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FACEBOOK AS AN EFFECTIVE MODERN PLATFORM FOR CONDUCTING

A BUSINESS

FRAMEL B. MAGO

DEBBIE CANJA

JHON DAVE MADRID

JULIE ANN GALDONEZ

LARA JEAN DANAO

XAINA JOY AGAS

PRACTICAL RESEARCH 2

(QUANTITATIVE RESEARCH)

ACCOUNTANCY, BUSINESS AND MANAGEMENT (ABM)

March 2021
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Chapter 1

INTRODUCTION

In today’s technology driven world, social networking sites have

become an avenue where retailers can extend their marketing campaigns to
a wider range of consumers. According to Chi (2011, 46), defines social
media marketing as a “connection between brands and consumers, offering
a personal channel and currency for user centered networking and social
interaction.” The tools and approaches for communicating with customers
have changed greatly with the emergence of social media; therefore,
businesses must learn how to use social media in a way that is consistent
with their business plan (Mangold and Faulds 2009). This statement is
definitely true for companies exerting to gain competitive advantage.
However, this study will analyze the effectiveness of facebook as a modern
platform for conducting a business. It focuses on a retailer's development
and use of facebook as a modern platform as an extension of their marketing
strategy. This paper begins with an explanation of terminology that defines
facebook marketing platform, followed by the discussion of the different
advantages and disadvantages of facebook marketing platform, the fastest
business cycle in facebook, and how it will change the needs of the target
customers using facebook marketing platform. Social media has been
largely realised as an effective mechanism that contributes to the firms’
marketing aims and strategy; especially in the aspects related to customers’
involvement, customer relationship management and communication (Filo
et al., 2015; Saxena and Khanna, 2013). For instance, from the perspective
of the national governing bodies, social media could strategically enhance a
two-way communication between firms and customers, and accordingly,
attaching customers more with the organisations’ brands. This would be in
addition to the ability of social media to present the content posted visually,
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verbally, or textually or using a mix of textual, visual, and verbal content

(Okazaki and Taylor, 2013). Over different contexts, firms have been looking
forward to utilising the social media in many aspects of their interaction with
customers such as facilitating the information search, interactivity,
promotion and enhancing the customers buying behaviours (Zeng and
Gerritsen, 2014). Therefore, a variety of interactive practices and
mechanisms have been developed by organisations to enhance their brand
identity as well as their marketing performance (Leeflang et al.,2014; Filo et
al., 2015; Schulz and Peltier, 2013). In fact, a considerable amount of time
and resources have been projected over this area in order to attract more
customers either in the terms of involvement or in the term of online
customer relationship (Filo et al., 2015). Bennett (2013) reported that most
business firms (about 93%) worldwide have adopted and engaged such
innovative platforms and tools in their process to communicate and serve
their customers. Moreover, facebook can be implemented in any businesses
without any additional resources if they are already connected. As a social
network site, Facebook has been one of the most important social trends of
the last decade. Organizations are interested in exchanging and spreading
information, trading products or services, staying close to current and
potential customers, acquiring a better understanding of their customers and
other benefits generated by Facebook. According to Rooma R. Ramsaran
Fowdar&SoorajFowdar (2013), the increase of communication flow of
information among customers together with the increased availability of
assorted communication channels is creating a new level of complexity in
the design and implementation of new marketing strategies.

Facebook does not replace the traditional marketing tools but can
be used as a complement to existing traditional promotional tools, allowing
users to manage existing relationships while creating new ones (Ryan &
Jones, 2009).The interacting users of Facebook media may also be the
consumers that have the ability to purchase an item or avail an online
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service. A research conducted by Schlosser et al. (2006) and Shoa (2009) in

social media consumers categorized these online users as either contributors
or observers and followers. However, this phenomenon has changed through
time as many social media users have become more active contributors and
more active followers of online business portals and advertisements (Ngai et
al., 2015) Facebook consumers tend to include themselves in groups with
similar interests, this uniqueness allows marketers to effortlessly target
specific groups (Kahle, Valetter-Florence, & Ebrary, 2012). Facebook
communities where users are members are the most relevant for marketers
(Casteleyn, Mottart, & Rutten, 2009). Through these communities, marketers
are able to identify consumer tastes and likes, which is essential in helping to
create market segmentation and targeting and positioning strategies (Acar &
Polonsky, 2007; Treadaway & Smith, 2010). Marketers can gain valuable
information on community members’ profiles and from the news feed
statements that users post on their walls and pages (Casteleyn, Mottart, &
Rutten, 2009). This information can then be used for direct marketing
purposes.

According to Edelman (2007), customers are currently switching to

usage of social networks and are spending much more time with online
marketing than with any other marketing channel. Facebook allows
companies to connect with many more people and much more often than the
companies would be able to approach through phone calls, emails, or
meetings (Luke, 2009). One of the main benefits of social networking for
organizations is therefore lower marketing costs in terms of monetary and
personnel. With the economic downturn, many companies are trying to find
ways to cut spending, and social networking sites are the way for them to
market their businesses and reduce their costs. Costs of communication
have fallen drastically with Facebook and other social networking sites,
creating opportunities for organizations to communicate directly, quickly and
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consistently with millions of individual customers (Mize, 2009; Palmer &

Koenig-Lewis, 2009). Social media is huge in the Philippines—a reality that’s
too hard to ignore if you’re looking for ways to grow your business faster
with a strong social media presence, your brand gets exposed to a wider
audience. You can build relationships with existing and potential customers.
It helps you stay a step ahead of the competition. Social media also levels
the playing field for small businesses with low marketing budgets, allowing
them to compete with bigger companies for consumers’ attention.
(Michael__2009). As mentioned above, this paper will look at Facebook in
particular as a modern platform for conducting a business.

