Managerial Project: Social Media Influence on Buying Behavior

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This report investigates the role of social media in influencing customer buying behavior, focusing on Birdsnet, a small retail company in Australia specializing in women's apparel. The study aims to understand how social media impacts the company's growth and customer decision-making processes. It addresses the management problem of understanding changing customer behavior and identifying the best social media platforms for promotion. The research employs both primary and secondary data collection methods, utilizing a qualitative approach for analysis. The report outlines the research objectives, boundaries, and methodology, including a literature review, research questions, and a proposed analysis of results. The goal is to provide recommendations for Birdsnet to leverage social media effectively for future growth and market share capture.

Managerial project-2
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Executive Summary
Purpose- To determine the role social media is playing in the choices of customer’s buying
behaviour.
Summary
The social media is very significantly aiding the Birdsnet company to get growth in the retail
industry. The management problem has been understood is the understanding of the
customer’s behaviour also the use of best social media sites. Different research questions and
objectives have been addressed to enhance the key areas of the study. Primary and secondary
both the method has been used for collecting data and information and qualitative method for
analysis has been used.
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Contents
Executive Summary................................................................................................................................. 2
1. Introduction..........................................................................................................................................4
1.1 Purpose...........................................................................................................................................4
1.2 Background and significance.........................................................................................................4
1.3 Research question and objectives..................................................................................................6
1.4 Research boundaries......................................................................................................................6
1.5 Report outline................................................................................................................................ 6
2. Literature Review/Theoretical Framework..........................................................................................7
2.1 Introduction....................................................................................................................................7
2.2 Role and significance of social media........................................................................................... 7
2.3 Influence of social media on company and customers..................................................................7
2.4 Suggestion for future growth......................................................................................................... 8
2.5 The research gap............................................................................................................................ 8
3. Methodology........................................................................................................................................9
3.1 Introduction....................................................................................................................................9
3.2 Research approach and justification..............................................................................................9
3.3 Details of specific data collection techniques..............................................................................10
3.4 Gantt chart....................................................................................................................................11
4. Proposed Analysis of Results............................................................................................................ 12
References..............................................................................................................................................15
Appendix 1.............................................................................................................................................16
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1. Introduction
The social media at the present time is playing an essential role in the growth and
development of the organisations in Australia. It is highly required by the management of the
firm to use the best social media site for its promotion and to create awareness about the
goods and services of it. The Birdsnet is one of the retail company which is working at a very
small level. The company is dealing with the women’s apparels in Australia. The company is
willing to get grow and want to capture shares of the large market (Ashley and Tuten, 2015).
The social media is the platform where the company wants to expose its offerings and
products so that it can be able to attract a large number of customers. there are many other
sources which the company can use but the emerging trend which the market is following is
of the social media. Therefore, to sustain and run the business operations in a smooth manner
the social media is in high demand.
1.1 Purpose
The motive of this progress report is to understand the influence of social media sites on the
buying behaviour of the customers with the use of effective sources and several references.
The motive to determine the impact that an individual is having while buying the product or
service of social media site is very necessary.
1.2 Background and significance
The social media sites at the present time have availed new and growing opportunities to the
customers as well as the companies in Australia. The study will be focusing on the way and
the reason why there is an influence in the buying of the product or services. The Birdsnet
company to promote its goods and services is willing to introduce the online operations with
the use of best social media sites. The customers will also get influenced by this as a large
number of clients can be seen on the social media sites (Xiang, et. al., 2015).
The problem which is taking place in the company is the sales is getting reduced as there is a
number of other options which the customers in the market can avail. It is the major reason
for using this particular decision for the company. This is very important to be noticed and
managed because the sales if get low then there will be chances where the company have to
wind up all its operations and functions.
The significance of the study
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The study is very beneficial and important to be performed as with the help of this the firm
will be availing better options and growth opportunities which will help in sustaining in the
market for a long period of time. the research is worthy because the information gathered
here will be very useful for making growth strategies by Birdsnet company. The benefit
which can be expected from carrying out the study is that the company will get to know how
the use of social media has to be done. Along with this, the strategies which the company
have to make for the future can also get to understand with the help of this investigation.
There are several problems which may get arise if the identified problems and issues are not
addressed appropriately. The company will lose its market shares also this present situation
will also get influenced adversely if the problems are not resolved in the proper required
manner.
