Introduction
The eighteenth and nineteenth centuries were the era of newspapers. The twentieth century was the era of television. Apparently, the twenty-first century is the era of the Internet (Weber, 2009).
Several decades ago people thought that the Internet is one of those useless inventions which would be soon forgotten. However, the Internet has penetrated people’s life at various levels (Brown, 2009).
Interestingly, recently people have thought that social networks are for teenagers who like sharing photos and some other type of information. Nowadays people have understood the power of the Internet.
At present the Internet as well as social networks are used by educators, healthcare specialists, politicians and marketers (Bowles, 2010).
For instance, now educators are trying to incorporate social web during their lectures to involve into discussion as many students as possible. People can also search for the necessary information about medication or healthcare services online.
Social web was used during the presidential election in 2008 (Brown, 2009). It goes without saying that marketers have already acknowledged a variety of advantages of the Internet and social networking.
The present paper focuses on the role social web plays in the contemporary business world. It touches upon advantages, disadvantages, benefits, and possible threats of using social Web in business.
Defining the Phenomenon
In the first place, it is important to define the phenomenon. Admittedly, to understand the role of social web it is essential to clearly understand what social web is.
There are quite many definitions which deal with different aspects of the phenomenon. However, to observe the role of social web in the business world it is possible to use the viewpoint of Brian Solis who sees the social Web as one of the means of communication. The researcher provides a comprehensive definition for social media:
which represents a powerful, and additional, channel to first listen to customers, stakeholders, media, bloggers, peers, and other influencers, and in turn, build two-way paths of conversation to them. (as cited in Brown, 2009, p. 18)
It is necessary to add that many researchers dwell upon the use of social web in marketing. At that, the majority of researchers see social web as source of knowledge (Pereira et al., 2011).
However, it is necessary to note that social web is not only about sharing information. Thus, Weber (2009) claims that television alienated people from each other as they did not socialize, but watched certain programs.
As far as social web is concerned, it helps people to regain communication. Social web encourages people to communicate with friends, colleagues and even relatives.
When it comes to business, social web is not a mere channel to transmit information. Marketers have understood that customers “are demanding to be more engaged with the companies that affect their lives” (as cited in Weber, 2009, p. 19). In fact, social web can help marketers in many ways.
Major Opportunities
Thus, Weber (2009) suggests several major ways to use social web in the business world.
The researcher states that it is possible to use social web to build a targeted brand, to address lead generation, to develop partnership, to research and develop the products and the company, and to establish appropriate employee communication (see Fig.1).
In fact, these are five most important spheres that any company should pay attention to.
Figure 1
Targeted Brand Building
Admittedly, building a favorable brand is one of the most important goals to achieve. It is vital for the company to establish the most appropriate brand as well as image of the company.
Weber (2009) suggests that companies can launch specific blogs which can deal with some narrow field to create the necessary image of the company.
Nonetheless, it is important to balance providing information, suggesting solutions and persuading people to buy from the company. Han and Windsor (2011) argue that it is crucial to sustain people’s trust. Such trust makes people more willing to pay.
Lead Generation
It goes without saying that social Web helps marketers to reach target consumers more easily. Companies can stimulate perspective customers by various online projects like contests, trials, quizzes, etc. (Weber, 2009).
Therefore, companies will be able to reach their targeted markets. Thus, social web can help companies to raise awareness about their products and services.
Partnerships
Apart from this, social web can help companies to collaborate (Weber, 2009). For instance, manufacturers, vendors, suppliers and investors can access the necessary, and more importantly, updated information.
Admittedly, abundance of information about companies contributes greatly to the development of markets. Companies can establish relations with each other in a really short period of time.
Research and Development
Of course, one of the major benefits of the use of social web is almost unlimited access to various types of information. Companies can research markets, consumer’s preferences and profiles, etc.
It is possible to illustrate the abundance of information by data obtained during a short survey. Gao et al. (2011) reveal the data obtained during a survey in the Carnegie Mellon University. The researchers analyzed information shared by the students of the university at Facebook (see Fig. 2).
Figure 2.
It is possible to assume that the data can be generalized as the majority of young people as well as the rest of social networks users tend to share personal information.
However, it is also necessary to note that some people drop out when they find out that the information can be used by third parties, as it happened with Facebook (Douglis, 2010).
