Evaluating Advantages and Disadvantages of Social Media in Business

This report presents a research proposal evaluating the advantages and disadvantages of social networking in business. It begins with an introduction to social media's role in business, emphasizing its marketing opportunities and impact on brand awareness and customer attraction. The objectives include understanding social media usage, assessing its benefits and drawbacks, and providing recommendations for improvement. The scope encompasses the contemporary business environment, highlighting the need for social media integration in a globalized market. A literature review explores social media's impact, including theories like Social Media Engagement Theory and Word of Mouth. Research questions address the benefits, challenges, and improvement strategies. The methodology outlines both qualitative (interviews with marketing managers) and quantitative (customer surveys) research approaches. Limitations include time and resource constraints. The report concludes by summarizing the key findings and emphasizing the importance of this research for businesses seeking to optimize their social media strategies.

ASSESSMENT 2 BUSINESS RESEARCH PROPOSAL
ADVANTAGES AND DISADVANTAGES OF USING SOCIAL
NETWORKS IN BUSINESS
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Table of Contents
1. Project Introduction................................................................................................................3
2. Project Objectives..................................................................................................................3
3. Project Scope..........................................................................................................................3
4. Literature Review...................................................................................................................4
4.1 Literature problem and Gaps................................................................................................5
4.2 Literature Opportunities.......................................................................................................6
5. Research Questions................................................................................................................6
6. Research Design and Methodology.......................................................................................6
6.1 Qualitative Research............................................................................................................6
6.2 Quantitative Research..........................................................................................................8
7. Research Limitations..............................................................................................................9
8. Time Schedule........................................................................................................................9
9, Conclusion............................................................................................................................10
10. Reference list......................................................................................................................11
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1. Project Introduction
Social networks include the internet services that help in interacting with others and sharing
and creating content through online communities. For businesses, social networking creates
marketing opportunities for promoting brand, products and services and attracting new
customers (Business.qld.gov.au 2016). As a result, business has focused on creating a social
presence through Facebook, Twitter, LinkedIn and YouTube to reach out to the desired target
groups.
Usage of social media has helped in obtaining several advantages leading to brand awareness,
promotion and customer attraction. However, businesses have also encountered challenges
while social networking. Lag in the integration process of social media and technology create
challenges for companies in global business environment. Hence, this paper would frame up
a research proposal to evaluate the advantages and disadvantages of social media in business.
2. Project Objectives
The research proposal aims to evaluate the advantages and the disadvantages of social
networking in business. Based on the above aims, the project objectives are listed below:
 To comprehend the basic usage of social media in business
 To critically assess the advantages of social networks in business
 To evaluate the disadvantages of social network in business
 To offer suitable recommendations for improving the use social networks in business
3. Project Scope
In the contemporary business environment, usage of social media has increased drastically.
With globalisation, business has to bring changes in the organizational structure and long-
term strategies of the business. The companies now need to focus on international market and
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develop skills and capabilities that would satisfy the needs of the global consumer market.
The internet based platform to maintain communication with the vast global market. It has
become essential for the business to invest in social media integration process to maintain its
global presence (Abuhashesh 2014).
Social networking has helped business to become more interactive in nature. The companies
are able to analyse the trend of the market and alter the strategic outlook to cater the needs of
the customers. However, there are certain drawbacks related to the implementation of social
media, which needs to be addressed for enhancing the positive outcome on the business
(Hinz, Schulze & Takac 2014.). The scope of the study includes assessing the advantages
and disadvantages of the social networking for business to frame up strategies to overcome
