Analyzing Social Networks: Advantages & Disadvantages in Business

This report examines the advantages and disadvantages of using social networks in business. It begins by introducing the increasing importance of social media platforms for business communication and marketing. The report outlines the project's objective to understand the benefits and challenges of social networks in the business environment. It covers aspects like demographic, geographical, and temporal considerations. A literature review highlights how businesses use social networks for market research, product development, public relations, and customer engagement. The report identifies research questions focusing on the pros and cons of social networks and formulates hypotheses about their effectiveness as a marketing tool and potential threats to data confidentiality. The chosen methodology involves quantitative research, an inductive approach, and data collection from primary (questionnaires) and secondary (internet sources) sources. The research design follows a five-step process, and data analysis involves arranging and interpreting collected data. The report also addresses research limitations, ethical considerations, and provides a time schedule for the research plan. The conclusion emphasizes the increasing use of social networks in business and the importance of considering both positive and negative factors before implementation.

RUNNING HEAD: Business Research
Business Research
Advantages And Disadvantages Of Social Networks In Business

Business Research 1
Table of Contents
Research title:.............................................................................................................................2
Introduction................................................................................................................................2
Project Objective........................................................................................................................3
Project Scope..............................................................................................................................4
Expected outcome of the research..............................................................................................5
Literature Review.......................................................................................................................6
Research Questions/Hypothesis.................................................................................................8
Research Design and Methodology...........................................................................................9
Research limitations.................................................................................................................11
Time schedule (Research Plan)................................................................................................12
Conclusion................................................................................................................................15
References................................................................................................................................16
Appendix..................................................................................................................................18

Business Research 2
Research title: Advantages and Disadvantages of Social Networks in Business
Introduction
The use of social media platforms for interacting with each other and establishing social
relationships with different individuals has increased. Businesses are using social networks
for establishing and promoting a healthy relationship with the different customers, potential
customers, employees and other stakeholders. Business has used social media platforms as a
means for sharing information related to the business with the customers or potential
customers. Social networks are widely being used by the businesses as an effective marketing
tool. Business has developed large customer base with the help of social networks
(Hollensen, 2011).
Social networks have enhanced the platform which serves as a medium for communication
between the customers and business. Business must analyze the impact of social networks on
the business for driving at a decision regarding the use of social networks in business
(Levinson & Gibson, 2010). This research program has been executed with a motive to gain
knowledge of the concept of social networks in business, its advantages, and disadvantages to
business.

Business Research 3
Project Objective
Social networks are gaining much importance due to a variety of reasons. There are various
benefits associated with the use of social networks in business along with challenges faced by
the business due to social networks. The objective of this research is to discuss the
importance of social networks for business in this fast-changing business environment. This
report will help in gaining knowledge of the advantages and disadvantages of using social
networking platforms in business.

Business Research 4
Project Scope
This research program has been initiated with a motive to enhance the knowledge regarding
the use of social networks as a marketing tool which helps in enhancing relationship shared
by customer and business. This research will cover the demographic aspects, geographical
and temporal aspects related to the topic of the research program. All these aspects of the
research program will be discussed under the scope of this program.

Business Research 5
Expected outcome of the research
At the end of the research program, knowledge regarding the different aspects of the topic of
the business research will be developed. From the execution of this research program, the
researcher will be able to gain knowledge of the concept of social networks and its use in
business for various benefits. There are various cons associated with the use of social
networks in business and knowledge regarding these aspects will be gained from the
execution of this research program. Knowledge will be developed regarding the trend of use
of social networks in business. A base will be developed regarding the different aspects of
social networks and their importance for business.

Business Research 6
Literature Review
The most common platform which is being used by the business for interacting with
customers is social media platforms. Social networks have facilitated sharing of the views,
experience, and information among the society for enhancing customer base (Nadaraja &
Yazdanifard, 2013). Social networks are being used by the businesses so as to reach a large
number of customers. It is a cost-effective marketing strategy which helps in the attainment
of the objectives of the business (Tretenhahn, 2011). These platforms have provided an
opportunity to the business for covering large market share. Social media platforms are being
used by the business for various reasons. These reasons include market research, generation
of idea and development of new products, public relations, communicating with employees,
analyzing web traffic, developing customer loyalty, communication of information among the
customers, brand awareness, promotion of the products and reputation in the market (Evans,
2011).
According to Talpau (2014), business is using social networking platforms due to various
advantages it has provided to the business. These advantages of using social network in
business are spreading awareness among the customers and potential customers, targeting the
market in a better manner, analysis of the traffic on the website of the business, generation of
lead, getting market details by monitoring the competition, interacting with the customers,
making customers aware of the products or services offered by the business, getting
feedbacks of the customers, reducing the cost of the business and enhancing the relationship
shared with the customers (Van Der Bank, 2015).
According to Tiwari (2012), there are few factors related to social networks which are
affecting the business and its performance adversely. These factors are a negative impact on
the image of the business as customers are free to express their views, a threat to the

Business Research 7
confidentiality of the data of the business, increase in the efforts of the business, lack of
emotional connection, lack face-to-face communication and bad publicity (Schroeder, 2014).

