29 Sep 2022

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The Importance of Big Data Analytics in Business

Format: APA

Academic level: College

Paper type: Essay (Any Type)

Words: 506

Pages: 2

Downloads: 0

The Alsghaier (2017) article’s main objective is to examine the different Big Data aspects and their significance on the business performance of organizations and to examine the way organizations can process data to gain a competitive advantage. The key questions that the authors are addressing are how big data analytics can benefit organizations, how companies can gather varied data sets, how big data analytics can be applied to companies to improve performance and become competitive, and how organizations can process diverse data types to obtain the valuable data they require to benefit from big data and improve their performance. The most important information in this article is that technology allows firms today to store, process, analyze, and manage data to apply it in different stages and to guide decisions to ensure the formulation of real-time responsive decisions. Big data analytics has the potential to assist companies to use their data and apply it to search for new business opportunities. Besides, big data enables intelligent companies to move ahead, facilitates effective business functions, leads to increased profits and leads to increased customer satisfaction. Thus, companies should be smart and serious when focusing on big data analytics to enhance their development. The main conclusion in this article is that the use of Big Data technology can help companies change the way they market their services or products, encourage invention and research. 

The authors’ arguments relate to ethics as they demonstrate how companies can use Big Data to enhance business performance in terms of satisfying customers, making responsive decisions, marketing their products or services and developing the organization. The authors are encouraging the positive application of big data analytics that can lead to positive outcomes both for companies and for clients. 

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With this information, what is the risk involved when using big data analytics? Besides, how costly is it to initiate big data analytics for an organization that desires to improve its performance to gain a competitive advantage? 

Regarding the first question, Alsghaier (2017, p.114) state that, “the risk in using big data analytics is obviously the privacy issue as not all the required data can be accessed easily, which means that organizations ought to consider the rules involved in acquiring data from other websites or from the private accounts of people.” Thus, while companies are free to collect large amounts of data, there are limitations when it comes to the private information of people. 

Regarding the second question, Alsghaier (2017, p.112) state that, “Technology to hold and analyze data is widely available at low costs.” Companies can use “... open source software to allow them process large amounts of data in a distributed computing settings... organizations that are concerned with big data and need large amounts of data that is quantifiable can use tools like Hadoop and highly qualified personnel…” (p.113). Thus, there are less costly technologies that companies can use to use big data analytics, which includes open source software like Hadoop that companies can use freely to process large data sets. The presence of these kinds of tools means that any company whether small or large can create, organize and analyze varied data sets in relation to the business easily. The only cost required is related to the devices and internet connection to access the software and qualified staff. 

Reference 

Alsghaier, H. (2017). The Importance of Big Data Analytics in Business: A Case Study.  American Journal of Software Engineering and Applications,    6 (4), 111. doi:10.11648/j.ajsea.20170604.12 

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StudyBounty. (2023, September 14). The Importance of Big Data Analytics in Business.
https://studybounty.com/the-importance-of-big-data-analytics-in-business-essay

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