Most companies do not establish in the market as fast as they would wish. It takes time to create a niche in the market place and get loyal customers who would boost the company. However, the reverse has been the case with Facebook Company (Collier, 2010). Since its foundation, Facebook has developed to be one of the most prolific companies in the internet information industry. The success of this company is attributed to many things; easy access, demographic location of customers, cost of operation and size of market served. Since the day Facebook's founder opened the door for third party developers, the company has experienced tremendous growth. Investors and businesses scramble at any opportunity to have shares with this company. Success of Facebook is also dependent on economic environment. Demand for internet related technology increase, and this requires the company to upgrade and meet such demands. However, there have been several lawsuits against Facebook Company over the years (Tara, 2013). Some happening before its official launch while others after it begins operation. Lawsuits are part of business operations and the company puts appropriate measures to handle all complaints.
The economic environment impacts on Facebook in a number of ways. Demand for internet technology is high, and this calls for companies to invest more on online advertising. Facebook allows companies to advertise on its page and determine target customers. To achieve this, a page is created and the demographic location with most likes becomes the best market for a particular commodity. Most people are spending a lot of time online, and the only way to market commodities faster is by reaching them on social sites (Collier, 2010). Facebook provides this platform for companies to market their products and determine the best market place.
[...] The economic environment affects this company's operation in many ways, especially through the demand for internet related technology. In the course of doing its operations, the company handles a number of lawsuits. Most of these cases end with financial losses. The company has to formulate appropriate strategies and ensure users' protection and no violation of individual rights. References Collier, M. (2010). Facebook and Twitter For Seniors For Dummies. New York: John Wiley & Sons. Lucchetti, A. (2012, Sep 26). Facebook's Next Fight: Suits and More Suits. [...]
[...] Facebook allows companies to advertise on its page and determine target customers. To achieve this, a page is created and the demographic location with most likes becomes the best market for a particular commodity. Most people are spending a lot of time online, and the only way to market commodities faster is by reaching them on social sites (Collier, 2010). Facebook provides this platform for companies to market their products and determine the best market place. To acquire success through this method, Facebook enables companies to reach targeted customers based on demographics. [...]
[...] Facebook Company handles many lawsuits; some happening before its launch while others in the course of operation. The first lawsuit in the company is when its founder Zuckerberg paid $65million to two of his classmates. These twin brothers claim the whole idea about Facebook was with them and that Zuckerberg stole it before its launch. This faced another uphill task when the Winklevosses comes up and say the payment should be raises to $100million following the company's success and increase in net worth (Lucchetti, 2012).This is a move aimed at achieving what they could not get in the market place. [...]
[...] Presently, many people have money to spend on entertainment and this is one boost for the company. The youth, especially, spend good amount of money searching entertainment sites on Facebook. In effect, the company gains popularity and its activities are streamlined to meet the demands of customers. As of 2010, the United States had 239million internet users, out of these 133million were subscribed on Facebook. The rest of the world had total Facebook subscribers of 384million. In this regard, the world's total Facebook users amount to 518million (Lucchetti, 2012). [...]
[...] It could be an essential strategy for the company in the future. All these lawsuits leads to financial losses for the company, and it gets worse when Facebook settles an individual millions of dollars for something which the company can avoid. Conclusion Facebook is one of the most sort after and popular social site. It is an online social site in which people are able to chat, create profiles and make friends with individuals all over the world (Collier, 2010). [...]
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