Significance of the study

This study will be extension of the previous researches that studies

the facebook as a modern platform for conducting a business.The
significance of this study is that it will be applied in Bangar, La Union society.
It will be helpful to the marketers and business practitioners in the said place
in understanding the perception of the customer about using the facebook
in marketing. It will also serve as a future reference for researchers on the
subject of the effectiveness of the facebook as a platform for conducting a
business. And importantly, this research will educate marketers in deciding
on whether investing in facebook will help their business in reaching its
marketing goals or no.

Framework of the study

In gathering data, the following procedures were utilized: First, the

researchers prepared questions then they validated the questionnaires to
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their research adviser. Second, the researchers wrote a letter to the

interviewees and waited to get the informed consent. Third, the researchers
ready the materials (notes, videos, recorders) and the venue. After that, the
researchers established rapport; ask questions; probe; get the inner
thoughts of the participants. Lastly, the researchers thanked the respondents
for their full cooperation. When the researchers gathered all the data they
need, they reviewed the data and wrote the transcript. The data collection
procedure used by the researchers is shown in figure 1.

Figure 1. Data Collection Procedure

Prepare the questions Have them validated Write a letter to the

interviewees; get the
informed consent

Thank the respondents;

review the data; Establish rapport; ask Ready the materials
ready the transcript questions; probe; get the (notes, videos, recorders)
inner thoughts And the venue
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Definition of terms

•Facebook. This can be a powerful way to communicate with customers and

potential customers, allowing them to see your product or service without
having to visit your premises

•Social media. A interactive digitally-mediated technologies that facilitate

the creation or sharing/exchange of information, ideas, career interests, and
other forms of expression via virtual communities and networks.

•Platform. Any hardware or software used to host an application or service.

•Online/Internet Marketing. Is the process of promoting a business or brand

and its products or services over the internet using tools that help drive
traffic, leads, and sales. .

Statement of the Problem

General Question

The question that facilitated the exploration of the study was 'How can
Facebook be use as a Modern platform for conducting a Business?'

Specific Questions

Specially, the researchers seek answers to the following questions :

1) What are the possible advantages and disadvantages of facebook as a

modern platform for conducting a business?

2) How are the needs of target market changing using facebook as a

modern platform for conducting business?
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3) What is the fastest business cycle in facebook for conducting business?

Hypothesis

Ha: There is a significant relationship between the special features on

Facebook and effective conducting of business.

Independent variable: Special features in Facebook.

Dependent variable: Effective conducting of business

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Chapter 2

METHODOLOGY

Research Design

The research design used in this study is the descriptive design. A

descriptive design aims to accurately and systematically describe a
population, situation or phenomenon. It can answer what, where, when and
how questions (McCombes, 2019). This design is fitting for this study since
the main purpose of the study is to determine "how can facebook be use as a
modern platform for conducting business".

The approach is quantitative. According to Bhandari(2020),

quantitative research is the process of collecting a analyzing numerical data.
It is used in this study because it will describe the use of facebook as a
platform for conducting a business and its advantages.

Research Environment

The municipality of Bangar, La Union provides a practical and high

quality research since most of the researchers live in Bangar. Bangar is a 3rd
class municipality in the province of La Union. Many Bangarenos engaged in
online selling and they even increased when the pandemic strike.

Respondents

The participants are the entrepreneurs who sells online using

facebook marketing platform in Bangar, La Union consist the population of
this study. There are 15 participants, 18-45 years old, and located in
Bangar, La Union. This participants are chosen because they live in Bangar,
La Union and they had 1 year up experienced in business. This is in support
of purposive sampling. Purposive sample is non-probability sampling in which
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researchers rely in their own judgement when choosing members of the

population to participate in their study. It is known as judgemental, selective
or subjective sampling (Crossman, 2016). With a purposive non-random
sample, number of people interviewed is less than the criteria used to select
them.

Data gathering tools

The instrument used was test questionnaires. Questionnaires provide

a relatively cheap, quick and efficient way of obtaining large amounts of
information from a large sample of people. ... Often a questionnaire uses
both open and closed questions to collect data. This is beneficial as it means
to quantitative data can be obtained.

Data Gathering Procedure

To gather the appropriate data information from the business owners

or online sellers , the researcher asked permission to the owner of the
certain business by giving a letter asking an approval for conducting a
research. Researchers ask for the respondents profile that enables a
respondent to answer the relevant questions. Hence, the researchers
proceed to the interview proper wherein the researchers used recording
tools and take down notes to the answers of the respondents or the gathered
data according to its credibility to the study. Researchers used the series of
questionnaires as a common type of gathering information from the
respondents that has been validated by the teacher of Practical Research
subject and Master Teachers of DFLOMNHS, researchers directly observed to
the 1-on-1 online interviews.

To obtain the specific data regarding the research findings, the

researchers made use of the interview method. The researcher s prepared
interview questions which is the general question and the specific questions
in order to meet the qualifications and requirements in administering the
interviews.
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Statistical Treatment of Data

The various data gathered will be subjected to statistical treatment

to answer the questions proposed in the study.For problem 1, 2, and 3,
researchers will use percentage and mean score to determine the
advantages and disadvantages of facebook marketing platform, to
determine the fastest business cycle in facebook, to determine how facebook
changes the needs of the target customers, and to determine the
effectiveness of facebook as a modern platform for conducting business.
Researchers will use these tools because this specify the percentage of datas
to be gathered and mean score will be converted into five scales to show the
effectiveness of Facebook as a Modern Platform in conducting a
business.Thus, it gives the researchers a deeper meaning of the values
which are the main basis of formulating the findings, conclusion and
recommendations.