1.0 The impact of ecommerce on global marketing.

A focus on social media

marketing for a multinational company. Premier Food Company-UK.
2.0 Terms of reference
2.1 Purpose of the study research objectives
This research study seeks to investigate the impact of e-commerce on global
marketing; with a keen focus on use of social media by multinational companies in
the United Kingdom. In pursuit of this purpose, the research study will be guided by
the following objectives:
i.
ii.
iii.

To investigate the impact of social media marketing on the overall marketing

costs in a firm.
To evaluate the marketing information appropriate for use with the social
media platform by multinational firms.
To critically evaluate the competitive advantage resulting from adoption of
social media marketing by the multinational firms.

2.2 Data collection method

The research study will adopt two data collection methods; through the use of
questionnaires and interviews as the primary methods. These will then be
complimented by secondary data collection methods that will involve the use of
existing literature bearing valuable information as regards the research study.
2.3 Thesis statement
The growth and development of e-commerce especially in the use of the social
media and its adoption in the marketing sphere in organizations has resulted in
various benefits to the business firms globally. (Cheng H.2014). Social media
marketing has resulted in many benefits especially to the multinational firms
including reduction of the marketing costs, integration of marketing information and
competitive advantages over rival firms.
3.0 Background of the study
3.1 Global marketing
International operations present various opportunities in the wider global market.
Every firm is presently seeking an opportunity to venture into the global market for
various reasons. Competition is therefore on the rise as companies try to outdo each
other through various strategies on the global market. The development of ecommerce has essentially developed as a result of these global operations.
According to Daikoku, G.2004, there are various aspects of the e-commerce and
marketing, as an essential component of the functional areas of the organization.
Social media marketing is one of the recent developments in e-commerce based

marketing that has made various positive impacts on the multinational firms. Social
media marketing is a branch of marketing that adopts the use of the available social
networks and integrates certain marketing information carefully drafted to meet
specific objectives for the firm. There are various social media utilities existing
online including Facebook, Twitter, Email, WhatsApp, Pinterest,Tumblr, linkedin
among others. Business firms have creatively crafted means to pass various
marketing information through the existing social media platforms. This has resulted
in a wider reach and more strategic approach to reach certain market segments
globally.
3.2 Business context in practice
The present day business environment is characterized by highly competitive firms
in almost all existing industries. As a result, business enterprises are seeking for all
possible ways to remain abreast in the various industries. The marketing function in
the firms has been of core focus with regard to addressing the firms positioning in
the market. Further, the global market offers a wide and vast market that
sometimes poses as a challenge to the marketing function. This has been partially
eased by the adoption of e-commerce as a way of conducting various business
operations online. The e-commerce has been integrated with other existing online
components in use by people globally such as the social media sites. The result has
been the social media marketing utility that has subsequently resulted in increased
efficiency and convenience in the marketing concerns especially for the
international firms. This research study will seek to identify the impact of ecommerce as relating to the marketing function in the organization through
adoption of social media marketing utility. The study seeks to ascertain that social
media marketing is a breakthrough for the business firms especially those engaging
in international operations by providing a reliable solution to the challenges earlier
encountered in the marketing function in the organization.

4.0 Literature review

4.1 Introduction
E-commerce is one of the recent developments in the business context that involves
the virtual operations through application of technological knowhow. (Sahlin D &
Zimmerman J. 2011). E-commerce comprises of various aspects and touches on the
various functional areas of the business as finance, accounting, production,
marketing and many others as may be in an organization. The application of ecommerce has resulted in various competitive powers in firms and creative
application of the same has given the firms a competitive advantage over the rivals.
There are various applications within e-commerce as there are functional units in
organization. Each application is utilized for the appropriate function and this has
come as a result of the expansion of the existing e-commerce systems merged with

