Professional Documents
Culture Documents
A Thesis Proposal
Presented to the
Asian College of Technology
Cebu City , Philippines
In Partial Fulfillment
Of the Requirements for Practical Research I
by
ABM - ETHIOPIA
INTRODUCTION
RATIONALE
Due to the pandemic, people started spending more time at home and utilizing
the internet more, which led to an unanticipated boost in social media participation. The
average amount of time spent on mobile internet has increased by an hour per day
during the crisis. Due to the physical restrictions, social media users are naturally
inclined to seek interpersonal connections. As a result of the pandemic and social
distancing rules, there are now more people buying and shopping online. According to
reports, 46 to 51 percent of American adults started using social media more since the
outbreak began. The current crisis has forced many to shop online from the safety and
convenience of their own homes, and avoid waiting in lines, and crowded areas.
(Fornillos, 2021)
In the new normal period, business operations will rely heavily on the use of
technology. This is done to get around health protocol rules that restrict direct
communication between sellers and buyers with social and personal distancing rules,
making the use of technology media in the form of digital transactions and the
implementation of marketing and promotion through e marketing media the most
effective media to keep sales transactions that can be carried out. Communication
between producers and customers will be more effective when both parties are skilled in
the use of technology for media marketing (Yang & Kankanhalli, 2014). Technology use
has the potential to boost entrepreneurial self-efficacy, which is directly tied to the issue
of having the necessary self-motivation to successfully run a firm (Gumbi et al., 2020).
Social media has developed into a marketing channel that adds value. This
study aims to look into the effects of social media marketing on the sales performance
of small businesses operating online due to the importance of social media and the lack
of knowledge in this area. We offer a research model that examines the effects of social
media marketing message strategies (i.e., message content and format) on customer
engagement, brand awareness, and sales performance of online small businesses. This
model draws on the theories of media richness and uses and gratifications. It is
anticipated that brand recognition and customer engagement would act as a mediator in
the relationship between message strategies and online sales performance for small
businesses. This study is expected to contribute to research and practice on social
media marketing and online small businesses.
The way that information is delivered, structured, and made available to others
has changed because of social media. Small business owners that want to survive in
the current cutthroat economic environment are embracing social media marketing to
promote their companies. The purpose of this paper is to discuss the function and value
of social media for small businesses. The goals are to: (1) assess which social media
would be more useful for small businesses' marketing and promotion; (2) examine the
advantages and disadvantages of using social media in small business marketing
strategies versus using traditional promotion tools; (3) assess how using social media
helps businesses stand out from their rivals; and (4) assess the significance of small
businesses incorporating social media into their marketing efforts.
Theoretical Framework
This study anchored mainly on the Diffusion of innovation theory by E.M. Rogers
(1962).
The supporting theory is the Social Capital Theory (Bourdieu, 1985). There are four
main theories that address the diffusion of innovations, according to Rogers (1995)
which support the theories, Innovation Decision Process Theory (Rogers, 2003), The
Individual Innovativeness Theory (Rogers, 2003), the Rate of Adaptation Theory
(Rogers, 2003), and the Theory of Perceived Attributes (Rogers, 2003).
The diffusion of innovations theory describes how new scientific, technical, and
other developments diffuse throughout civilizations and cultures before becoming widely
used. According to Everett Roger (1961), diffusion is the process by which an
innovation is disseminated throughout time among the individuals within a social system
through certain routes. According to Rogers (2003), an innovation is an idea, behavior,
or object that a person or other unit of adoption perceives as novel. The diffusion of
innovations theory aims to clarify how and why new concepts and behaviors are
adopted, as well as why the adoption of new concepts might occur gradually over time.
According to Rogers (1962), an innovation is an idea, practice, or project that is
perceived as new by an individual or other unit of adoption, p.12. The adoption of
technology in higher education and educational settings is best studied using Rogers'
diffusion of innovations theory (Medlin, 2001; Parisot, 1995). Since technical advances
are a common topic in diffusion study, Rogers (2003) frequently used the terms
"technology" and "innovation" interchangeably. The definition of a technology according
to Rogers is "a design for instrumental action that reduces the uncertainty in the
cause-effect relationships involved in achieving a desired outcome."
According to Halton (2023), Marketers frequently employ the principle of the
spread of innovations to encourage the adoption of their goods. Another application of
the diffusion of innovations hypothesis is influencer marketing. Brands frequently get in
touch with social media influencers to introduce them to fresh goods or services.
Influencers who use and promote the new product as early adopters make it more
acceptable to the general public and encourage more people to utilize it. The diffusion
of innovations hypothesis can be used to inform marketing plans for new products and
is a useful tool for comprehending how ideas, products, and services spread among
people. How quickly diffusion— or spreading—occurs depends in large part on how
innovations are conveyed to various societal segments and the subjective perceptions
attached to them. When businesses are creating a marketing strategy for new products
and growing market share, they usually turn to this principle.
