Write Strength opportunity strategies

Understanding Business
12th Edition
ISBN:9781259929434
Author:William Nickels
Publisher:William Nickels
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
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Write Strength opportunity strategies
IFE Matrix
Strengths
1. Facebook is the largest social media network in the world, with
Weight Rating Weighted Score
0.07
0.28
over 1.3 billion current active users.
2. Facebook ended 2014 with record numbers: a total of 890 million
users, 745 million daily active mobile users, and $3,851 million in
0.07
4
0.28
revenue.
Facebook's revenues from advertis ing totaled $3.6 billion, and
$257 million in collected payments and other fees. Facebook
advertisements can be highly targeted based on user
demographics, such as location, age, gender, language,
behaviors, and connections within or outside the advertiser's
3.
0.07
4
0.28
current connection reach.
4. Facebook spent 29% of its revenue dollars on R&D in 2014.
5.
0.04
4
0.16
Revenues were up 57% in 2014.
0.06
4
0.24
6. Entrepreneurs and small bus iness owners now must pay
Facebook for their product service exposure if they want to
receive higher volumes of distribution of their materials.
7. Facebook's new professional“ service enables users to keep
their personal postings, pictures, and identity separate from the
professional and work content.
8. Facebook has a significant advantage versus its competition,
given its reported 1.35 billion users who are active monthly and
864 million who use Facebook daily. The firm recently started
Intemet.org as a special service project to provide intemet to the
two thirds of the world's population who currently do not have
access to the Internet.
9. Instagram's user growth is expected to climb to 21% in 2015, 15%
in 2016, and 10% in 2017.
10. Facebook, Inc. has an extensive network of users which enables
it to collect a large amount of data about its users*
demographics, their social connections, their interests, and their
activities on the intemet.
0.04
3
0.12
0.04
3
0.12
0.09
4
0.36
0.05
3
0.15
0.07
4
0.28
Transcribed Image Text:IFE Matrix Strengths 1. Facebook is the largest social media network in the world, with Weight Rating Weighted Score 0.07 0.28 over 1.3 billion current active users. 2. Facebook ended 2014 with record numbers: a total of 890 million users, 745 million daily active mobile users, and $3,851 million in 0.07 4 0.28 revenue. Facebook's revenues from advertis ing totaled $3.6 billion, and $257 million in collected payments and other fees. Facebook advertisements can be highly targeted based on user demographics, such as location, age, gender, language, behaviors, and connections within or outside the advertiser's 3. 0.07 4 0.28 current connection reach. 4. Facebook spent 29% of its revenue dollars on R&D in 2014. 5. 0.04 4 0.16 Revenues were up 57% in 2014. 0.06 4 0.24 6. Entrepreneurs and small bus iness owners now must pay Facebook for their product service exposure if they want to receive higher volumes of distribution of their materials. 7. Facebook's new professional“ service enables users to keep their personal postings, pictures, and identity separate from the professional and work content. 8. Facebook has a significant advantage versus its competition, given its reported 1.35 billion users who are active monthly and 864 million who use Facebook daily. The firm recently started Intemet.org as a special service project to provide intemet to the two thirds of the world's population who currently do not have access to the Internet. 9. Instagram's user growth is expected to climb to 21% in 2015, 15% in 2016, and 10% in 2017. 10. Facebook, Inc. has an extensive network of users which enables it to collect a large amount of data about its users* demographics, their social connections, their interests, and their activities on the intemet. 0.04 3 0.12 0.04 3 0.12 0.09 4 0.36 0.05 3 0.15 0.07 4 0.28
EFE Matrix
Weight Rating Weighted Score
Opportunities
1. LinkedIn's has 332 million registered users, but only a third of
that frequently visit the site.
2. Twitter's user growth is expected to decline to 9% in 2015, 8% in
2016, and 7% in 2017.
0.06
3
0.18
0.04
4
0.16
3. Both Twitter and LinkedIn reported negative net income in 2014.
0.04
4
0.16
4. Two thirds of the world's population does not have access to
the Intemet.
0.06
4
0.24
5. Worldwide revenue generated from "in app" purchases was $4.6
billion in 2013 and is forecasted to increase to $36.9 billion in
2017.
6. The global mobile advertis ing market is expected to grow from
$11 billion in 2013 to $25 billion in 2016.
7. In 2013, India, Brazil, and Mexico represented key sources for
growth for Facebook's MAUS. It is likely that growth in these
countries will continue over the next few years.
0.11
3
0.33
0.08
3
0.24
0.06
3
0.18
8. Number of mobile internet connections is forecasted to grow
from 234.2 million connections in 2014 to 313 million connections
0.06
4
0.24
in 2019.
9. Gobal market for video games is projected to grow from $67
billion in 2012 to $82 billion by 2017, with mobile and
smartphones accounting for much of the growth in the portable
games category.
10. Millions of children become first-time Facebook customers
0.03
2
0.06
0.03
3
0.09
annually.
Transcribed Image Text:EFE Matrix Weight Rating Weighted Score Opportunities 1. LinkedIn's has 332 million registered users, but only a third of that frequently visit the site. 2. Twitter's user growth is expected to decline to 9% in 2015, 8% in 2016, and 7% in 2017. 0.06 3 0.18 0.04 4 0.16 3. Both Twitter and LinkedIn reported negative net income in 2014. 0.04 4 0.16 4. Two thirds of the world's population does not have access to the Intemet. 0.06 4 0.24 5. Worldwide revenue generated from "in app" purchases was $4.6 billion in 2013 and is forecasted to increase to $36.9 billion in 2017. 6. The global mobile advertis ing market is expected to grow from $11 billion in 2013 to $25 billion in 2016. 7. In 2013, India, Brazil, and Mexico represented key sources for growth for Facebook's MAUS. It is likely that growth in these countries will continue over the next few years. 0.11 3 0.33 0.08 3 0.24 0.06 3 0.18 8. Number of mobile internet connections is forecasted to grow from 234.2 million connections in 2014 to 313 million connections 0.06 4 0.24 in 2019. 9. Gobal market for video games is projected to grow from $67 billion in 2012 to $82 billion by 2017, with mobile and smartphones accounting for much of the growth in the portable games category. 10. Millions of children become first-time Facebook customers 0.03 2 0.06 0.03 3 0.09 annually.
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