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The business organizations usually aim at promoting their business by using the social networks. According to the increased use of the internet, the numbers of people accessing different social networking sites are also enhancing. The promotion of a business organization by using the social networks can help to improve the annual sales rate, which is beneficial for the company and also for the employees working in the company. Apart from that, the use of social networking can also help to identify the customer’s thought of using the company's product by attempting the annual survey. It is beneficial to the organization to make effective strategies based on the report of the different survey. In the present study a detailed evaluation of using the social network in Amazon organization. The impacts of using social networking to promote the business would be discussed in the present study.

Project Objectives


The main aim of the study is to evaluate the impact of social networking in the business of Amazon organization.


       To find out the advantages and disadvantages of using the social networking in the business

       To evaluate the changes in the growth and development of the organization by using the social networking sites.

       To find out the future scope of the organization by using the social networking.

Project Scope

The use of social networking becomes very popular as the internet access is becoming very easy and affordable nowadays. Thus by using the social network, a business organization can reach to thousands of people at a time. The present research is valuable to understand the influences of different social networking sites in promoting a business. This study would be helpful to critically analyse the different positive and negative effect of using social networks for the business. This analysis can help to form effective strategies if there are some drawbacks in the existing plans taken by the organization for their development. This project would also help to detect the scope for the Amazon for their future betterment by replacing the drawbacks of company’s strategies.

Literature Review

The concept of using the social network in the business

Social networking allows a lot of users to share their information, to learn something and also to buy something and so on. The use of social networking is possible in multiple areas like for personal use, for doing a start-up business or for promoting a business or by expansion. In the business fields the use of social networking helps to introduce the company brand and like this way, it helps to make a reputation of that organization in the competitive market. As mentioned by Trainor et al. (2014, p. 1205), it also helps to enhance the loyal customers of the organization by using the social network. Along with that, the social network can be considered as a medium to identify the product by sharing their views about the product in the social media. As suggested by Luo et al. (2015, p. 496), the use of Social behaviour theory and Mass media theory helps to make a clear understanding about the influence of social networking in business. The highly used social networking media in Australia are Facebook, Twitter, Instagram and so on. In the present study, a discussion of Amazon organization has been done in the context of social networking.  There are a lot of online stores like Amazon who have chosen these social media for the promotion of their product and also for the selling. It has shown a huge growth within a very less time. As commented by Ngai et al. (2015, p. 38), the main key factors of the growth of these online stores by the use of social media are the time effectiveness and labour. The customer can easily order their product and they need not put any effort to carry it into their place.


Apart from that, the number of social media user from different age group is also increasing day by day. According to a recent survey, the number of social media user in Australia is 80% with an age group of 12 years old, 95% of 12-24 years old and 89% of 25-54 years old and 57% users are more than 54 years old. The number of total Facebook user in Australia is almost 94%, Instagram 46%, and Snapchat 40% and so on (sensis.com.au, 2018). These reports can clearly explain the number of customers an online store can make by the use of social media with proper service.

Advantages of Social networking in Business

The social networking is having a positive impact on business by improving the conversion rates. The social network allows the customers, shareholders, and other business associates to share their views and ideas by using different media. As suggested by Maier et al. (2015, p. 472), the connection becomes so easy through video calling and group chatting and so on. Thus the expansion of the business has become very easy with the help of this social network. The sharing of different videos, photos allows the followers to give their feedback on certain topics along with that they can also get updated about the current trend of different issues by following the social media. 

Disadvantages of Social Media in business

The building and maintenance cost of different social media profile for a different business organization takes a lot of time and also the cost is quite high. Along with that if the social networking handler is not efficient enough to handle the account, and then it would become difficult for the organization to use the feedbacks. The modification strategies depend on the review of the customers or service users for the betterment of the organization. As stated by Paniagua and Sapena (2014, p. 722), the efficiency of the handlers to detect the main key points so that the organizers can take the quick preventive advantages for the growth of the organization. The enhanced use of social networking is also responsible to enhance the competitiveness of the different organizations to hold their superior position in the market. Along with the business ventures, the companies are facing the challenges from the individual users who are doing their own start up by using social networking. Maier et al. (2015, p. 276), the gaining of a loyal customer is easy but retaining is difficult. Once the customer is dissatisfied with the product or service there is a chance that that customer could influence others to resist the use of the company’s product.

In 2014 the Amazon group of Australia had faced this challenge where the customers are not satisfied with the product quality and because of their influence, a lot of other customers also stopped using the Amazon products. This reduces the selling of the company by 7.6% within 8 months (thenewdaily.com.au, 2018). This leads to the diminished growth of the sales of the organization. Thus there was a negative reputation of the company in the competitive market. Once the reputation of an organization has declined in the market it is difficult to bring back the position. Thus it can be considered as a big threat to the organization.

Research Question/Hypothesis

Primary question

The primary data are also known as raw data can be defined as that information which is collected by the researcher. This data needs to be processed by the researcher in order to use this in the research. The primary question can be made by doing a proper analysis on the review of the literature. In this case, the primary question or hypothesis for the study can be the impact of using social networking in the business. The use of social network influencing the media positively or not can be considered as a hypothesis to be done.

Research Design and Methodology

Qualitative and quantitative research

There are several kinds of research design or research method which can be used based on the research type and the demand for the study. There are qualitative study and quantitative study. Based on the types of an experiment the qualitative or quantitative data usually is chosen. The qualitative analysis helps to get a result of ratio scale and the quantitative analysis helps to get a continuous data. Thus in the present study, the qualitative research methods can be selected as the analysis is based on the effect of two variables with each other. According to Hudson et al. (2015, p. 68), it involves the social network as one variable and the effect of it on Amazon is another variables. The qualitative analysis can be done by using the primary data from the users by conducting a survey among them. The survey results would help to determine the position of the organization in the competitive market.  The qualitative analysis does not help to provide a numerical result in a research. For that the quantitative research supposed to be done.

Sample size

The sample size can be considered as large sample size and small sample size. Based on the duration of the research period and other influential factors like cost, ethical consideration the number of sample size is basically chosen. There are statistical formulas to select the large and small sample size. As stated by Taylor et al. (2015, p. 543), thus less than 18 subjects are called small sample and more than 18 is a large sample. The more the sample size the less the chance of occurring sampling error and the statistical significance of the large sample is higher than the small sample.

Sampling design  

There are a lot of sampling designs like a descriptive design, experimental design and so on. This study can be done by using the descriptive method with the use of different sampling questions and interview. Thus there can be a use of sampling tool.

Research Limitation

The limitation of this research can be the use of the online store for the analysis. There is a lot of use of internet in different business platforms. Based on the type of business the influence of social networking has also changed. As mentioned by Schivinski and Dabrowski (2016, p. 200), thus the effect of social media on a particular type of business would not be beneficial to understand the holistic effect of social media in business. Apart from that, this study is based on Australia; hence the influence of social media is different from place to place. Thus the findings of the study cannot be used as a standard.



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