During last two week’s classes, it was mentioned that Facebook took over Myspace to become the current leading social media site. I believe that this is a “winner takes all” industry due to the network effect; it connect many users irregardless of geographic locations which helps to build a large database that competitors have difficulty replicating. Companies hope to leverage on it to increase their reach for their products/services.
Many companies are realising the importance of social media; they understand that it is no longer a one-way communication, customers have a say as well. Having and monitoring their own social media accounts helps them to build relationship with their customers. There are many more examples on how social media has affected companies, what about you?
I came across this short video that illustrates some changes social media has affected oneself. A surprising takeaway from this video was that social media provides immediate psychological rewards (triggers pleasure sensor in your brain) with very little effort involved, our brain rewires itself to make you desire these stimulations even more which explains why one gets addicted to social media sites ( similar to how drugs affect us). The cognitive changes shown in the video are often not visible to our naked eye, therefore making us unaware of them. Do check out this video for more details.