Using Social Media in Business: Opportunities and Risks - Essay Example

There are basic steps that businesses can follow to come up with a social media strategy. These include: ask the question, customers’ information, how social media can support goals, how to engage it in different areas, and continually maximize the business engagement in social media. The business should be aware of the fact that social media allows customers to post negative comments about the products and this can negatively impact consumer behavior. Hackers could get confidential information about the products.

The business’ reputation may be at risk from negative comments (Raman). The entrepreneur’s reaction to these risks determines whether the use of social media will be beneficial or not. Companies are advised to establish a social media listening program that responds to the information received on social media. It is important for entrepreneurs to realize that they can use social media to their advantage by laying down clear policies and acquainting themselves with the risks associated with its use.