Management problem
The problem is to understand the changing behaviour of the customers and to determine
which is the best platform to promote the products and services.
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1.3 Research question and objectives
Research question
1. How the social media sites presently playing the vital role in the decision-making
process of the customers?
Research objectives
 To understand the role of social media in the present market scenario.
 To examine the impact of social media on the business activities in the retailing
sector.
 To evaluate the relationship between the social media and customer’s buying choices
in Australia.
 To recommend a suggestion to the company for future planning.
1.4 Research boundaries
The research boundary that has been determined in this study is that the information which
will be gathered here will be from a limited area. The information is gathered from an
Australian company that is also a small business where the data could be gathered in a very
limited manner. It is limited to one particular company and the impact of social media on it.
Therefore, a wide range of information is not possible to get attained here.
1.5 Report outline
1. Introduction- In this section, the background of the study will be understood in a
detailed manner. Here the things which are required in the study to b attained will be
presented in the proper described way.
2. Literature study- The secondary study will be preferred, with the effective use of
journals, books, and online websites to attain reliable information for the chosen
study.
3. Methodology- The research methods which is most suitable for the study to gather
reliable and effective information will be understood in this section of the study.
4. Research analysis- At last the analysis of the gathered data will be done where the
final understanding of the subjective aspect will be attained in the required and
desired way.
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2. Literature Review/Theoretical Framework
2.1 Introduction
This section of the study is where the researchers will be gathering the secondary source of
information where the information related to the set objectives of the research topic. The
points which will be discussed here are about the role and significance of social media, the
impact of it on the retail business and on the buying behaviour of the customers. The
recommendation which the company needs to plan for the future to sustain in the market.
2.2 Role and significance of social media
According to Hajli and Sims (2015), the social media is one of the tools of the medium
through which one can communicate with other. It is very important and essential factor
which is needed to be considered and understood by all so that the communication can be
able to get done in the most desired and required manner. There is a high need of social
media in the present market situation. The schedule of people is very busy, no one is getting
time to spend with their friend and relatives. Therefore, at the present time, the use of social
media has increased as with this the people sitting in any corner of the world can be able to
communication activities with the respective people.
As asserted by Boateng and Okoe (2015), the social media is proving itself very beneficial at
the present time as with the aid of this the market people and the nation is able to perform
extremely well in the international competitive market. The social media is very easily able to
get accessed which is assisting the people to use it as per their convenience. It is providing
opportunities for growth and development for different sectors and businesses.
2.3 Influence of social media on company and customers
In accordance to Khare (2015), the social media is having a great impact on the company as
with the appropriate use of this the organisation can be able to get attain the growth
opportunities. The companies are getting a new platform where it can be able to present
information about the products and services which it is availing to the people. The sales of
the company dealing online have also increased as compared to the modern selling method.
The social media is the best platform where the company can promote its goods and draw in
the attention of the people. In the viewpoint of Perrin (2015), the customers are highly
getting influenced with the social media sites. They are getting attracted towards the goods
and services of the companies as they get to know each and every aspect and features of the
business. The customers are preferring more to shop online rather visiting any store. This is
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Cultural influence
Social factors
Personal traits
Promotional strategy
Psychological factors Buyers Online buying
behavior
providing the chance for the companies to capture the untapped places this will help in
attaining shares of the market and the growth opportunities also.
2.4 Suggestion for future growth
According to Bonilla and Rosa (2015), the company must use the best method for the
promotional activities of its products and services. The social media like, YouTube and
Facebook are to be the best used by the Birdsnet company. This will help the researchers to
meet the market needs and requirements as a large number of people can be found active on
these sites. The information has to be very clearly and in the right manner has to be presented
on these sites so that the customer can get to know about the products and services.
2.5 The research gap
The research gap that has been identified in this study is that the more concern has been
understood regarding the social media and its influence that one is having while making the
decision of buying. There are several factors which also needed to be focused which I also
have a great impact on the people.
Conceptual framework
Source: (Author, 2018)
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3. Methodology
3.1 Introduction
In this section, the discussion about the different research method which has been used by the
researchers will be done. It is very important to use the best and most suitable data and
information so as to meet the requirements of the study.
