The Role of Social Media in Micro and Small-Sized Enterprises Performance in Nairobi Central Business District: A Case of the Hair and Beauty Boutiques

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Date

2016-05

Journal Title

Journal ISSN

Volume Title

Publisher

Daystar University, School of Business and Economics

Abstract

Social Media has changed how the business environment operates as it has widened the scope of management through levelling the competition platform such that not just the big corporates with dedicated multi-million-shilling computer information systems, management infrastructure or marketing budgets can make substantial gains from it. All types and sizes of firms can improve their management from the strategic benefits that Social Media offers, yet MSEs in Nairobi still find difficulty in realizing its full potential. Based on this context, this study sought to examine its role, effect on performance as well as challenges encountered in adopting its use in the Hair and Beauty Boutiques in Nairobi CBD. The survey employed descriptive research design, and self-administered questionnaires were given to 55 respondents being employees at the boutiques. Both quantitative and qualitative data collected was analysed using SPSS version 20 and the results presented in tables and figures for ease of interpretation. The study established that Social Media tools improved communications and customer relationship management that in turn had a significant effect on the growth of customer base thus profitability. The study also revealed that Social Media tools allowed the boutiques to communicate speedily with customers, but that they had not tapped into that opportunity to create a customer database to generate business leads. Other challenges noted were lack of infrastructure and training in Social Media culture management. To achieve management gains from Social Media, there is need to; train the employees in Social Media culture management as well as to embrace it for business, have strategic engagement plans on Social Media management to include but not limited to use during working hours, invest in requisite infrastructure and create a customer database. DEDICATION

Description

MASTER OF BUSINESS ADMINISTRATION in Strategic Management

Keywords

Hair and Beauty Boutiques, Nairobi CBD, MSEs, Social Media

Citation

Opiyo, P. M. (2016). The Role of Social Media in Micro and Small-Sized Enterprises Performance in Nairobi Central Business District: A Case of the Hair and Beauty Boutiques. Daystar University, School of Business and Economics