Business Research 8
Research Questions/Hypothesis
Primary Question
 What are the various pros and cons attached with the use of social networks in
business?
Secondary Questions
 What is the trend in the business environment for the use of social networks in
business?
 Why are social networks crucial for the business for enhancing their performance?
 Which factors are resulting in an increase in the use of social networks in business?
Hypothesis
 Social networks are used by businesses as an effective and efficient marketing tool.
 Social networks increase the threat to the confidentiality of the data of the business.

Business Research 9
Research Design and Methodology
Research method: for the purpose of initiating the data collection process, quantitative
research will be applied. Quantitative research method has been targeted as it will help the
research program by providing quality data related to the research topic. This method helps in
gathering measurable data for formulating facts on the basis of the gathered data. This
research method is considered more reliable (Quick & Hall, 2015).
Research philosophy: Philosophy selected for this research program is an inductive
approach where the focus is moving from the specific to general aspects. The focus of the
inductive approach to generating new theories which emerge from the data. The inductive
approach follows steps for executing the research in a successful manner. This approach has
been chosen as it is a logical approach, better participation and develops scientific attitude
(Winit-Watjana, 2016).
Data collection: primary and secondary sources have been chosen from the various
alternatives. Analysis has been made of the available alternatives for ensuring that most
appropriate source has been chosen for gathering data related to the research. Primary data
will be collected by using questionnaire and internet sources will be collected for presenting
secondary data. The questionnaire will provide a raw form of data which will be based on the
views or thoughts of the respondents. Internet sources such as articles, journals, and
government notifications will be used for presenting secondary data (Johnston, 2014).
Quantitative Research Design Process: a five-step quantitative research design process will
be followed for executing this research program. These five steps of the quantitative research
design process are locating and defining the issue or problem of the research, designing the
process of the research, collection of data, and interpretation of the research data and
reporting the research findings (Smith, 2015).

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Research Instrument: instrument selected for this research is a questionnaire which will be
prepared and presented to the employees of an organization engaged in the marketing
department. The questionnaire will be designed on the basis of the research topic so as to
gather data by maintaining the quality of the research.
Quantitative Data Analysis Process: data analysis will be done by arranging the gathered
data in a sequence for analyzing the data in a proper manner. Few steps will be followed for
analysis of the data and these steps are choosing a method for data analysis, selection of a
method for collecting samples, developing lab samples, developing solutions of a sample and
evaluating the result and estimating the reliability of the research data (Nirmala, 2013).
Sampling and Sample Size: questionnaire will be presented to the employees of the
organization who are performing marketing activities for the organization. This will help in
gathering quality data by targeting the market from where primary data will be gathered.
Interviewing and Questionary Design: Questionnaire will be prepared and distributed to
the respondents. The questionnaire will be based on the different aspects of the research topic
so as to ensure that relevant data is gathered and presented in the research program.
Reliability and Validity of Data: for ensuring reliability and validity of the data, the focus will
be on collecting data from genuine sources. Secondary data will be gathered from the internet
sources issued after 2010. This has been done for maintaining reliability and validity of the
research program.
Ethical considerations: ethics is an essential aspect which guides the individual towards
making a selection between the right and wrong. Focus while executing the research is on
conducting the research as per the ethics adopted and which are not creating harm to the
interest of any individual. While executing this research, principles which will be followed
are honesty, integrity, fairness, and confidentiality.

Business Research 11
Research limitations
During the execution process of the research, different factors have been identified which can
act as limitations for this research. These limitations are associated with time, finance,
permission and different alternatives. Various alternatives are available which can be used for
conducting the research but analysis has been made for overcoming this limitation. Other
limitations are related to the availability of less time and resources for conducting the
research. Techniques have been chosen for overcoming these limitations. Data collection has
been done after proper analysis of the methods used for gathering data. All these limitations
have been dealt in the proper manner for enhancing the quality of the research program.