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How Small and Medium Enterprises Are Using Social Networks? Evidence from the Algarve Region

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Book cover Advances in Information Systems and Technologies

Part of the book series: Advances in Intelligent Systems and Computing ((AISC,volume 206))

Abstract

The evolution of internet created new opportunities for small and medium enterprises (SME), among which are social networks. This work aims at analyzing the potential of these networks for the SME in Algarve, creating a questionnaire for the purpose. The empirical study revealed that some firms have already an integrated business strategy with social networks, as well as a group in the firm responsible for it. Most of their managers consider that social networks enhance performance, but few really measure these results. A categorical principal component analysis identified two dimensions of social networks’ use: social networks for product-client interaction and knowledge; and social networks with potential for marketing. A supplementary analysis (hierarchical clustering) identified three patterns of SME’s involvement in social networks: cluster Social Net Level 1, cluster Social Net Level 2 and cluster Social Net Level 3. These groups validated the results described above, indicating a sustainable methodological approach.

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Author information

Authors and Affiliations

  1. SandoGago Inc., Portimão Area, Portugal

    Ana Belo

  2. Research Centre for Spatial and Organizational Dynamics (Cieo), Faculty of Economics, University of Algarve, 8005-139, Faro, Portugal

    Guilherme Castela & Silvia Fernandes

Authors
  1. Ana Belo
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  2. Guilherme Castela
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  3. Silvia Fernandes
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Corresponding author

Correspondence to Ana Belo .

Editor information

Editors and Affiliations

  1. , Faculty of Science and Technology, University Fernando Pessoa, Praça 9 de Abril 349, Porto, 4249-004, Portugal

    Álvaro Rocha

  2. , Instituto Superior de Estatística e, Universidade Nova de Lisboa, Campus de Campolide, Lisboa, 1070-312, Portugal

    Ana Maria Correia

  3. Broomfield Road 9, Sheffield, S10 2SE, United Kingdom

    Tom Wilson

  4. Empirica GmbH, Oxfordstr. 2, Bonn, 53111, Germany

    Karl A. Stroetmann

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Belo, A., Castela, G., Fernandes, S. (2013). How Small and Medium Enterprises Are Using Social Networks? Evidence from the Algarve Region. In: Rocha, Á., Correia, A., Wilson, T., Stroetmann, K. (eds) Advances in Information Systems and Technologies. Advances in Intelligent Systems and Computing, vol 206. Springer, Berlin, Heidelberg. https://doi.org/10.1007/978-3-642-36981-0_14

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  • DOI: https://doi.org/10.1007/978-3-642-36981-0_14

  • Publisher Name: Springer, Berlin, Heidelberg

  • Print ISBN: 978-3-642-36980-3

  • Online ISBN: 978-3-642-36981-0

  • eBook Packages: EngineeringEngineering (R0)

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