An Overview of Social Networking

CONTENT
1. Introduction 2. Overview of Social Networking 1) How Social Networking providers make a profit? 2) How the general community and businesses benefit from Social Networking? 3) Privacy issues 3. Conclusion
4. Reference

1. Introduction The means of social interaction had changed phenomenally, from physically meeting loved ones to just casually saying hi on their own beds using computer or mobile phones. Just one look at the common means of communication in a few mere decades, one can realize the phenomenal change in social networks along with the advancement in technology. The internet has been one of the greatest inventions in centuries, enabling people to do endless lists of things. In terms of social networking, there has been a growth in the number of social networking websites catering to the new generation’s needs and wants. For instance, the famous social networking site Facebook has one billion people using it every month (Lee 2012). It is also reported that Twitter, has 750tweets per second while Instagram, another emerging one, has 575 likes per second. The social networking sites are both being loved and used by many people around the world to this extent. Besides computers, mobile phones also have contributed a lot to the mode of social interactions. Though it has been less than a decade since the prevalent use of mobile phones, social networks have been actively integrated into smart phones nowadays. For example, the most popular social networking tool, Facebook, has been accessible with smart phone applications, allowing a wider range of users. In addition, smart phone itself also has developed its own exclusive communication tools such as Whatsapp, Line or Kakaotalk.

2. Overview of Social Networking Social networking before computers, people had to physically go out to meet up and talk to people for social interaction. They also used telephones at home, and they had to sit and really concentrate on their friendship. This cannot be seen commonly nowadays as the use of computers and mobile phones is so prevalent. Social networking sites such as Facebook, Twitters, Myspace allow users to create personal networks for exchanging information with others (Weaver and Morrison 2008). 1) How Social Networking providers make a profit? It is commonly known that most of the existing social networking applications or websites are free for everyone to use. At this point, a question arises: “how do they make a profit then?” Five years ago, the providers of Social networking services make a profit through investments by venture capitalists. The investments are spent on research and development in order to make better social networking tools for the users. Social Networking providers also make earnings when other corporations advertise on the websites. The social networking websites are paid based on the advertisement banner size or the number of clicks on the advertisement banners that directs to the companies. In recent years, the way they make a profit is almost the same, except some changes. Some social networking sites had adopted extra features. An example is Google+ which shows up an advertisement customized to users’ interests. Another example is Youtube which allows video advertisement. The viewers of a video are obliged to watch the commercials before they watch the desired video clip. Besides, Social Networking websites started to adopt gaming functions. This allows gaming industries to actively develop new games for such social networking websites. The game users will also pay for game money which can be used in the virtual world. Furthermore, some social networking websites corporations when the users create accounts for business purposes. In the future, the social networking providers should find another means to earning a profit. An example can be charging membership fee to users. Although it is free for the public to use social networking accounts for free now, social networking providers must charge their users in the future for the sake of higher profit. On the other hand, social networking providers can continuously look for more creative ways to promote their brands, such as adopting new applications or features (Roberto 2007) in order to attract more users, which also would translate into attracting more investors. If social networking providers do not strive now, the only way they can resort to is to sell their brands to other people for profit.

