A Dissertation Submitted in Partial/Fulfillment of the Requirements for award of the Degree of Master of Business Administration in Corporate Management (MBA-CM) of Mzumbe University
This study aimed at assessing the use of social networks in SMEs in Tanzania. The main objective of the study was to assess the use of social networks among SMEs in Tanzania- As survey of selected SMEs in Dar es salaam Specifically the study focused on three specific objectives which were to identify the benefits of using social network on the SMEs in Tanzania, to identify the challenges of using social network on the SMEs in Tanzania and to determine the adoption process of social network on the SMEs in Tanzania.
The study used questionnaire method in collecting primary data, with the sample size of 79 SMEs located in Dar es Salaam. The study findings show that the use of social networks by SMEs associated with benefits such as increase in market effectiveness, customer satisfaction and Improve communication with business partners. Also the findings show that Concern on security Confidentiality and authentication of data, there is high frequency of network breakdown, Concerns government regulations on social media, Incompliance with business culture, Lack of platforms to communicate with business partners were identified challenges of the use of social networks by SMEs. Further the finding revealed that frequent of social networks, number of social networks used by SMEs, organization and technological factors were among the adoption factors for the use of social networks by SMEs.
Challenges facing social network usage should be overcome. To overcome such challenges SMEs should comply with the rules and government regulations especially those related with social media and online transactions, used of online security software’s and systems such as antivirus to protect against loss of data, backup system should be introduced, consultation with IT specialists in case of any problem and usage of social network should be include into SMEs culture.
Further the study recommended that identified and proposed factors for the adoption of social network usage by SMEs should be utilized effectively with the aid of theories