the challenges of social media in business.
4. Literature Review
Social media is a group of internet based applications that are developed on the ideological
and technological foundation of Web 2.0 and allows sharing of content generated by the user
(Kaplan & Michael 2010). The introduction of the social network has brought new arena for
the business in terms of content creation and sharing. Usage of social media for business is
manifold. Social networking has helped business to attract more customers and create an
opportunity for better customer management relationship. Connecting and interacting with
the customers on the social platform has generated trust among the customers. It enables
business to become attractive universally and create a strong influence on the acceptance of
buyers (Hajli 2014).
The usage of social media in the business can be analysed with the help of different theories.
Social Media Engagement Theory is a theoretical framework that explains the interaction
between the organization and the customers. This theory is built upon the concept of user
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engagement. As per this theory, the rise of social media has helped businesses to connect
with the customers effectively (Di Gangi & Wasko 2016). Social network theory considers
the social relationship between the organization and its different stakeholders. Social
relationship determines the economic behaviour of the organization (Ferreira & Armagan
2011). Word of Mouth, on the other hand, enhance the relationship with the customers. Social
networking helps in developing trust with the customers thereby spreading positive word of
mouth and thus influences the customers to purchase.
Social networking helps in developing successful brand thereby developing a strong value
proposition. It is a way of interactive approach to attract the customers and create customer
loyalty. It influences the customers to purchase the products. Social networking helps the
company to communicate the values of the brand and strengthen the brand association for the
beginning wheel of usage and experience (Vukasovič 2013). With the use of social media,
customer acquisition becomes easier. In 2013, marketers obtained customers through Twitter
(36%), Facebook (52%) and LinkedIn (43%) (Ciprian 2015.).
Apart from the advantages, there are some challenges related to social networking. Often
company fails to develop social media strategy in connection with the long the long-term
objectives. Moreover, higher interaction with the individuals can increase the risks of higher
exposure and high amount of public criticism (Abuhashesh 2014).
4.1 Literature problem and Gaps
The literature review provides analysis on the usage of social media in business. Several
studies are carried that critically evaluate the advantages of social networking on business.
Some articles also provide overview of the drawbacks of social media marketing. However,
research gaps lie in the fact that very few studies shed light on the challenges of social media
integration in a various business function that forms a major drawback of the impact of social
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media on business. The literature problem includes in-depth analysis of the disadvantages of
social media in business.
4.2 Literature Opportunities
The critical analysis of the literature provides opportunities to the researcher for developing
insight into the usage of social media in business. The researcher gains sufficient knowledge
about the challenge and the benefits of social networking in business and this would be
helpful for acquiring data for the final research and analyse to reach an apt conclusion.
5. Research Questions
 Primary Question
What are the advantages and disadvantages of social networking in business?
 Secondary Question
1. What is the use of social media in business?
2. How the social networking does provides benefits to the business?
3. What are the disadvantages of social networking in business?
4. How can businesses improve the usage of the social network?
The justification for the above research questions is that it would help to assess the benefits of
social networking in business. Moreover, it would help in evaluating the drawbacks social
networking and the challenges of social media integration in business. Based on the evaluated
challenges, suitable recommendations would be provided for improving the use of social
media in business thereby creating benefits for the business community.
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6. Research Design and Methodology
6.1 Qualitative Research
Qualitative research help in gaining an understanding of the in-depth reasons, opinion and
motivations. Qualitative research methods include observation, focus groups, and interview
(Bryman & Bell 2015). For evaluating the advantages and disadvantages of social media in
business, the researcher can make use of interview to acquire data. The main steps are:
Figure 1: Steps of Qualitative Research
(Source: Researcher)
The sample population would include the marketing managers of some famous retail
companies like Tesco, Burberry and Thomas Cook. Non-probability sampling methods would
be carried out in which the purposive sampling technique would be used to select the
marketing managers. The sample size is three. Data would be collected through telephonic
interview. The participants would be asked four questions on the benefit and challenges of
the usage of social media in business. The variables, in this case, include social media and
business.
Reliability refers to the consistency of the data over time and proper representation of data in
terms of population (Golafshani 2003). To maintain reliability, the marketing managers of the
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ProblemIdentficationSampleSizeSelectionArrangingQuestionsAppointmentInterview