The theory of innovation dissemination examines how people make decisions
and adopt new, inventive ideas in society. The diffusion process involves channels of
communication such as interpersonal and mainstream media. The concept of human
capital is crucial to the theory. In order to achieve development and sustainability,
innovations should be widely adopted, claims the notion. The rate at which consumers
will accept a new good or service is explained by the diffusion of innovation theory. As a
result, the theory aids in the understanding of trends by marketers and aids businesses
in determining if a new product will succeed or fail. Businesses may forecast which
categories of consumers would buy their product or service by using the diffusion of
innovation theory, and they can develop powerful marketing plans to spread acceptance
within each category. An innovation is any idea, practice, or object that is viewed as new
by an individual or another unit of adoption such as a firm. Innovators can be
individuals, firms, clusters, social networks, and even countries.
As for the Supporting theory, Social Capital Theory (Bourdieu, 1985). Bourdieu
first described social capital theory (SCT) as "the aggregate of the actual or potential
resources which are linked to possession of a durable network of more or less
institutionalized relationships of mutual acquaintance or recognition" in his book Social
Capital (1985). The social capital hypothesis places a strong emphasis on the value of
social networks, relationships, and trust within a community or society. Social capital
theory can be used to explain how and why innovations spread through social networks
when applied to the diffusion of innovation.
A beneficial outcome of interpersonal connection is referred to as social capital.
The favorable result could be measurable or intangible and could consist of favors,
helpful knowledge, original concepts, and upcoming opportunities. Social capital is not
something that an individual owns; rather, it is the potential between connections in
social networks connecting people.It can be used to describe how interpersonal
connections and networks both inside and outside of an organization contribute to the
success of that company. It can also be used to define the interpersonal connections
among personnel within a business that contribute to the development of trust and
respect, which improves business performance (Kenton, 2022). The social capital
theory acknowledges that people are a part of social networks, and that these networks
can help innovations and information proliferate. Strong social relationships increase a
person's propensity to share information and accept novel concepts or technologies.
Social networks are used as conduits for the dissemination of innovations to spread
information about them. Through their social connections, innovators or early adopters
within a network might persuade others to adopt the idea.
The social capital theory emphasizes the value of credibility and trust in social
networks. People are more willing to exchange knowledge and suggestions on
innovations when they trust one another. This confidence can lessen doubt and
skepticism, which will make it simpler for others to adopt the invention. Social capital
theory recognizes that social norms and social influence play a crucial role in influencing
human behavior. Innovations that receive endorsements from reliable sources within a
network are more likely to spread quickly. Social norms within a community or network
might affect whether adopting a certain innovation is viewed as desirable or acceptable
in the context of innovation diffusion. Innovations that are in line with accepted social
norms are more likely to be embraced since they are in line with the expectations and
values of the community.In line with social capital theory, bridging and bonding social
capital are different. While bridging social capital refers to linkages across many groups
or communities, bonding social capital describes strong bonds inside one particular
group or community. When there are many strong bridging relationships as well as
bonding ties, innovations can spread more quickly. While bridging relationships enable
the interchange of ideas and inventions between various communities, resulting in
broader dissemination, close-knit communities with strong bonding ties can quickly
accept advances within.The social network function in facilitating the flow of information
is also emphasized by the social capital hypothesis. Social networks serve as channels
for the communication of information in the context of the diffusion of innovation.
Through well-connected networks where information may quickly reach a large
audience, innovations are more likely to spread.
A concept called social capital theory, relationships and trust are important in social
networks. Trust is especially important during a pandemic since uncertainty and fear are
at an all-time high. Businesses are better equipped to maintain trust and continue
engaging with their audience if they have built up a large social media following before a
crisis. They can leverage their current connections to help their clients out, provide
useful knowledge, and show that they care about their welfare. The social capital theory
points out the value of social networks and communities. Social media gives companies
a platform to interact with their target market and build online communities. These
online networks can provide support, a means of information sharing, and a means of
helping one another during a pandemic. Social media marketing initiatives should
concentrate on establishing and maintaining these online communities since they can
serve as effective brand advocates and aid in navigating the difficulties the pandemic
presents. Businesses may experience unforeseen difficulties and inconveniences during
a pandemic. Resilience in the form of social capital can help businesses adjust and
recover more quickly. Strong social networks can offer insightful criticism, advice, and
assistance when managing crises. Businesses can utilize their social media presence to
engage with their audience, exhibit transparency in their responses, and display an
openness to new ideas and adaptation.
According to Rogers (1995), explains that there are four major theories that deal
with the diffusion of innovations. These are the innovation-decision process theory, the
individual innovativeness theory, the rate of adoption theory, and the theory of perceived
attributes.
