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The fact that incorporating social media into sales and marketing can generate return on investment has been and continues to be proven. Just search “social media ROI” or “proof that social media marketing works” and you will have plenty of proof. That’s not the problem. The problem is the question about ROI is still being asked, and it’s because many people are still unclear about how to measure ROI and not about whether they can prove it can be measured. That confusion is why the following five questions are so important when it comes to understanding where to start, what to focus on, and what meaningful social media ROI looks like. Many organizations start in the wrong place or focus on the wrong metrics. Hopefully the following will prove helpful.
Five Questions To Ask About Social Media ROI
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The fact that incorporating social media into sales and marketing can generate return on investment has been and continues to be proven. Just search “social media ROI” or “proof that social media marketing works” and you will have plenty of proof. That’s not the problem. The problem is the question about ROI is still being asked, and it’s because many people are still unclear about how to measure ROI and not about whether they can prove it can be measured. That confusion is why the following five questions are so important when it comes to understanding where to start, what to focus on, and what meaningful social media ROI looks like. Many organizations start in the wrong place or focus on the wrong metrics. Hopefully the following will prove helpful.
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Daniel Sotelsek www.danielsotelsek.com This paper examines two sources of global knowledge spillovers: foreign direct investments and trade. Empirical evidence demonstrates that foreign direct investment and trade can contribute to overall domestic productivity growth only when the technology gap between domestic and foreign firms is not too large and when a sufficient absorptive capacity is available in domestic firms. The paper proposes the terms research and development and labor quality to capture the innovative and absorptive capacity of the country. The spillover effects in productivity are analyzed using a stochastic frontier approach. This productivity (in terms of total factor productivity) is decomposed using a generalized Malmquist output oriented index, in order to evaluate the specific effect in technical change, technical efficiency change, and scale efficiency change. Using country-level data for 16 Latin American countries for 1996-2006, the empirical analysis shows positive productivity spillovers from foreign direct investment and trade only when the country has absorptive capacity in terms of research and development. Foreign direct investment and trade spillovers are found to be positive and significant for scale efficiency change and total productivity factor change.
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