SOCIAL NETWORKING IN BUSINESS

Social Networking in Business

Social Networking in Business

Introduction

The various relations and networks of modern life are complex. Both private and business spheres are determined by different networks, such as energy, transportation, economics, and socializing. Corporate or business life is also a complex system in the junction of different grids and lattices and, consequently, can be studied through the network perspective. However, the organization is not the only element that can be examined within the framework of networking. The fluidity and changeability of the modern world are reflected in the network structure not only in corporations but also in their environment. Even organizations specializing in very specific domains deal with a different range of people and organizations in the process of producing, marketing, and selling products and services. The aspect of specialization is also crucial for networking, as it leads to a strong dependency not only on other companies but also on human and nonhuman entities. The corporate environment comprised of different stakeholders, various constituting relations, and other entities, together with the corporation itself, can be studied by taking into account different networks. Corporate networking can be perceived in many ways.

In the most general approach in organization studies, it can be understood as all the networks shaping and influencing the corporation and its setting, since modern companies constitute networks and at the same time are embedded in networks. Thus, corporate networking is the sum of networks determining company performance. Elements such as people and organizations, individual and shared resources, and the relations within and between them all influence corporate networking. Since the relations and ties between individuals and organizations are more of a focus than individual people and companies, corporate networking deals with the ways in which human and nonhuman entities are connected in business settings.

There are no strict boundaries in corporate networks, and nodes and ties are the most important elements. They consist of people, organizations, and things having a shared corporate interest. For example, business relationships with customers and suppliers are even more important than the actual products or services offered on the market. Since the hierarchical aspect is less relevant in networking, the networks are horizontal rather than hierarchical. There are different reasons for forming networks. Some focus on products or product lines, others deal with social relations, and still others are more regional or centered. The most important reasons for forming corporate networks constitute the corporate networking typology.

Types of Corporate Networks or Social Networks in Business

In everyday life, there are different networks influencing corporations. Companies can be considered from the sustainability perspective, which requires three network pillars to be effective: social, environmental, and economic. Social networks determine various relations between people by taking into consideration such issues as gender, occupation, country of origin, and other collective determinants. Thus, in the case of business settings, corporate social networks will involve the inner corporate relations between workers and the outer corporate relations between employees and stakeholders within the broader corporate ...