other available online features to deliver value to the business enterprise. Social
media marketing is one of the components of e-commerce resulting from the
integration of the marketing function within the organization and the existing social
media services available online. Social media marketing is therefore a new tool in
marketing and involves the selection of an appropriate social medium and then
formulating the appropriate marketing information for each. Social media marketing
has introduced a new efficiency in the marketing function as marketing has
essentially been personalized on basis of the target group unlike other modes
formally used.
4.2 Research objectives
Social media marketing has turned out to be a highly effective marketing tool
for firms. The social media marketing tool thus provides a very cost effective
marketing alternative for firms especially the international firms with vast regions to
cover in their marketing efforts. (Sahlin D & Zimmerman J. 2011). Since the
adoption of social media marketing as a valid tool in the firm`s marketing function,
firms have cut their costs by a great margin and achieved better results in
marketing. This research study will therefore investigate the impact of social media
marketing on the overall marketing costs in a firm.
Social media marketing presents various considerations in use just like the
other forms of marketing utilized by firms. There are various considerations made
based on the target audience, the nature or characteristics of the social medium
used, the regulations applying to each social medium as set by the administrators
among other considerations. The research study will therefore address and evaluate
the marketing information appropriate for use with the social media platform by
multinational firms.
Social media marketing has been a source of competitive advantage for firms
especially the firms that have embraced it as a viable and reliable marketing
method. As Bryman A. 2004 asserts, the firms have been able to cut their marketing
costs and hence their overall costs. This enables a firm to increase their profit
margin over the competitors. Competitive advantage also arises from the ability to
venture into the specific target markets at a more personalized level which creates
a closer relationship with customers. This has essentially increased customer loyalty
for such firms. This study will also evaluate the competitive advantage gained by
firms from adoption of social media marketing.
5.0 Methodology
5.1 Introduction
The research study will utilize both qualitative and quantitative approaches. The
qualitative method is a highly appropriate method as it avails the researcher with
facts and figures that are interpreted to give more insight into the subject matter.

(Leedy D. & Jeanne E. 2005). The qualitative approach will also enable the
researcher obtain certain information that can be interpreted and utilized to draw
meaningful inferences.
5.2 Research philosophy
The research topic for this research study requires both qualitative and quantitative
data and analysis so as to comprehensively cover the area of study adequately. The
researcher will therefore collect both primary and secondary data that will then be
analyzed through both approaches and thus help meet the research study
objectives as stated.

5.3 Research design

The data will be collected through the use of questionnaires which will be
distributed to the sample population as identified by the researcher. (Bryman A.
2004). The researcher will also make use of interviews that will be focused on the
key people within the organization chosen.
Interviews: The interviews will serve as a perfect source of the fine details that the
questionnaires may not achieve during the research. The researcher will also
interview specific people in the organization for specific information past what the
questionnaires will cover.
Questionnaires: The questionnaires will be utilized to collect information from the
greater sample population that may not be easily accessed for an interview. The
questionnaires will feature both closed and open ended questions so as to collect as
much information regarding the research study as possible.
5.4 Secondary data
The research study will utilize all available and relevant materials to collect data
regarding the research topic. The secondary data will be collected from business
journals, newspapers, books and all valid prints that provide valuable information on
the research topic.
5.5 Primary data
The primary data will be collected to supplement the secondary data and hence find
adequate information on the topic of study. The sources of primary data will include
the feedback and responses from the interviews and questionnaires as issued by
the researcher to the sample population.
5.6 Conclusion

The research methodology adopted is adequate to provide a good basis for data
and information finding. The data collected and analyzed through the identified
methods will also be appropriate for the analysis that will offer more insight into the
area of research study.
6.0 Project planning
Time
The following table summarizes the various activities that will be involved during
the research study and the timeframe for each activity.
Activity
Issue of questionnaires
Face to face interviews
Data collection from secondary sources
Data analysis
Data presentation
Research findings compilation

Time in (days)
5
5
10
10
5
5

Cost
The following table indicates the breakdown of the activities, items and their
respective costs as will be incurred during the research study.
Activity / Item
Travel
Stationery
Printing
Email and postage
Telephone bills
Interview transcription
Total cost

Cost in ($)
50
20
20
20
30
20
160

References
Bryman A. 2004. Social Research Methods. 2nd ed.Oxford University Press.New York
Cheng H.2014. New media and international advertising. Prentice Hall. New Jersey.
Daikoku, G.2004. The Impact of social media marketing on multinationals."
International Business Research Report Gartner. London.

Leedy D. & Jeanne E. 2005. Practical Research: Planning and Design. 8th ed. New
Jersey: Merrill Prentice Hall.
Sahlin D & Zimmerman J. 2011. Plotting your social media marketing strategy. Point
Press. New Delhi.