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Companies can also use social networks for advertising in the form of banners and text ads.
Since businesses operate globally, social networks can make it easier to keep in touch with contacts around the world.
Companies such as My Space and Facebook sell online advertising on their site.
Hence, they are seeking large memberships, and charging for membership would be counter productive.
Business model Few social networks currently charge money for membership.
In part, this may be because social networking is a relatively new service, and the value of using them has not been firmly established in customers' minds.
Such models may be highly successful for connecting otherwise fragmented industries and small organizations without the resources to reach a broader audience with interested and passionate users.
Users benefit by interacting with a like-minded community and finding a channel for their energy and giving.
Users of these services need to be aware of data theft or viruses.
Social networks (Cambridge First (FCE) Reading Part 1) Business applications Social networks connect people at low cost; this can be beneficial for entrepreneurs and small businesses looking to expand their contact base.
These networks often act as a customer relationship management tool for companies selling products and services.
The role of social networks is especially of interest to pharmaceutical companies who spend approximately "32 percent of their marketing dollars" attempting to influence the opinion leaders of social networks.
Languages, nationalities and academia Various social networking sites have sprung up catering to different languages and countries.