Development of Social Networks across the Globe-Free-Samples

Question: Discuss about the Advantages and Disadvantages of using Social Networks in Business. Answer: Introduction Over the last few years there has been a vast development of social networks all across the globe. Websites like Facebook, Twitter, Linkedin, Pinterest, and WhatsApp are the important social media services companies that do social media optimization and have gained immense popularity in the last decade (Zhou, Zhang and Zimmermann, 2013: 61-68). It is noted that about 1.5 billion of the total 7 billion people in the world have Facebook, thereby making the website a destination for marketing of goods and services. Further, the technological expansion has provided business organizations with several growth opportunities as well. According to Salpeter and Morgan (2013: 261), as compared to any other metric, social networks are recognized as a revolution in a business. However, the innovation also tends to have a few limitations that adversely impact its success. Advertising and marketing are perfect complements and different sides of the same coin. This particular project takes into consideration the various advantages and disadvantages of using social networks in a business firm. Further, various reviewed journals are utilized to understand and learn about the aspect in a detailed manner. In addition to a detailed insight on the topic, various examples and real facts have also been included in the report as well. Project Objective The objectives of the project are as follows: To study about the advantages of using social networks in business. To study about the disadvantages of using social networks in business. Project Scope In order to learn about the various pros and cons of using social networks in a business, various journals have been studied. Additionally, several real life situations have also been analyzed to learn about the topic as well. It is noted that there exists various gaps in the existing literature. Authors of journals have not only missed out on major points, but also have been biased in stating the advantages or disadvantages of social networks. On the other hand, very few examples have been used to refer to the growth of the concept in the modern world. This particular project attempts to fill up the gaps and effectively reach to a conclusion on the use of social networks. Literature Review Advantages of Using Social Networks in Business As per Zhou, Zhang and Zimmermann (2013: 61-68), with the prominence of digital marketing, various organizations are exploring how social networking would help in developing capabilities and business as a whole. It is noted that websites like Twitter, LinkedIn and Facebook have completely changed promotion and advertisement techniques. Further, it is often that companies tend to direct customers to their social networking sites rather than asking them to learn to open their own websites. There are favourable circumstances to build up a stronghold market through online networking. Unlike the article of social commerce research, Hulsink, Elfring and Stam (2016: 412-618), states that there also exist various drawbacks that impact marketing and distribution of goods. The most influencing advantage of web-based social networking sites is lessening operational costs and expanding global reach. The cost of a social media stage is ordinarily lower than other advertising mediums (Tokarcikova, 2015: 37-41). Also, social networks enable firms to reach clients who may not accessible due to their geographical location or due to the limitation of the existing supply channel. It is noted that online platforms not only expand the reach of companies, but also lower operation expenses by three areas of advantage. According to Jerman and Zavrs?nik (2015: 28-45), firstly, organizations can provide their target customers with unlimited information without a proper human interaction. As compared to any other type of communication, use of social media is recognized as the most efficient one due to its high capability. Moreover, the transferred data is not only interactive, but can be easily interpreted by the customers as well. For instance, aircraft booking and reservation frameworks are exceptionally hard to make and keep up to serve singular needs. Furthermore, in this setting, the decisions are extensive and hard to give in any other way except using social media marketing. Secondly, social network interaction enables businesses to provide customer with customised and unique goods. For example, web-based checking and seat allocation are easily possible on the Internet. Also, clients can easily let their brands known about their choices to secure their most desired goods (Gil-Pechua?n et al., 2014: 182). It is noted that the tool tends to build up competitive advantage factors for any firm as well. Lastly, social networks permit exchanges amongst consumers and firms that would regularly require human connection. The case of Amazon.com and Dell is such an example. As compared to any other article published in this field, Aldini and Bogliolo (2014: 121-130) comments that social networks are not incomparable to any other business tool, but also is one of the most efficient instrument existing across the modernized globe and henceforth tends to be biased towards five benefits rather than discussing its disadvantages. The various advantages identified in the journal are as follows: Large Audiences: Social networks are the place where the world connects with each other. It is noted that a major part of the population are present of various sites. For example, in addition to Facebooks 1.5 billion users, Twitter hasgot 313 millionmonthly active users, Pinterest has about110 million and Instagram has500 million. Business promotions on these mediums are not comparable to any other source. Free to Create: One of the largest pros of social media marketing is that it is fully free to begin. All of the biggest mediums dont have any sort of signup fees; hence the only input a firm will need to invest is time (Roblek et al., 2013: 554-568). However, there do exist various paid advertising options on many social media networks. These could be a superior instrument to increase followers and getting introduced to many users. Promotes Sharing: One of the important advantages of social media is the capacity to get assistance from other people. Contrary to other kinds of internet marketing, like a company website and paid advertisements, information on social media is frequently shared. According to Benson, Tuninga and Saridakis (2017: 91-104), followers of an enterprise can share with other company followers, who then share with another group, enhancing a superior networking at a lower cost than traditional marketing campaigns. Increases Brand Loyalty: Social media permits users to improve and grow brand loyalty. It is noted that53% of Americanswho like brands on social media are expected to maintain loyalty to those brands. It facilitates mutual communication that permits users to build solid relationships with current and potential customers. This makes them more confident in their decision to trust the businesses and choose the respective brands in the future (Gil-Pechua?n et al., 2014: 182). Unravels Important Insights: Businesses can use social media to get important data of customers so that the former can make profitable decisions. For instance, social