Impact of Digital Technology: Social Media on SME Business Activity

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This research project investigates the impact of digital technology, specifically social media, on the business activities of Small and Medium Enterprises (SMEs). Focusing on Oak Cash and Carry Ltd, the report explores the importance of social media in building customer connectivity, brand awareness, and overall business development. The research includes a literature review, research questions, and objectives to examine the challenges and effectiveness of social media implementation. It also delves into research methodologies, including qualitative approaches, and analyzes the impact of social media on brand reputation, cost-effectiveness, and website traffic. The study highlights the significance of social media in modern business environments, particularly in enhancing customer engagement and driving sales.
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RESEARCH
PROJECT
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Table of Contents
TITLE: ............................................................................................................................................3
INTRODUCTION...........................................................................................................................3
PART 1............................................................................................................................................3
TASK 1............................................................................................................................................3
P1 Produce a research proposal that clearly defines a research question and hypothesis by
literature review...........................................................................................................................3
P2 Examine appropriate research methods and approaches to primary and secondary research 7
PART 2............................................................................................................................................9
Times scale...................................................................................................................................9
TASK 2..........................................................................................................................................11
P3 Conduct primary and secondary research by using appropriate methods and techniques. . .11
P4 Apply appropriate analytical tools, analyse research finding and data................................12
TASK 3..........................................................................................................................................21
P5 Communicate research outcomes in an appropriate manner for the intended audience.......21
TASK 4..........................................................................................................................................21
P6 Reflection on the effectiveness of research methods and techniques...................................21
P7 Determine alternative research methodologies for the project.............................................22
CONCLUSION..............................................................................................................................22
REFERENCES .............................................................................................................................24
.......................................................................................................................................................25
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TITLE:
“The impact of digital technology on business activity of SME’s “
INTRODUCTION
Social media is the collective online communications channels which dedicated to
community based input, interactions, content sharing and collaboration. Social media define the
websites and technology which are designed to allow people in sharing content in rapid manner.
There are large numbers of people who use social media app which help them in making
connection with various customers in all over the world. The report is based on Oak Cash and
carry Ltd which is cash and carry services. They are delivering various products and services to
their desired customers in the market place (Audretsch and Belitski, 2017). Social networking
sites that include Facebook, twitter and Myspace has became impactful marketing and
communication method and technique. This is using different channels which help in easily
communicate with their customers in excellent manner. Social media help respective company in
developing strong relation with their buyers and customers in proper way.
Social media assist in growing and developing business in other locations where they can
easily attract large number of customers. There are more and more people who are joining social
media sites and using them on regular basis in which this technology is bound to became bigger
in upcoming years. This will help in making connection with their customers and enhancing
awareness regarding brand and also boost which can lead towards higher sales. This report
covers aims and objectives which are developed as to moving forward towards accurate direction
by implementing appropriate methodologies. In this, literature review will also be conducted as it
provides appropriate theoretical framework (Deichmann, Goyal and Mishra, 2016). Data analysis
will conducted and draw valid outcomes and results for this report.
PART 1
TASK 1
P1 Produce a research proposal that clearly defines a research question and hypothesis by
literature review
A research is essential aspect which play vital role in analysing issues in effective manner
through collecting accurate data and information. The present report is based on importance of
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social media in developing connectivity with customers. Social media is the platform where all
brands act as people do and it is essential because people are perform work with other individual
not with the companies. Social media help in developing strong relationship with their customers
by giving them accurate information about products. It is one of the main technological
implementation that is working as to revolutionise all the experienced and knowledge of human.
In modern business environment, competition is so high in the market and company are widely
concern on gaining higher growth and success (Horlacher and Hess, 2016). Oak Cash and carry
Ltd provides cash and carry services. The company offer wide range of products and services in
bulk for retailers, caterers, oil licences, newsagents and other local businesses and it is situated in
United Kingdom.
Aim: It consists with core of any research project where investigation are occurs in the
form of statement. It is the primary factor of research project as the entire activity of
investigation is based on aim of research. The important aim of research is “To identify the
importance of social media in building connectivity with customers”. A case study on Oak Cash
and carry.
