The new tools of business

Posted by admin on Mar 10, 2010 in Academy | 0 comments

Communications technology has always affected the way business is done. Accountants will be proud to know that writing was first created to record transactions. Each subsequent form of communication has paved the way for how we communicate and do business. Today, the newest revolution is the overwhelming proliferation of social media technology.

This communications revolution is taking the world by storm. Between April 2008 and April 2009, U.S. Facebook users alone logged 13.9 billion minutes – a 700 per cent increase from the previous year. In a survey targeting 10,000 Canadians, 70 per cent were found to use social media technology. Functions range from social forums and chat rooms to video sharing and blogging. Businesses have caught on to this phenomenon and are using it in new ways.

Social media allows organizations to analyze public opinion regarding their company. Of the Canadian businesses surveyed, over 61 per cent reported that they used social media to keep track of public perception. Consumers rarely give direct feedback to companies regarding their opinions, yet many are willing to post about a successful or frustrating shopping experience on a blog, Facebook, or their Twitter account. For a business, this feedback is gold.

Related to this first advantage is the idea that social media allows organizations to dispense news and details at will. For instance, the Student Business Association (SBA) will be running an election from March 22 to 26. Anyone who is a member of the SBA Facebook group will be able to stay updated on candidates and other information. This fast-paced communication keeps everyone informed, which is valuable for any company.

Social media also provides businesses the ability to connect people in a smoother, more efficient manner. Unlike a phone book or email list, social media profiles on sites like

LinkedIn.com allow viewers to scrutinize attributes such as a candidate’s work experience, education, interests and overall identity. Along with collecting a network of contacts, social media allows industry professionals to converse with each other and with those following them.

Never in history has the business world enjoyed such tools. The ability to communicate with a mass audience at any given point in time, while monitoring and receiving feedback, has proved to be integral to success. Social media has changed the face of business, both empowering and providing increased opportunity in the digital age.