Social Media

One of the biggest trends that has taken rise in the past decade is the concept of Social Media. It has taken the shape of many different products, such as magazines, Internet sites, blogs, videos, etc. This phenomenon is seen by many as being a helpful tool in the innovation process of particular products or services. It allows many users to collaborate with the company while funneling down the innovation process. Social media allows employees to act organically and encourages a free flow of ideas between departments. External parties are also included in this process by providing input and feedback to a company in order to better or alter their goods. Many companies are slowly catching on to the idea of social media, but the return of information to them has certainly been an inexpensive way to research and develop a product. Along with this, there are many benefits that are bundled with the concept of social media. Companies just have to learn how to read, collect, and implement the data they receive from social media users. With all this information and the innovation process, a company can develop, introduce, improve, and promote a product all with the help of social media.

Social media can be defined as “a group of Internet-based applications built on the ideological and technological foundations of Web2.0, which allows the creation and exchange of user-generated content.” (Empirical Analysis of Internal Social Media and Product Innovation) Broken down simply, it is a social instrument that transmits communication between users. However, it doesn’t just transmit the information; it allows interaction between those that input ideas. This technology allows users to send information on the telecommunication network, and allow other users to respond freely and publicly to the post. It assumes a certain level of trust and reciprocity between users. Without this “social capital” the information generated and collected is almost deemed obsolete and useless. This paper focuses on the Web 2.0 aspects of social media, which include websites such as Facebook, Twitter, YouTube, MySpace, Superfly, Tumblr, etc.

With the definition of social media comes the definition of innovation. As defined on the very first page of Strategic Management of Technological Innovation, innovation is “the act introducing a new device, method, or material for application to commercial or practical objectives.” What happens during the innovation process is what determines whether the new product or service will make it all the way through the innovation funnel. An innovation can be the development of a new product or process. It can be a breakthrough cutting edge product or just an incremental improvement to the current good. Companies always look for competence-enhancing innovation that will build on their existing knowledge base. A good way of doing so is through social media, which allows companies to receive a diverse range of knowledge from