Influence of social media adoption on the performance of construction small and medium-sized enterprises (SMEs) in Abuja: Nigeria

Oyewobi, L; Adedayo, O F; Olorunyomi, S O and Jimoh, R A (2023) Influence of social media adoption on the performance of construction small and medium-sized enterprises (SMEs) in Abuja: Nigeria. Engineering, Construction and Architectural Management, 30(9), pp. 4229-4252. ISSN 0969-9988

Abstract

Purpose: The purpose of this paper is to examine the influence of social media adoption on the performance of construction small and medium-sized enterprises (SMEs). Design/methodology/approach: Construction SMEs owners and managers in Nigeria were surveyed using questionnaires to gather data. Partial least square structural equation modeling (PLS-SEM) was employed to assess measurement reliability and validity, as well as the hypothesized paths provided in the conceptual model that formed part of the final conclusions. Findings: The empirical finding showed that social media usage increased knowledge accessibility, reduced costs and improved customer relations and service for organizations. Overall, social media adoption was significantly and positively related to SMEs business performance. Also, the paper revealed that learning capability mediates the relationship between social media and SMEs performance. Research limitations/implications: Data for the study came from only one industry and one related line of business; thus, including more companies from different sectors or industries could be more interesting. The study's findings contributed to the growing body of knowledge about the impact of social media on the efficiency of businesses. Small and medium-sized businesses also need to understand and recognize the impact of social media on the organization's performance in order to achieve a long-term competitive edge from the adoption of social media. Practical implications: According to the findings, small construction firms can benefit from marketing the brands through social media channels and improved learning capability. In terms of accessibility, cost savings and improved relationships with customers, research shows that social media promotion can be beneficial to businesses. A study like this has the potential to show how social media can help striving small businesses interact cost-effectively with customers all over the world, opening new doors for sales and continuous improvement. Originality/value: The relationship between SME performance in Nigeria and the use of social media has received very little attention despite social media's promising potentials, particularly for small businesses. The authors hoped that this study will fill a gap in the authors' understanding of how social media affects the performance of small and medium-sized businesses (SMEs) in the construction industry.

Item Type: Article
Uncontrolled Keywords: business; construction industry; Nigeria; SMEs performance; social media
Index terms: continuous improvement, owner, small construction firm, validity, Nigeria, accessibility, efficiency, promotion, construction industry, cost saving, customer relation, marketing, social media, structural equation modelling, manager, partial least square, body of knowledge, Abuja, small business, methodology, business performance, questionnaire
Subjects: sociology, statistical analysis, industry analysis, economics, performance management, inclusive design, research methods, performance measurement, management, Geography, knowledge management, technology adoption, participation process, organization, business, data collection methods, evaluation and assessment methods, practitioner
Topics: Quality Management, Human Resources, Digital Applications, Design Practice, Information Management, Research Practice, Geographical Context, Cost Management, Business Strategy, Roles and Professions, Stakeholder Management
Descriptive scope: 4 PCTA

N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here