LS 2623. The Protocol.1TITLE:Social media technologies utilisation by the Free State tourism SMMEs: a stakeholders’ perspective..2INTRODUCTIONThis study examines the status and utilisation of social media technologies by SmallMicro and Medium Enterprises (SMMEs) to promote competitiveness. SMMEs play animportant role in the economy of every country. Indeed, SMMEs remain the backboneof the South Africa economy. Apulu (2012:6) affirms that SMMEs are drivers ofeconomic growth as they are increasingly recognized as a major means for achieving aviable industrial diversification in many countries. A study conducted by Abor andQuartey (2010:218) estimates that 90% of formal business entities in SA are SMMEs,and they contribute between 52–57% to gross domestic product (GDP) and contributeabout 61% of employment opportunities in the country.Despite this acknowledged strategic importance of SMMEs, their level ofcompetitiveness remains challenged/undermined by incapacity to reach a widercustomer base due to their inclination to the use of traditional technologies. SMMEsplay a vital role in the South Africa economy. However, they can even do more if theseentities make the best use of various opportunities availed to them such as socialmedia technologies. As Agbobli (2013:3) asserts, the competitive ability of SMMEs isundermined by their inability to deploy their internal resources of small businesses. Itcan be inferred from Agbobli’s reasoning that one internal resource that is being under-utilised by SMMEs for the advancement of their competitive advantage is social mediatechnology (SMT).SMMEs tend to rely heavily on traditional tools such as newspaperand Television to stay competitive (Modimogale, 2008:6). These traditional tools are,however, one way communication in that they do not promote interactive engagementbetween SMMEs and their customers. Meske and Stieglitz (2013:62) concur thatSMMEs are behind larger companies regarding the adoption of social mediatechnologies.The attribution of lack of SMMEs competitiveness to sub-optimal utilisation of socialmedia technologies (SMTs) is ironic given the growing trends in SMTs utilisation bycustomers and its perceived capacity to foster business-customer relations. There is aPage1of23
growing trend of using social media technologies by individuals and organisations.Treem and Leonardi (2012:143) posit that the use of social media technologies isproliferating at an incredible speed. Given this global reach of SMTs, there is scope fortheir inclusion in the business strategy development of SMMEs to broaden their reachof customers and to improve the competitive advantage of these firms. The aboveassertion can be fundamental to SMMEs that are serious about market growth. Byengaging in social media, SMMEs can interact directly with customers. Therefore, oneof the solutions for uplifting the development of SMMEs is the utilisation of emergingsocial technologies. SMMEs in South Africa need to use especially emerging socialtechnologies as the use of these technologies can help SMMEs to interact with theirpotential market. Failure to do so will result in SMMEs lagging behind their largebusiness counterparts and therefore, becoming disconnected from their market in thisever-changing techno-driven business world. Therefore, in order to remain relevant, itis imperative for SMMEs to adopt social media technologies in their business
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