Impact of Social Media to Corporate Organizations in Kenya: A case of Safaricom Limited

Abstract

The purpose of the study was to analyze the impact of social media to corporate organizations in Kenya using the case of Safaricom Limited. The objectives of the study were to: establish the most widely used social media tools by Safaricom Limited, to determine the factors that influence social media usage at Safaricom limited, to find out how social media usage benefits Safaricom Limited and to find out challenges associated with social media usage at Safaricom Limited. The study reviewed relevant literature from previous studies done on social media and what their findings were in regard to how organizations used them. For this study, the Technology, Organization and Environment (TOE) framework was used as the appropriate framework. This model is consistent with the theory of innovation of diffusion in organizations. Descriptive research design was used because the problem was specific and well defined. Questionnaires were used to obtain quantitative data on the subject with the aim of having facts on the situation. Interview of key informants in the area of social media was also carried out so as to get more information from authorities in the field. Analysis of social media pages like facebook was also used to determine the kind of interaction which goes on there between Safaricom and its customers and stakeholders at large. This study found out that Social media is a growing phenomenon and have a big impact on organizations. These technologies have shifted the emphasis of internet services from being consumptionbased towards becoming interactive and collaborative, creating new opportunities for interaction between organizations and publics. Social media such as Facebook, twitter,Youtube and MySpace have a big impact on organizations’ continual communication with customers and the public since it has attracted millions of users, many of whom have integrated these sites into their daily practices. Even though social media has been recognized to be a powerful medium in business practice, there is lack of understanding in terms of how social media impacts the organization. Social media afford customers and publics the ability to see information related to the status of ongoing activities in the organization hence providing a marketing platform for an organization. Further, unlike other technologies used for organizational knowledge management, social media may not require tremendous investment or maintenance by organizational officials. Social media opens up a whole new world for organizations by providing an endless array of potential interactions with consumers, which is the main reason why there is a need for an increase in studies on social media. Social media afford users the ability to make their behaviors, knowledge, preferences, and communication network connections that were once invisible visible to others in the organization.