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Small and medium-sized enterprises, SMEs play a crucial role in any national economy. They are a major source of employment and foster socio-economic expansion (Taprial & Kanwar 2012). To foster the achievement of their objectives, a majority of these SMEs leverage on IT-based tools to increase information content and creativity (Belo, Castela & Fernandes 2013; Laudon & Traver 2010). With this regard, many SMEs have incorporated social media strategy in their operations so as to realise the benefits that IT offers in their businesses. Joosten (2012) generally describes social media as technological systems that enhance collaboration and connection by creating personal and corporate profiles, sharing of opinions, activities and information and content creation. Among the many social media networks, Schwartz (2010) documents Twitter and Facebook as the most popular. SMEs have established their presence in a majority of these platforms.
Anoto Group AB is an example of an SME that has embraced the use of social media in its operations. This Swedish high-tech company provides solutions for transmitting handwritten text from hard copies to digital media, intelligent camera surveillance and scanning printed text (Anoto Group AB 2013). To reach out to its customers and all other stakeholders, the company has presence on Twitter, Flickr and YouTube social media sites. With only 103 employees spread across Sweden, UK, US and Japan, the company is an example of modern SMEs that have adopted new IT features as change drivers to enable them gain sustainable competitive advantage over their rivals. Indeed, just like Anoto AB, many other SMEs have embraced the strategy of using social media to achieve their objectives. Meske and Stieglitz (2013) observe that 24% of small enterprises structurally use social media with another 20% using it informally. For medium-sized organisations, the
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However, the common perception about SMEs suggests that such firms involve less than 500 employees. It has been identified that SMEs in EU countries generally operate with less than 250 employees. SMEs are the prime indicators for the job creation and income generation opportunities for the economies of the world.
The conclusion states that greater percentage of companies today uses social media in undertaking various forms of corporate social relationships. The few group of enterprises who do not presently use any form of social media plan to do so in the nearest future. Among the small and medium scale enterprises that use social media, a lot of positive and diverse advantages have been recorded.
But times have changed with the globalisation regime multinational enterprises have made a distinctive mark on the local markets as well. While on the one hand this affected the economic factors of the region or country, on the other the SMEs started realising the need for pressing changes in the management of different aspects of the enterprise.
However, globalization also raises the risk of marginalization of countries, in particular the poorest countries, and the most vulnerable groups everywhere"2
"Several CEI countries, which are moving towards a free market economy, fear, that the globalization process of the world economy and markets might affect an economic texture that is still unprepared from a technical, financial, organizational and social point of view.
The effect of globalization has consequently resulted in industrialization in developing countries. Many SMEs have then been set up through industrialization and therefore it has created employment opportunities.
Developing countries are among other factors,
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