Facebook is a social net working service, which is started in the United States by Mark Zuckerberg with his friends in 2004. The website's membership was initially limited by the founders to Harvard students, but was expanded to other colleges, and gradually globalization. In 2012, the fonder of Facebook, Mark Zuckerberg decide to convert the structure of Facebook from private limited company to public limited company. Facebook values shares at £24 each, and that its shares would began trading in New York on 18th of May 2012. It is seem that Facebook would be worth £66bn at this price. The following will analyse whether Facebook can benefit from the changing between private limited company to public limited company.
Ltd is the short for
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Facebook choose to be a Ltd company as it beginning, because Mark Zuckerberg and his classmates aer students on that time. So they do not have enough money to set up a plc company. And the aim of Mark Zuckerberg making facebook is that he just wants the make the distance of people become closer than before. And make the communication of people convenient. There are many advantages and disadvantages of Ltd and Plc. If a company chooses to be an Ltd, they can get money by selling their shares despite they can only sell shares to friends and family. This might be easy for the company to control the shares selling. That means Mark Zuckerberg only sell the shares of facebook to his classmates and family before its flotation. So he can choose which people do his shareholder. Ltd also can easier to attract investors because of the security of limited liability. The business is continuity to exist even one of the owners died or sick. However, being an Ltd has negative effects as well. The business cannot sell on the stock market means that they can not gather so much share capitals. This is a reason why Mark Zuckerberg decided to sell the shares on the stock market. The accounts of the business must be public, and the profit should share with the shareholders. The decision making is not just by one person. Sometimes it is a good thing for solve problems, but there is also a potential disagreement among shareholders. When a company
Facebook was launched on February 4, 2004 by nineteen year old named Mark Zuckerberg (Carlson). In 2010 it became one of the most popular websites in the world, visited by over 400 million people per month. The sudden popularity of Facebook was so extraordinary, that a movie called “The Social Network” came out telling the story of its development (The Social Network). This site created an innovative way for its users to exchange messages, post status updates, post photos, and join common interest groups. In addition to that users can like and comment on
Facebook is a very greedy company. The initial public offering or IPO for Facebook was a joke to them because they use it to gain money their personal use, pocketing it. The greed shown is a whole new way of running a company. They made the
In nearly every corner of the world, someone cannot walk down the street without seeing someone texting, talking or using the internet. Recent advances in our ability to communicate and process information in digital form— a series of developments sometimes described as an "IT revolution"— are reshaping the economies and societies of many countries around the world (“TECHNOLOGY AND GLOBALIZATION,” 2016). One of the main changers has been Facebook itself. Facebook is possibly one of the most well-known public corporation in our world today. With over 901 million users worldwide and with over 488 million users who access Facebook through the mobile app. It is an essential need for a lot of individuals out there. Launched in 2004 by Mark Zuckerberg, Dustin Moskotvitz, Chris Hughes and Eduardo Saverin at Harvard University, Facebook is now estimated to be worth $200 billion dollars. Facebook has changed the world in positively in so many ways and keeps us all connected to family/friends from anywhere around the world. Facebook and technology are co-related. Essentially, technology was the component that brought Facebook in this world.