Nonetheless, security concerns acquire a lot of attention, though people still tend to share their personal information, at least at present.
Therefore, companies are still able to access a variety of information. More so, there are lots of ways to implement research based on data found online.
Employee communication
Finally, companies can improve communication between employees. Admittedly, appropriate communication within the company is one of the factors that contribute greatly to the development of the company.
Social web provides wide opportunities for companies in this respect. Thus, social networks have already been used in many companies. Of course, there are still concerns as for security.
However, many researchers come up with particular ideas on how to develop safe social networks for companies. Thus, Anderson and Mohan (2011) provide insights into the use of specific networks by companies.
Security Concerns
However, it is also important to take into account major concerns existing in the sphere. Admittedly, one of the major issues, which has been discussed throughout at least two decades, is security. As has been mentioned above many people lose trust as they find out that some social networks “share” information with third parties.
Of course, when it comes to companies many more problems occur. It is not only about revealing such information as addresses, telephones or employee’s surnames.
There are chances that some very important confidential information can be revealed (Gao et al., 2011). Therefore, companies need to be really careful when exploiting social web (Pereira et al., 2011).
It is important to develop specific networks to secure information. Besides, companies cannot use some personal information of other people. This will negatively affect the company’s image.
If people lose trust, this can negatively influence the company’s performance as well. Apart from this, it can be also important to come up with certain regulations to control sharing information at work place.
The Way Social Web Changed the Business World
It is important to note that social Web has already changed the business world. More so, it has opened up new horizons for businesses. Now companies can share information with their partners and customers 24 hours a day.
Companies can acquire vast amounts of information to research consumers’ needs and recent trends existing in the business world to come up with new ideas to suit the changing demand. This availability of data can help companies reduce costs, especially when it comes to new product development.
More importantly, social Web made companies more transparent. This transparency will positively affect companies’ development.
It is much easier to evoke positive emotions and build a positive image of the company, if people can easily find the necessary information about the company or provide their feedback on products and services.
Admittedly, customers develop loyalty if the company operates in accordance with norms of ethics. In other words, people can become a kind of a controlling body which can make companies conduct accordingly.
In fact, now people can influence companies’ images while discussing various products, services, or companies at numerous blogs, forums, such social networks as Twitter and Facebook. This will contribute to the development of the necessary business environment.
Conclusion
On balance, it is possible to state that companies have acknowledged the great power of social web. Now many companies have resorted to social web.
It is possible to single out five major fields to use social web in business. Thus, companies can develop appropriate brand, effectively address lead generation, establish effective partnership, research and carry out surveys and establish proper communication within a company. It is important to note that many companies have already addressed these spheres.
However, it is also necessary to note that companies have to address an important issue concerning information security. It is essential to make sure that social web used can be safe in this respect.
More so, it is necessary to remain transparent so that customers can better see that company’s conduct is ethical. Companies should understand that now people can shape various processes with the help of social web.
Therefore, marketers should be ready to react in accordance with the latest trends which exist in the contemporary business world. Thus, it is possible to claim that social web has made the business world more flexible and more consumer-oriented. It also enables companies to adjust to rapidly changing business environment.
Reference List
Anderson, S., & Mohan, K. (2011). Social networking in knowledge management. IT Professional Magazine, 13(4), 24-28.
Bowles, M.D. (2010). Introduction to computer literacy. Upper Saddle River, NJ: Prentice Hall.
Brown, R. (2009). Public relations and the social web: How to use social media and Web 2.0 in communications. Philadelphia, PA: Kogan Page Publishers.
Douglis, F. (2010). Closing the open (Face) book. IEEE Internet Computing, 14(5), 4-6.
Gao, H., Hu, J., Huang, T., Wang, J., & Chen, Y. (2011). Security issues in online social networks. IEEE Internet Computing, 15(4), 56-63.
Han, B., & Windsor, J. (2011). User’s willingness to pay on social network sites. The Journal of Computer Information Systems, 51(4), 31-40.
Pereira, N., Vera, D., & Miller, H. (2011). Business process management and the social web. IT Professional Magazine, 13(6), 58-59.
Weber, L. (2009). Marketing to the social web: How digital customer communities build your business. Hoboken, NJ: John Wiley and Sons.