listening permits users to know about the brands and the companies. As per Aldini and Bogliolo (2014: 121-130), in addition to the taste and preferences of the people, companies learn about the ongoing trends as well. On the other hand, discussion on the social networks also enables managers to study factors that affect buying decisions of a person or a group as a whole. Apart from the five major advantages that are identified in the above cited sources, there exist a few more ways in which the innovation benefits a firm highlighted in the work of Cross (2014: 207), which are as follows: Reduced marketing costs Increased sales Improved ranking on search engines Greater customer engagement Greater access to international markets Opportunity for customer feedback Opportunity to conduct market research about your customers Improved networking opportunities with customers and other businesses. Disadvantages of Using Social Networks in Business As stated by Salpeter and Morgan (2013: 261), the innovation along with offering various opportunities to business firms also brings forward various difficulties and challenges. Reviewing the material, it can be seen that the author is highlights disadvantages of social networks as compared to its advantages. It is only with proper planning, application, controlling and coordination of online communication metrics that a firm will benefit from the technology. As per Hunter (2015: 183-191), the major disadvantages of using social networks in business are the following: Time Intensive: It is only with commitment that a firm gains success over a social network and within the audience. Further, building long-term relationship with the people requires an ample amount of time and effort. The management of a firm needs to spend a stretched period in order to check, monitor, evaluate events and thereby take part in interacting with the people. Also, answering each and every question of clients on the social networking websites is a difficult task (Peris-Ortiz and Ferreira, 2017: 298-312). Copyright Issues: It is absolutely critical for organizations to secure their own trademarks when utilizing online networks to market their goods and services. It is noted that the copyright and other intellectual properties of a firm are recognized to be priceless. A loss or stealing of exclusive rights will ultimately result to the failure of the company. It is the informal communication and promotional activities that lead to disseminating enterprise trademarks. As opined by Li (2013: 183), in addition to monitoring their own media platforms, the management often tends to analyze other social media sites to check and ensure protection of their intellectual belongings. A copyright issue is said to largely destabilize operation and customer groups, hence leading to a loss of revenue. Security Issues: The use of social networks also gives rise to trust and privacy issues as well. Additionally, loss of information on these information channels tends to build up confusion between firms and the people. It is important that the management take care of these issues in order to secure a place among the people. Trust is recognized as one the major factors that greatly impact perception of the audience towards any organization (Sukenick and Williams, 2016: 76-98). In case of fear of losing private credentials, customers resist online buying. On the other hand, privacy issues on social networks have resulted in distancing companies from their targeted customers. It is noted that Twitter and Facebook have their individual privacy policies which a business needs to abide by in order to continue interacting with billions of people. Moreover, in case of collecting private information from the public, firms need to administer and engage in ensuring their security. Negative Feedbacks: Negative preferences and image formed by the people on social networking sites, directly or indirectly affect growth of the firm. It is often that there arises grapevine in the absence of a personal touch. The spread of rumour among the people ultimately portrays a negative fall on the profit statement. Images, tags and reviews developed by the people governing their product choices have increased recently and have significantly influenced e-commerce. As per Petrescu (2014: 161), websites like Facebook act as medium for unhappy customers to share their views in front of other people. A negative feedback acts as a major issue of the using social networks. In order to evade such virtual attacks, the administration tends to reply back and counterbalance the harmful posts which not only involves time management issues, but also acts as a proof to the public. However, there also exist several risks of using social networks in a business that are termed as drawbacks in the article of Tokarcikova (2015: 37-41). Some of these threats that need to be taken care of by organizations are as follows: Not having a clear marketing or social media strategy may result in reduced benefits for a business. Additional resources may be needed to manage your online presence. Social media is immediate and needs daily monitoring. If a firm don't actively manage their social media presence, no real benefits can be seen. Risk of unwanted or inappropriate behaviour on your site, including bullying and harassment. Greater exposure online has the potential to attract risks. Risks can include offensive feedback, information leaks or hacking. Conclusion Based on the above report it can be inferred that social networks offer a variety of opportunities along with several challenges to business firms. It is noted that the people are not only divided but also are proactive in nature. On the contrary, organizations have the likelihood to consolidate different modes and classes of data in an intricate message that would suit the audience. Online networking additionally allows firms to gather, enrol, investigate and utilize social information and feedback for detailed targeting of customers. Furthermore, the particular qualities of the internet and web-based applications are making the usage of social networking sites both inescapable and effective for an online approach for business. The cost-related elements, social collaborations, intelligence, directed market openings, and client administrations are astounding elements for associations to embrace a proactive attitude and to prevail in online network marketing. On the other hand, drawba ck of the mediums, for example, time intensive, privacy issues, trust factor, data security, copyright problems and negative feedbacks from clients act as major barriers confronting virtual growth of business firm. Moreover, it is noted that there exists various gaps in the existing literature. It is the balance between the pros and cons of the aspect that ultimately benefits a company. Organizations like Facebook, Youtube, Twitter, and LinkedIn are now recognized as promotional mediums and a curial tool for business. Additionally, a properly planned and coordinated communication-mix takes into consideration the several individual aspects of social networks, thereby integrating it in a company in the most profitable manner. References Aldini, A., and Bogliolo, A., (2014).User-Centric Networking: Future Perspectives. Cham: Springer International Publishing, pp. 121-130. Benson, V., Tuninga, R., and Saridakis, G. 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