Socio-Cultural Factors In Small Business

The main difference between small and large businesses is the role of owners who are often also the manager. In small businesses, the owners have a strong influence in the direction of the business as they contribute most or all of the operating capital. Consequently, their goals, abilities and geographical characteristics (personality, emotions, values, attitudes, ability, perception and individual learning style) directly affect not only the operation of their businesses but also the culture of the organizations. From this perspective, small businesses are often seen as operated and managed in a personalized way (Kuwayama 2001). Activities and operations in small businesses are less governed by formal rules and procedures. This potentially

Various analytical frameworks have been used and most look at how ICT have influenced business operations such as marketing, customer and supplier relations and production efficiencies (Anwar 2015; Chew et al. 2015; Donner and Escobari 2010; Katsina and Abdulkareem 2012; Komunte 2015; Onyango et al. 2014; Qureshi 2005; Ukpere et al. 2014). While most studies have an economic focus, there are a few authors who have also looked at the social impact of the technology (Anwar and Johanson, 2015; Chew et.al,

Social media are often used to follow trends or because companies feel they have to use them as their competitors do (Caesaroni and Consoli, 2015). The authors also found that small businesses that are able to take full advantage of social media can do so particularly due to the entrepreneurs’ ability to conceive new ways of doing business and his willingness to get involved with new initiatives. Mehta and Anand (2012) observed two trends of use, one being the use of social media in addition to traditional market practices, and the second being exclusive dependence on social media networks. Using social media strategically for marketing is perceived to have a significant positive impact on small business entrepreneurs. Hassan et al. (2015) found that social media can be a powerful advertising tool as it can reach a wider audiences very quickly and be able to attract and influence consumers to make purchasing decisions. The study further argued for anthe effective role of that social media can play in the relationship marketing. Consistent communication with customers regarding new products and services and after sales-related issues are supported well by the social media