Research Objectives:
It is an essential part of research project as it is interlinked with the major aim of the
investigation. Along with this, it is important to be incorporated with goal of outcome in better
and effective manner. The main objective of research is described as under:
To examine the concept of social media.
To identify the implementation challenges of social media for Oak Cash and carry. To analyse the effectiveness of social media in developing connectivity with customers.
Research Questions:
It is referred as common statement that is effective in drawing viable and reliable results
through developing a theoretical framework by examining thoughts of different authors and
scholars. There are some appropriate research questions which are described as under:
What is the concept of social media ?
What are the implementation challenges of social media for Oak Cash and carry?
How to analyse the effectiveness of social media in developing connectivity with
customers ?
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The research questions are very effective while executing the research activities in
accurate way. It is necessary for investigator is to examine and analyse the entire question in
better manner by providing appropriate specification in the context of area of study. In this,
literature review is an essential part of investigation work as it is effective in delivering accurate
theoretical framework for examining correctness of research. In this, information and data has
been collected through secondary source such as books, journals, online sites and previous
research work.
Concept of social media
It is a computer based technology which facilitates sharing of information ideas thoughts
and building and building a good network among people. It is used as a tool that allows people to
interact with family and friends. This helps to keep in touch with friends and family. Apart from
this it has many career opportunities (Li and et. al., 2016). It is a tool which helps the businesses
to engage with customers, sales, advertising and promotion. Politicians and government also take
the advantage of social media to engage and interact with voters and constituents.
Some examples of social media are-
Facebook-It is the most popular and free social networking website which allows users
to create profiles and interact with the family and friends.
Twitter-It is a platform which allows members to broadcast short post known as
tweets .People can broadcast tweets, follow other people tweets by using this platform.
LinkedIn- This site is specially designed for business and career purpose. It allows
registered members to interact with professional people.
Google - It is known as Real life sharing of thoughts. It is designed to change the way
people interact offline compared to other social networking sites. Wikipedia- It is an online encyclopaedia created through the collaborative efforts of
community. Registered members can create articles for publication.
Identify the implementation challenges of social media for oak cash and carry
As per the view of Tapscott and Tapscott (2014) Social media help respective company
in developing strong relation with their buyers and customers in proper way. This will help in
making connection with their customers and enhancing awareness regarding brand and also
boost which can lead towards higher sales. There are various issues and challenges of social
media of Oak cash and carry limited which are described as under:
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Developing social media strategy: It is the summary of the business which is being used
with the help of social networks. The more specific will be the strategy more it will be
effective in implementing them.
Determining ROI of social media-It is what the business gets back from its money time
and resources. Sometimes it’s very hard to value the tweet or to calculate the clicks on ad.
ROI is very necessary to determine that business is on profit margin or undergoing losses
(Phillips, 2016).
Unknown about the social media platform : Oak cash and carry is a retail company it
becomes difficult for them to choose which platform to interact with the customers. It
takes a lot of time to think customers spend their time on which social platform. Building brand awareness and customer loyalty-There are dangers in participating in
public conversation forum. Its very difficult for oak cash and carry to build awareness
about its product online , when doing business online one should do its business
authentically to create its business authentically.
Analyse the effectiveness of social media in developing connectivity with customers
Social media is the platform which helps company in attracting large number of
customers in better manner. It is provide benefit for firm in making strong connection with
domestic as well as international customers in all over the world. The company can easily
operate and regulate their business in any country through using social media method.
Brand Awareness: It will create awareness of the product among the customers. Oak
cash and carry will grab the attention of the potential customers and increase their brand
visibility, which in turn will increase the profitability of the business (Weaver and et. al.,
2017).
The firm can building and developing brand for attracting large number of customers in
better manner.
Brand Reputation: It creates the reputation of the brand in the market. People gain good
knowledge about their products when in touch with the social media. An organisation
requires making good reputation or goodwill of their products among customers.
Cost effective: Businesses done online are cheaper than traditional advertising and
promotional activities. The cost of maintaining the presence of business on social media
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is minimal. Cost of advertising business is much more than maintaining a social media
presence.
