Facebook's Performance, Products, and Services

A Case Study of Facebook
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A Case Study of Facebook
Company Overview, Products and Services
Facebook Inc., one of the largest social media company has been known by many as a dorm room invention whose primary objectives centered around what most college students encounter on their daily basis (Van Dijck, 2012). Facebook was officially founded by Mark Zuckerberg, alongside other Havard students in the year 2004. Facebook.com, as it was initially named, started to receive overwhelming registration among students in US Universities, and rapidly spread to other universities across the globe (Van Dijck, 2012). Currently, Facebook is a social media giant with over 2.7 billion monthly active users globally (Tankovska, 2021). In 2020, the company had a net worth of $86 billion and a net income of $29.15 billion, ranking top in the large spectrum of social media companies (Tankovska, 2021). The company's rapid growth can be attributed to the numerous mergers and acquisitions, innovativeness, and the paid advertisements that plays a major role in its revenue accumulation.
The founder and the current CEO of Facebook emphasizes that Facebook's core objective is to connect people. The Facebook website, mobile app, the in-app browser, messenger, Instagram, all of which have a core function of connecting people are the primary products and services offered by Facebook Inc. Other emerging products and services offered by Facebook that do not necessarily serve the purpose of connecting people include Facebook Shops, NPE Teams App, Audience Network, Spark AR studio among other technologies (Facebook Help Centre, n.d.-b). Facebook also offers other businesses and application developers tools that enable them to integrate with Facebook and leverage the company’s large audiences for various operations such as advertisements. The tools are classified as Facebook business tools and they include APIs, social plugins, Offline Conversions, App Events (Facebook Help Centre, n.d.-a).
Stakeholder Analysis
Social Media Users
Social media users who purportedly enjoy Facebook services for free are the most important assets for the company. The vast amount of Facebook users are not mere statistics to the company. Through its technical capabilities, the company can collect personalized information, deploy analytic tools to deduce meaningful information that is then monetized through targeted advertising (Schneider & Harknett, 2019). Concerns over user privacy and security of personal information with the Facebook platform have been the case for quite a long time, and the Cambridge Analytica scandal that put personalized information of over 87 million Facebook users in jeopardy certified the concerns (Isaak & Hanna, 2018). If users become more cautious with their personalized information and their privacy to an extend of boycotting Facebook and opting for more secure platforms, the company would attract very little audiences that would be of no interest to the advertisers, the major sources of company’s revenue.
Employees
The Facebook employees who are behind the innovativeness, development, and marketing of products and services are critical stakeholders to the company’s financial ...