Impact of Social Media to the Value Added in Knowledge-Based Organizations

Purpose – The aim of this paper is to investigate the significance of Web 2.0 and social media for the organizational development and adaptation to ever-changing business environment and its successful managing. Proposed model is based on the concepts of innovative economy, knowledge management and social media for value creation in knowledge-based industries. Design/methodology/approach – The study examines critical factors that influence the role of social media in organizational change and value creation in knowledge-based industries. Findings – The paper contributes to discussion about increasingly important role of social media in value added chain in knowledge-based industries. Research limitations/implications – Social media are still an emerging phenomenon and further studies are required to investigate these relationships over a longer period of time. Practical implications – The topic is relevant for designing corporate strategies in knowledge-based companies becoming a part of global networks. Better understanding of impact of social media on value added could significantly enhance both, the top and bottom lines. Originality/value – The paper explores as to when and why the inexpensive but increasingly widely use of social media in knowledge-based industries is preferred to traditional media. This paper intends to give executives practical hands-on advice for using social media in business campaigns