Website traffic: Online social content increase the traffic in the website and helps to the
organisation to advertising their product and services. Website traffic enhances the sales
and leads.
Evaluation: With the help of social media the organisation can evaluate the effectiveness
of the advertising campaign and supports for the sales enhancement (Mohanty, Choppali
and Kougianos, 2016). Customer communication: With the help of social media the interaction and feedback is
so easy and reliable that findings easily eradicate.
Brand loyalty: social media enhances the brand loyalty of the product because the
interaction and feedback is very frequent in the social media.
P2 Examine appropriate research methods and approaches to primary and secondary research
Research methodology is the collective method which are utilised for developing project
for various stages of investigation and it help in develop diverse kind of parameter distinctive
investigation method. In this, there are various types of strategies and systems which can be used
to implement all the stages in correct direction so they can easily reach with desired goals and
objectives in proper manner. This will keep the viability in performing distinctive types of
investigation procedure in effective manner. In this specific research work, there are two types of
research process that can be used to perform different circumstances and state of investigation.
Research methodology is the important part of project which set the parameters of investigation
method and tools to employ in developing accurate project. In this stage, research determines
various numbers of determinants and finalized the methods which formulate correct techniques
in order to reaching with desired results in effective manner (Mohanty, Choppali and Kougianos,
2016). There are various types of methodologies which are used on the basis creating research
needs and requirements.
Qualitative research – This is one of the most essential part of research work as it is the
major role and responsibility of investigator is to analyse various types of research in correct
direction. It is the main exploratory method of investigation. This is used to acquire an
evaluating of underlying reasons, motivations and opinions. Qualitative research is the procedure
of realistic enquiry which helps in conducting deep understanding of social phenomena in the
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natural settings. It provides insights in the issues and also assist in formulate the main ideas or
hypotheses for desired quantitative research. There are various types of qualitative methods such
as in-depth interviews, focus group and observations. It is that method of research which defines
an exploratory approach of research (Mohanty, Choppali and Kougianos, 2016). This is utilised
to reaching with desired opinion and thoughts and also provides major reason for formulating
hypothesis thing. In addition to this, this will provide main issues and problems which arise in
business operations and its functions by performing accurate quantitative research.
Quantitative research – It is considered as another important type of research which is
applied to identify desired results or outcomes in the form of exploratory research. In the context
of this investigation, data has been collected and gathered on the basis of quantitative form. It is
the systematic empirical investigation of observable phenomenon which includes mathematical,
statistical and computational method. – It is play an essential research approaches which depicts
interpretation, understanding and evaluating of specific facts and figures in better manner. This is
one of the best appropriate data and information which can carry out in more reliable and actual
results in comparing to other practices. This analysis is more qualitative that can be used in
developing questionnaire, interview and focus group method for conducting depth knowledge
and information. It includes exploratory research is the framework which analyze and identify
the neither subject nor hypothesis. In addition to this, secondary and primary data rendering in
term of numerical data on the basis of used to collect and gather data in better manner. By
implanting probabilistic method and technique of sampling with the help of mathematical
technique and descriptive concept so they can gain accurate data and information. In this
research work, qualitative define the investigation which is applied by researcher while drawing
and framing required outcome (Weaver and et. al., 2017). It is effective method and technique tat
provide accurate data and information in the regard to descriptive approach.
Primary method – It is determined as an important tool that can be used in collecting and
gathering data for first time. The main duty and obligation of researcher is to develop accurate
participation of data in correct manner as primary research is effective in collecting new and
fresh through various sources. It is mainly effective in conducting survey and examination in
order to collect and gather data through various sources. It will play an essential role in playing
in collecting and gathering through developing questionnaire as it is effective in collecting actual
and viable information and data properly. It consist with new and fresh facts that has been
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adopted by using different data and information in gathering appropriately. This sort of
information assists in doing investigation in supplying raw material to interpret the researchers.
Moreover, such type of services and facilities are deriving towards appropriate results or
outcomes by conducting new analysis and figures which are associated to investigation topic.