Facebook, which was founded by Mark Zuckerberg in February 2004, is an online social networking platform with the mission of making the world more open and connected. Within a few years, Facebook attracted millions of new users, from 1 million Monthly Active Users to 845 millions Monthly Active Users. Though competing with global and regional corporations in the industry, Facebook kept growing rapidly. With the high expectation of investors, Facebook finally decided to go public. The “Red Herring” of Facebook stated that its goal was to connect all two billion global Internet users. Basing on our analysis of Facebook’s IPO, we would like to give several recommendations on the
Initially, Mark Zuckersburg , Dustin , Chris and Eduardo launched Facebook in Harvard in 2004 started with Facebook Wall. Facebook started with 1 million users from the Harvard , Yale , Stanford and Columbia university campus and then they concentrated to more university campus to growth for the company. The company then over the years have evolved design layout of Facebook and making more and more easy to use by concentrating overseas and local users and now they have 86% of total users are outside the USA and Canada. The company have launched Facebook video , Platform launches , Video calling , Facebook Search, Messenger , acquisition of Instagram and atlas and Whatsapp and Oculus and Facebook paper , trending in Facebook and many more. The key strategy of Facebook in past was to expand the social network and innovate new technology to make it more effective so that users can share and connect with people through Facebook. Also Facebook is concentrating in innovation starting with oculus - the virtual Reality. The increasing amount of data created by users and to maintain the data and finding the data patterns from the data is among the biggest challenges the company is facing. To provide the security to each account and help users to maintain their privacy is also a big challenges in today's world. Currently Facebook is on the top list of Social network services and they
According to Marketline.com, Facebook Incorporated is one of the social networking which enables users to share their pictures, videos, activities and opinions. The company’s reach is a non-replicable competitive advantage that can be explored to the advertisers’ curiousness. However, significant competition may impact its user base and level of user engagement, making it less attractive to developers and marketers, so the bad thing will affect its revenue and results of operations. From there we can tell the strengths, weaknesses, opportunities and threats of Facebook’s company.
Facebook’s brand is worth $36.5 billion dollars, which is no surprise seeing as how it is such an easy site to use and because it’s also very easy for the creators to make money off of sponsors who promote their ads all over the website. Unlike other social media site, Facebook is all about connecting with friends and family through messaging, statuses, photos, etc. You also get to choose who you add but if you use Twitter anyone can follow you, unless you block them. Facebook is more intimate and personal whereas Twitter focuses on news and gaining information on what is going on in the
First is the advertising. According to the case, we know that the major revenue of Facebook is advertising, which took up 98 percent in 2009, 95 percent in 2010 and 85 percent in 2011. Facebook uses all information uploaded by users to become the property of the firm. By analyzing database, Facebook provides advertisers target customized services and products based on users’ preferences and connections. In its view, the advertising which based on social
The weakness of Facebook is revenue depends on advertisiments. Up to 80% of Facebook’s revenue is derived from mobile advertising. Facebook experts large companies like Ford, HSBC, McDonald’s and Visa to continue
Facebook has a high valuation of $75-100 billion which is difficult to justify. After the first quarter, the company failed to produce financials which caused stock prices to plummet. This is not good in terms of attracting new investors. In addition, customers often complain of bugs and problems when interacting online
(Attention Getter) What kind of company would Facebook, one of the most successful companies in recent history, spend one billion dollars to buy (Stern)? What company with fewer than twenty employees could warrant such a huge investment by one of the world's most visible companies?
FB is an online social networking service that was established in 2004 by Mark Zuckerberg along with four Harvard University roommates. Before FB, Zuckerberg had created an online program titled "Facemash" which was a quasi-dating site that was accessible only to Harvard students. To upload student’s pictures to Facemash, Zuckerberg hacked into protected areas of Harvard's computer system and copied private ID images. This site didn't last long as it was shut down days later by Harvard administrators who alleged, but later dropped, charges of breach
When it comes to global brands, a lot of names come to mind that create lasting legacies and billion-dollar empires, and Facebook is certainly a juggernaut among them. The world 's largest social networking site as well as one of the world 's most valuable companies. Facebook has built an impact on the world in an incredible short amount of time by connecting and influencing millions of people of all ages around the whole world in the most profound ways possible with their breakthroughs in all fields of science, communication, technology, broadcasting and entertainment, revolutionizing the social media and startup market, among many other things, and it continues to evolve, and in doing so, it is also changing the way we see the world and connect with it.
Facebook’s value driver is dependent on how well they adapt to their ever-growing pool of
To figure out the future of Facebook we need to dive into the past Internet, the fast growth and even faster decline of earlier social networks like Myspace can show us what we should be looking for. It was only May of 2009 when Facebook surpassed Myspace with nearly 70 million users, a number dwarfed by current “populations”, but was newsworthy at the time. Every social network needs one thing, to be cool. The glitches or unused features can be overlooked, but if something’s cool it will gain a huge following. This reason was responsible for Myspace’s success and directly related to its demise.