different business field would be interviews so that fair representation can be maintained to
some extent. Validity refers to the true measurement of the result. To ensure validity, the
collected data would be analysed with references to the literature review and finally, the
conclusion would be provided.
6.2 Quantitative Research
Quantitative Research deals with objective measurement and numerical analysis of data. It
helps in describing and measuring the level of occurrences (Bryman & Bell 2015). The main
steps for qualitative data collection are:
Figure 2: Steps of Quantitative Research
(Source: Researcher)
The research instruments that would be required in this case are a questionnaire, internet
connection and computer. Sampling can be defined as the process of a pre-determining
number of observations from the larger population in statistical analysis (William, James &
Arora 2015). Probability sampling would be done to select the population for obtaining
quantitative data. Simple Random Sampling would be done to select the customers to know
how social networking of the business helps them to stay connected with different brands.
The sample size is 65 customers. the inline survey would be done to collect data.
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ProblemIdentficationSampleSizeSelectionDevelopingQuestionaireSurvey

The questionnaire would include 10 question for identifying the advantages and
disadvantages of social networking in business. Statistical methods would be used in data
analysis process in which graphs and charts would be drawn for better presentation. To
ensure reliability and validity of data fair representation of population would be done.
7. Research Limitations
The main limitations of the research include time and money. Due to lack of time, the larger
population could not be surveyed. Moreover, it was quite difficult to get access to marketing
managers. It was possible only to get access to marketing managers of three companies and
that took over the telephone. It was not possible to meet with them.
8. Time Schedule
Main activities
and stages
Week 1 Week 2
to 9
Week 9
to 15
Week 15
to 20
Week
20 23
Week 23
to 25
Week 26
Selection of
the topic

Collection of
data

Planning the
proper layout
 
Reviewing
literature

Development
of research
plan

Selecting
research
  
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technique
Gathering
Secondary
data
 
Data analysis  
Interpretation
of findings

Conclusion
preparation

Project rough
overdraft

Final
submission

9, Conclusion
The current proposal is designed to acquire data on the advantages and the disadvantages of
social networking in business. Framing up of the research objectives and questions would
help to direct the researcher in the correct path. The literature review gained significant data
about the advantages and drawbacks of social networking. The research methodology chalked
out a proper plan for carrying out the research.
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Works Cited
Abuhashesh, Y 2014, 'Integration of Social Media in Businesses', International Journal of
Business and Social Science , vol 5, no. 8, pp. 202-209.
Bryman, A & Bell, E 2015, Business Research Methods, Fourth Edition) edn, Oxford
University Press, Oxford.
Business.qld.gov.au 2016, Using social media to market your business: the basics, viewed 17
August 2017, <https://www.business.qld.gov.au/running-business/marketing-sales/
marketing-promotion/online-marketing/social-media>.
Ciprian, P 2015., 'THE GROWING IMPORTANCE OF SOCIAL MEDIA IN BUSINESS
MARKETING', Quaestus, no. 7, pp. 94-98.
Di Gangi, PM & Wasko, MM 2016, ' Social Media Engagement Theory: Exploring the
Influence of User Engagement on Social Media Usage', Journal of Organizational and End
User Computing (JOEUC), vol 28, no. 2, pp. 53-73.
Ferreira, MP & Armagan, S 2011, 'Using social networks theory as a complementary
perspective to the study of organizational change. ', BAR-Brazilian Administration Review,
vol 8, no. 2, pp. 168-184.
Golafshani, N 2003, 'Understanding reliability and validity in qualitative research', The
qualitative report, vol 8, no. 4, pp..597-606.
Hajli, 2014, 'A study of the impact of social media', International Journal of Market
Research, vol 56, no. 3, pp. 387-404.
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Hinz, O, Schulze, C & Takac, C 2014., ' New product adoption in social networks: Why
direction matters', Journal of Business Research, vol 67, no. 1, pp. 2836-2844.
Kaplan, AM & Michael, H 2010, 'Users of the World, Unite! The Challenges and
Opportunities of Social Media', Business Horizons , vol 53, pp. 59-68.
Vukasovič, 2013, 'Building successful brand by using social networking', Journal of Media
and Communication Studies, vol 5, no. 6, pp. 56-63.
William, James, P & Arora, K 2015, Research Methods: The Essential Knowledge Base, 2nd
edn, Cenage, New York.
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