Secondary method – It is another appropriate part of investigation work as it is efficient
in collecting data by using secondary sources such as journals, books, online sites and previous
research projects (Phillips, 2016). This method is effective in gathering and collecting the section
of literature review as it will help in analysing the opinions of different scholars and authors. It
will assist to number of profitability and productivity results of the conducted study in effective
way. – It is another major aspect which is essential for undertaken with effective investigation
project is known as secondary data. It includes understanding of existing scholars and authors in
getting accurate and correct view point for getting results of specific subject. This will consist
with project skills and attributes regarding in order to different number of authentic facts and
figures in effective manner. It will help in getting accurate results and outcomes in number of
profitable results of conducting study which is more effective and efficient in proper manner.
Sampling – This is considered in selecting the sample that replicates from the original
population and public. It can be recognised in the form of probabilistic and non probabilistic data
sampling method that is depend on appropriate research work. The existing research is depend
on purposive non probabilistic sampling method as it is totally interconnected with investigation
work in achieving desired results and outcomes in given time period. Through this, specific
research sample size is 40 respondents which are used for achieving desired results or outcomes.
PART 2
Times scale
A set period of time that covers certain events and in which there are some things that are
expected to occur. A time frame can range from seconds to period of time. The time will be
taken for participation which is different from each study and it will describes each activity that
is conducted while developing research project. In this report, firstly they are develop each
activity which they require to conduct while preparing research report. This will assist an
investigator in order to smoothly run of business actions which help them in maintaining and
managing all functions effectively.
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TASK 2
P3 Conduct primary and secondary research by using appropriate methods and techniques
Primary and secondary method of data collection is very simple and easy which includes
various factors that can determined in better way (Li and et. al., 2016). Therefore, Nomtek
limited analyze and examine the correct evaluation and understanding such techniques and
methods so they can accurate and effective results or outcomes can be practiced. In addition to
this, there are various things that can be estimated in appropriate framework which are described
as under:
Cost – In this section, the particular cost and value of specific project is not high and
questionnaire can be conducted around 40 respondents at the time of operating and regulating
secondary method of collecting data in order to enhance the budget for specific project. For
understanding and evaluating the learner perception, it will estimate for understanding and
evaluating different books, journals in better manner.
Ethical consideration – this is the survey and examination which includes and defines
certain ethical issues which have been developed in proper way (Li and et. al., 2016). Along with
this, the study of ethical issues can totally associated with effective and inefficient concepts and
approaches that can share personal facts and figures which conducting research, it is required for
investigator is do research in the form legal and not breaks any rules and regulations. It will help
in determining the research project for maintaining ethical issues and problems that arise in an
organization.
Questionnaire
Q1) Do you think social media is useful for Oak cash and carry ? Frequency
Yes 30
No 10
Q2) Does the implementation of social media is advantageous for the growth and
development of Oak cash and carry Ltd?
Frequency
Agree 36
Disagree 4
Q3) What is the significance of social media in increasing overall performance of
an organisation?
Frequency
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Reach with customers 22
Impressive communication with Employees 8
Easy access to different Industry 10
Q4) Which division of Oak Cash and carry is provide more benefit in gaining
income ?
Frequency
Marketing 15
Human Resource 10
Operations 15
Q5) Does social media help in enhancing growth and development level of an
organisation ?
Frequency
Worker 10
High authority 20
Company Managers 10
Q6) What are the main benefits of social media ? Frequency
Boost sales 15
Increasing website traffic 25
Q7) What is the impact of social media on increasing growth and profitability ? Frequency
Enhancing profitability 18
Neutral 10
Reduction in net profit 12
Q8) Is social media is helpful in developing connectivity with customers ? Frequency
Yes 36
No 4
Q9) What are the issues while implementing social media in an organisation ? Frequency
Maintaining brand reputation 30
Poor networking 10
Q10) Do you have any recommendations regarding analysing of importance of
social media in building connectivity with customers.
P4 Apply appropriate analytical tools, analyse research finding and data
Theme 1: Social media is useful for Oak cash and carry
Q1) Do you think social media is useful for Frequency
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