Question

Describe how social media differ from traditional commercial media and how they (social media) redefine and extend the traditional three-party business model (producer, buyer or consumer, third parties) of commercial media.

b) Use a social media platform of your own choice to illustrate ways by which social media redefine and extend the traditional practices of commercial media and the business models that commercial media have traditionally used.

Answer 1

A. Traditional media mainly includes newspaper, television and radio. While they can spread messages to a large number of people, they lacks the characteristic of interactivity. These traditional media can't receive messages from the people or can't get a real-time feed back from the masses. At the same time, social media enjoys the characteristic of interactivity which allows the sender of the message and receiver of the message to interact each other in real-time. This has redefined the business models across the world. The social media allows the seller and buyer connect without a third party. At the same time, the social media has also taken up the role of the third party in the three party business model. Another difference between both media is that an advertisement placed in social media allows the potential buyer to click on the advertisement and know more details about the products or services. He or she can buy it right away. There is no such facility in traditional media apart from just placing an advertisement.

B. Many social media sites have roled out business features such as Facebook's Marketpalce. Through this feature now anyone can just upload the picture of their product and add small description including product price and product specifications. Now the customer can directly contact the seller and buy it through various delivery channels. Instagram also promotes business through it.

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