Theory of the innovation-decision process is the mental process through which
an individual passes from first knowledge about an innovation to forming an attitude
toward the innovation, to a final decision to adoption or rejection, to implementation and
use of the new idea, and to confirmation of this decision. There's five unique stages of
time that are the foundation of the innovation-decision process idea. Nutley et al. (2022)
Knowledge is the initial stage. Future adopters must first educate themselves
concerning the innovation. Second, you need to convince them of the benefits of the
innovation. The decision to embrace the invention comes third. Fourth, after adoption.
They must put the innovation into practice. Fifth, they need to make sure that their
choice to adopt was the right course of action. Upon completion of these steps, diffusion
occurs. (Rogers, 1995). The five stages of innovation adoption are: (1)Knowledge: An
individual becomes aware of an innovation's existence and its functions, often from
colleagues, peers, or advertisements. This stage can cause difficulties in the change
management process, as key stakeholders may feel uninformed or consulted. (2)
Persuasion: The individual assesses the potential value of adopting a new innovation
and explores its capabilities. Testimonials can support these statements and change
perceptions positively. (3)Decision: The decision stage determines whether an
innovation will be adopted or rejected. This stage may require a referendum or senior
leader's input, but facilitating collaboration helps others feel included. (4)
Implementation: The implementation stage involves putting the innovation into practice,
often involving a team with a project manager or dedicated change management board.
The team should consider ways to reduce the cost of change, both financially and in
terms of energy and mental effort. (5) Confirmation: The final stage is the confirmation
stage, where the individual seeks supportive confirmation on their decision. In a formal
project management methodology, the confirmation stage evaluates whether the initial
criteria for the project have been met. Success in the confirmation stage occurs when
people no longer create workarounds and resort to old processes.
CHAPTER 2
This article stated perceived utility, usability, and affordability all had an impact on
adoption of internet/e-business technologies. These elements are essential in
determining if they choose to incorporate technology into their corporate strategy. The
terms perceived usefulness and simplicity of use describe how businesses perceive the
technology to enhance their operations, while cost is a key factor with limited resources.
Figure 1:
The conceptual framework of this study has the input that by identifying small business owners as our respondents, we
establish a strong foundation for our study. Their experiences and insights form the fundamental input, shaping the research
questions and directing our inquiry into the realm of social media impact during the pandemic.It has also process that researchers
ensure ethical consent and use a dichotomous scale and comprehensive survey questionnaire for data collection, ensuring reliability
and validity, enhancing study robustness and lastly it has output anticipate comprehensive and insightful outcomes. We will gain a
profound understanding of the impacts of social media marketing on small businesses in Barangay Lahug during the critical period
of 2020-2021.
Statement of the Problem
This study investigated the Impact of Social Media Marketing on Small Businesses
in Barangay Lahug During the Pandemic Year 2020–2021. Specifically , this study
1. What are the impacts of social media use in small businesses during the pandemic?
2. How has social media provided valuable assistance to small businesses affected by
the pandemic?
H0 : This null hypothesis assumes that the social media marketing activities
conducted during 2020-2021 won't be able to predict or influence the financial outcomes
of small businesses in the following year. Researchers could test this null hypothesis
against an alternative hypothesis that suggests a predictive relationship between social
media marketing and future financial performance.
Significance of the Study
This study, entitled "The Impact of Social Media Marketing on Small Businesses
in Barangay Lahug During the Pandemic Year 2020–2021, is being created to benefit
the following:
Business Owners: The study will help them identify the impact of social media
marketing on small businesses during the pandemic years 2020–2021. As a result, the
business owners will be able to assess their strategy to improve their sales.
Customers: Customers will find out more about the COVID-19 epidemic issue
that local small business owners are dealing with.
Future Researchers: The future researchers can utilize this research study as a
basis for their future topics related to this study and may use and gather as much
needed information from the research as a reference.
This study seeks to explore the impact of social media marketing on small
businesses in Barangay Lahug during the pandemic year 2020-2021 started August 7-
December 15, 2023. By employing a quantitative research approach, the study aims to
determine the extent to which social media marketing has helped small businesses in
the barangay during the pandemic, the challenges faced by small businesses in utilizing
social media marketing, and the strategies used by small businesses to overcome these
challenges.
Further, this study will not go beyond what it seeks to explore or cover other
problems and issues that are not related to the subject, as the objective of this study is
only limited to small businesses in Barangay Lahug that utilizes social media marketing
and does not consider other factors that may have affected their performance during the
pandemic, such as government policies and economic conditions.
Definitions of Terms
Social Media Marketing - refers to the use of social media platforms and
channels to promote products, services, brands, or organizations. It involves creating
and sharing content specifically tailored for social media platforms to reach and engage
with target audiences.