3.2 Research approach and justification
 Research method- The research type is of a different method like causal-effect,
descriptive study, exploratory, case study method and many more. The best suitable
method for this study is an exploratory method (Smith, 2015). The investigation is
getting done in an exploratory way where all the information is attained in an
effective way and has been explained properly to make readers understand the
subjective topic. The used method is very beneficial and supporting the research study
as with its aid the research question could be able to get addressed in an appropriate
manner.
 Research approach- There are two approaches which the investigators can use in the
study of inductive and deductive approaches. The deductive approach is most suitable
for this study as the information will get first theory will be made, the hypothesis will
be formed upon which the observation is getting done. At last, the reach to the final
information will get confirmed (Taylor, et. al., 2015). Due to this opting, this will help
in attaining the reliable information.
 Research philosophy- The research philosophy is also are of two type positivism and
interpretivism. Interpretivism is the best method which can be used in the research as
it will help in attaining the perceived and interpreted data and information which will
help in meeting the set objectives of the study.
 Data analysis method- The data could be able to get analysed with the help of a
qualitative and quantitative way. The qualitative method will be used to analyse the
information and gathered data in a thematic manner (Thomas, et. al., 2015). The
understanding will be easier from this method and also the complexity can be
managed.
 Data collection method- The primary and secondary both the methods have been used
here in the study as to attain more reliable and valid data which could easily address
the research question and objectives. The qualitative and quantitative both the aspects
have been considered as to gather the data with primary as well as secondary sources.
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 Sampling and sample size- The sampling is very important to be done so that the
research could be able to get performed in an effective way. the random sampling has
been considered by the researchers as with its assistance the information could be
gathered from people with different minds and thoughts. This will surely assist the
researchers to gather reliable and valid data which will help in resolving the research
problems as well. The sample size chosen for the study is 30 customers of the
Birdsnet company who get attracted and are using the products of the company on a
regular basis.
3.3 Details of specific data collection techniques
Primary method- The information and data which is collected for the first time. this is very
important for the researcher to use as from this the recent information of the market could be
attained. Questionnaire method is been used where the data is collected by meeting the
customers of the company personally and making them fill the questions with their own
concern. As the questionnaire method is used the qualitative research technique is needed to
carry out the study. The frequency distribution will be done for the attained data and
information by the customers (Jackson, 2015). The random sampling is used for the study to
gather the data randomly and 30 customers were randomly chosen for attaining the data.
Secondary method- The secondary data is very useful for the research to attain the valuable
beliefs and thoughts of scholars who Have researched on the subjective topic and did an in-
depth study. Therefore, reading Journals, books, and online sites, it is very important to attain
information which will aid the researchers to attain more reliable data and information on the
topic.
Research
Objective
Data Collection Method/
Technique
Specific research questions or sources
To understand
the role of
social media in
the present
market scenario.
Secondary Ashley, C. and Tuten, T., 2015.
Creative strategies in social media
marketing: An exploratory study of
branded social content and consumer
engagement. Psychology &
Marketing, 32(1), pp.15-27.
To examine the
impact of social
Primary What is the ultimate impact of using
social media?
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media on the
business
activities in the
retailing sector.
To evaluate the
relationship
between the
social media
and customer’s
buying choices
in Australia.
Secondary
Hajli, N. and Sims, J., 2015. Social
commerce: The transfer of power from
sellers to buyers. Technological
Forecasting and Social Change, 94,
pp.350-358.
To recommend
a suggestion to
the company for
future planning.
Secondary Khare, A., 2015. Antecedents to green
buying behaviour: a study on
consumers in an emerging
economy. Marketing Intelligence &
Planning, 33(3), pp.309-329.
3.4 Gantt chart
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4. Proposed Analysis of Results
Theme1. Social media is very significant presently.
2.5
7.5
12.5
17.5
22.5 22
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Yes No
From the graph, it can be understood that the social media sites are very useful and important
for the company to use. The majority of the respondents stated that the use of social media is
very important and is necessary for the current market.
Theme2. Social media is highly influencing customers positively.
2.5
7.5
12.5
17.5
22.5
20
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2
Agree Disagree Neutral
From the above-mentioned graph, it has been understood that the social media is influencing
the customers at the time of making buying decisions. It has been analysed that there is a
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