2) How the general community and businesses benefit from Social Networking? Undoubtedly, the social networking sites are used so commonly both by the general community and businesses. The general community usually utilizes social networking applications and websites as means to communicate with others, entertainment, education and other purposes. Regardless of gender or age, people use social networking applications and websites to communicate with people. People are free to express themselves or upload photos and videos in their own profile for the public to view. Viewers engage in viewing the posts, keep updated on the news around them via such social networking tools. In addition to the general role as a tool for casual interactions with friends, social networking websites also can be used for finding a job, or even a partner. Since the exponential growth in the social networking industry, many different types of social networking tools have arisen. For instance, LinkedIn has a feature that allows its users to create online resumes, search jobs and share useful data with other professionals. Recently, it was reported that more than 2.7 million corporations have LinkedIn Company Pages, actively engaging in social networking in LinkedIn (LinkedIn Corporation 2013). This shows that social networking is not only about people casually sharing information, pictures and videos, but also about engaging in self-enriching and self-development activities. Besides these roles, social networking is used actively by national organizations to educate the public. For instance, in the U.K, a national organization called Keep Britain Tidy used social media to encourage community action. Using Twitter and Facebook, Keep Britain Tidy had successfully organized local litter pickups and encouraged people’s habits national-wide (Niven 2011) Due to the nature of social networking sites, of being expressing individual self by telling others who they are, what they like and so on, the users volunteer a lot of personal information (Roberto 2007). This means that social networking sites can be a useful tool for businesses that helps to analyze social trends and the general taste of people. This helps the businesses in marketing and even in developing products suited to customers’ needs and wants. I believe Social Networking help existing businesses to function more effectively and efficiently as it acts as a platform for corporations to communicate actively with their both existing and potential consumers. Diamond (2012) stated that “watching your brand mentions and correcting misinformation, providing helpful advice when and where appropriate, and broadening relationships with the people who are talking about your company”. Likewise, companies nowadays can have two-way communication with customers by being aware of customers’ responses to their products, and taking actions based on their feedbacks. Hence, companies can function more effectively and efficiently, and will be able to survive in the corresponding industries in the long run. The method of earning a profit remains almost the same at the present as that of in the past, but a few things has changed as many more number of social networking service providers increased exponentially. Some social networking websites charge its users some fees to upgrade to premium accounts, allowing them to have an access to some other extra features (Strickland 2011) 3) Privacy issues
Since the born of social networking sites, the users have been complaining about privacy issues. A famous example is Facebook. When you make a Facebook account, your profile will be automatically available for public view. This violates the general legislation which states that a social networking site must control that users’ accounts are customized to private view only at first. If there is a leak of personal data, there can be possible abuse by hackers, and there could be a substantial damage in economics, insurance or banking sectors. Privacy is protected both in the individual level and government level. Every individual has all the rights to have his or her information protected. In the individual level, one can be careful not to upload any pictures or videos that could possibly cause harassment, or post status or comment on something that can incur undesirable outcomes. In the internet, we can easily search educational websites that raise awareness of the importance of protecting individual privacy. OECD guidelines (2012) states that OECD member countries have a common goal in privacy protection and individual freedom, yet still have to maintain free flow of information at the same time. Although every country has different national laws and policies, all adopt laws and regulations that protect individual privacy to a certain extent.

3. Conclusion
Despite all the advantages that social networking brings about, it nevertheless provides disadvantages. Addiction has also been an issue in recent years, and a study found that Social Networking services are more addictive than cigarettes and alcohol which are generally known as products with addictive features (Epstein 2012). Obviously, too much of social networking is seen as a woe in our society. Most importantly, in my opinion, those who have contributed to Social Networking development did not understood what exactly they were doing before they began. Adapt as they go along.
I am sure that they were aware of all the advantages of social networking in the society, yet have overlooked possible problems. For instance they would not have predicted the danger of abusing private information of individuals that are now so readily available in the internet. In conclusion, it is imperative to embrace the advantages of using social networking, while contemplating cautiously about disadvantages at the same time. Some might say that social networking brings about undesirable impacts to our society, but is not possible to neglect the benefits that social networking brings about in economics, financial and many other sectors. Along the way, every individual, the governments, and at international level too, must endeavor to mitigate problems of Social Networking addiction, ineffectiveness at work, privacy violation and so on,

4. Reference Companies use fb to target consumers http://search.proquest.com.ezproxy.uow.edu.au/docview/260993714 Roberto. R, Dawson Creek Daily News, Companies use Facebook for hiring http://search.proquest.com.ezproxy.uow.edu.au/docview/357738189

http://www.businessweek.com/innovate/NussbaumOnDesign/archives/2006/06/social_networki_1.html http://www.inc.com/guides/using-social-networking-sites_pagen_2.html

Niven. R, 2011, The guardian, The role of social media in community building and development http://www.guardian.co.uk/voluntary-sector-network/community-action-blog/2011/dec/08/facebook-social-media-community-development Weaver, A.C and Morrison B.B, 2008 Vol.41, Issue2 pp 97-100 http://ieeexplore.ieee.org.ezproxy.uow.edu.au/stamp/stamp.jsp?tp=&arnumber=4454412 OECD, OECD privacy guidelines http://www.oecd.org/internet/interneteconomy/oecdguidelinesontheprotectionofprivacyandtransborderflowsofpersonaldata.htm Strickland, J, 2011 http://computer.howstuffworks.com/internet/social-networking/information/how-social-networking-sites-make-money1.htm Diamond, S. 2012, Social Media Marketing for Dummies,2nd edition, John Wiley & Sons, Inc., New Jersey Lee. D, 5 Oct 2012, BBC News Technology, Facebok surpasses one billion users as it tempts new markets http://www.bbc.co.uk/news/technology-19816709 LinkedIn Corporation 2013, accessed on 15 Feb 2013 http://press.linkedin.com/about Epstein. Z, 2012 Foxnews Facebook and Twitter are more addictive than cigarettes or alcohol, study finds http://www.foxnews.com/tech/2012/02/06/facebook-and-twitter-are-more-addictive-than-cigarettes-or-alcohol-study-finds/ Youtube, 2013, accessed on 16 Feb 2013 http://support.google.com/youtube/bin/answer.py?hl=en&answer=126263