication, it is very easy for business to connect through these
channels like Facebook, Instagram and Twitter. They will be able to know about consumer
expectations and changes they require in products and services supplied by Tesco. This will help
them in building up better relationship with consumers which is really necessary for growth.
Social media can also assist Tesco in knowing about the competitors marketing strategies. Social
media has multiple positive impacts on business in terms of brand recognition, customer
engagement, revenue, and customer service. Organization by making use of this advanced
technology can enhance their brand reputation as well as equity. This will directly lay impact on
sales and revenue aspects of business.
Tesco can make aware people about their brand, the products and services supplied by them.
It will support them in creating lead and sales. Social media boosts visibility among potential
consumers. Social media channels can help Tesco in engaging consumers. They will be better
able to know about the what consumer wants. This can support Tesco in rapidly changing and
dynamic environment. This will also help business in avoiding delays in supply of products and
services. Also by making use of social media channels, it will be beneficial for company to make

consumers aware about the existing offers which they are bringing for customers. This can create
consumer loyalty and will also increase their belongingness. This aspect is really essential for
growth of Tesco. It will help them in growing. Social media channels have also provided support
to business. Like for example it has successfully broken down the barriers between consumers
and company. Facebook, Instagram and Twitter has supported companies in working on
problems of individuals. Now they consumers do not need to call customer service line instead
they can mark complains on online or on company’s website. It is a really easy process if Tesco
is following it, as this will support firm in meeting out the expectations of customers.
Social media platform can also support business in communicating effectively through their
consumers as well as employees (Chen and et.al., 2016). Tesco can have engaged in doing video
calls through Facebook to other employees who are in far places. This will support firm in
expanding their business and also diversifying their goods and services. It will assist them in
achieving their long term as well as short term goals and objectives. It has also been analysed
that social media will support business in engaging more consumers towards them. It will assist
them in creating more consumer loyalty. It is really essential for growth of firm. Social media
marketing is also really cost effective. It will help them in increasing brand awareness and also
rising up the brand equity. Making use of social media channels will them in providing better
consumer service. It will also help company in attracting more audience. Social media creates the
great opportunities to making audience familiar with their business, they can easily able to know
about the various type of differentiated product which is being used by companies. It will also be
very beneficial for company when they are making use of social media platforms.
RECOMMENDATIONS
It has been recommended to business ventures like Tesco to make use of social media
channels so that they can be able to increase their business area, by Facebook and Instagram
Tesco would be able to create consumer base. It is also recommended to Tesco to be engaged in
providing training to their employees so that they can be effectively able to use the online
channels. This will assist company in growing and achieving their goals and objectives. They
must also make sure that no personal data through social media channels is been leaked by firm.
It has been recommended to Tesco that they must be accurate and honest while sharing any
information related to them on online channels.

As this will assist them in creating trust of consumers and will also increase their
experience. Company also needs to make sure that they are transparent and honest while sharing
data related to them (Chen and et.al., 2016). It is very essential for them to be honest as this is the
most important factor that cab build up consumer’s brand equity and loyalty. It will support firm
in growing and achieving their goals and objectives. It has also been recommended that Tesco
can bring up the new policy related to data protection so this will assist company in managing
their brand reputation and equity. They can also create new and innovative hashtag which can be
used for their brand. This will help firm in increasing awareness related to products and services
that is being supplied by firm. Tesco can create a common platform like a group on Facebook
where it becomes easier for company to share information. This can assist organization in
communicate effectively where they can analyse the problems that is going in firm. This aspect
can support company in increasing their operational productivity and efficiency. Social media
can help Tesco in engaging in effective communication, it is very easy for business to connect
through these channels like Facebook, Instagram and Twitter. They will be able to know about
consumer expectations and changes they require in products and services supplied by Tesco
LIMITATIONS
There are various weaknesses in making use of social media in order to expand business of
company. Like for creating the account on social media platforms and making up the consumer
base it requires a lot of time (Pasquini and Evangelopoulos, 2017). Also to manage company’s
social media activities some well-known trustable qualified personnel is required. So this can
increase the operational cost of Tesco. So it is very necessary for company to do strategic
planning related to it. This will support them in achieving short term as well as long term goals
and objectives. It has also been analysed that Social media channels like Facebook, Twitter and
Instagram also have various other limitations like personal data of company can get leaked. It is
very easy for the hackers to crack down the code and hack personal details of business. There are
also chances that personal information of consumers and employees is also being leaked. This
will assist in hampering the brand reputation and equity of organization. This can reduce trust of
consumers and Tesco might be in threat of losing potential consumers. It can also lead to
reduction in profit of company, it can also bring decline in sales aspects of firm. So it must be
taken care so that organization can grow. Company must make sure that the data of employees

and consuemrs must be kept safe so that the trust and better bonding can be created. This will
assist firm in achieving their goals and objectives.
CONCLUSION
From the above study it has been summarized that there has been various positive and
negative impact on business. It has bene analyzed that by making use of social media channels
like Facebook, Twitter and Instagram meeting out the needs, wants, and demands of consumers
that is really necessary for their growth. It has supported business in creating consumer loyalty
and can also help them in reaching out their goals. This has assisted them in achieving their short
term as well long term objectives. It has directly impacted the profit and sales of company. They
have provided business with leads and increase in sale. It has also been analyzed that these
channels have broken down the barriers between company and consumer. It has been
summarized from report that company has been involved in making use of social media so that
they can engage more consumer’s and increase profit and revenue. This has supported them in
achieving their goals and objectives.

REFERENCES
Books and Journals
Pasquini, L.A. and Evangelopoulos, N., 2017. Sociotechnical stewardship in higher education: a
field study of social media policy documents. Journal of computing in higher
education, 29(2), pp.218-239.
Chen, Q. and et.al., 2016. Social media policies as responses for social media affordances: The
case of China. Government information quarterly,.33(2).pp.313-324.
O’Connor, K.W., Schmidt, G.B. and Drouin, M., 2016. Helping workers understand and follow
social media policies. Business Horizons, 59(2), pp.205-211.
Surani, Z. and et.al., 2017. Social media usage among health care providers. BMC research
notes.10(1).p.654.
Parker, J.M. and et.al., 2019. Should employees be “dooced” for a social media post? The role of
social media marketing governance. Journal of Business Research. 103. pp.1-9.

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