Analysis of Business Environment of Facebook
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Added on 2020-06-04
Analysis of Business Environment of Facebook
Added on 2020-06-04
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ANALYSIS OF BUSINESS ENVIRONMENT
Table of ContentsINTRODUCTION...........................................................................................................................11 An analysis and commentary of the wider macro environment within which face book Incoperates that impact on its performance......................................................................................12 An analysis and commentary of the micro environment (Industry environment) withinwhich Facebook Inc operates......................................................................................................43 Conduct an analysis of the internal environment of Facebook Inc..........................................64 on the basis of macro, micro environment and internal analysis identify the SWOT oforganisations...............................................................................................................................8CONCLUSION..............................................................................................................................11REFERENCES..............................................................................................................................12
INTRODUCTIONBusiness environment means all the of the internal and external factors that affect howthe organisation function including employees. Customers, management. Supply and demandand business regulations. The report on the basis of Facebook Inc case study in which differentchallenges faced by the company even though they are leading in social Media market. Further,analysis of macro and micro environment of the organisation which operate the effect on theirperformance. The internal environment of the Facebook Inc with help of their resource,capabilities, core skills and core competencies. The SWOT analysis which will help to utilise fortaking certain decision making for improvement in the company.1 An analysis and commentary of the wider macro environment within which face book Incoperates that impact on its performance.There are certain macro environment factors which can be impact on the organizationperformance. It can be impact due to Political, Economical, social, Technological, Legal andEnvironment. All the factors are impact on overall performance of the Facebook Inc which canbe describing below:Political: These are the main macro factors which can be impact on Facebook businessrelate within government pressure. The major political factor that influence theperformance of the Facebook Inc. in which the political stability in developed nations,policies government support for globalisation and political barriers in the market likechina. As the political stability of developed nation current opportunities for FacebookInc to consistent decreasing their enterprises in the industry. The organisation has chanceto prosper its social media and showcasing services or advertisement across the globewhich is bases on political assistance for globalization. Thus, the company must sufferfrom political issues in the Chinese(Dima, Grabara and Modrak, 2014). Due to theChinese censorship the firms' strength is important worldwide development is limited.The policies which can be adopted by the organisations that must be as per governmentrules and regulations. Therefore, the political impact will decrease the performance of theorganisation.Economical: These are the another factor which can be influence to the businessenvironment of the firm. The globalisation brings a situation of downward slopingeconomy and all the business are also not able to perform in the market. But due to1
increasing stability of developing nations which is the opportunity for the Facebook andrapid economic growth and developing nation and enhance disposable incomes. Hence,Facebook Inc. has to opportunity to enhance its market penetrations efforts in developingnations with accelerative economic position. In context, the effective growth of economicin such nations which bring the development and betterment of infrastructure, includestelecommunication infrastructure. This can be helpful in expanding of access to Facebooka social networking website and social media services like Messenger, Instagram,WhatsApp and Oculus. Further, increasing the disposable income in the nation which isalready developed components utilised ability, as well contribution to the organisations'elaboration. Therefore, with the proper analysis if economical macro factor for theorganisations the major opportunities, its global operation, especially through marketspenetrations.Social: Facebook popularity and reach increase across the globe which influence ofsocial situations. The effect of trend in society and modification on the organisationsmacro environment is finding out with the social analysis in which increasing preferencefor high-quality services is the opportunity for the firm and enhancement of onlineshopping as well increasing support for corporate social responsibility. The financialcapacity is increasing and standout of living situations of society is also developed whichemphasis better quality of services(Ebert and Griffin, 2016). The current situation of thesociety is an opportunity fir the organisation to develop the firm showcase with the helpof advertisement services. Moreover, enhancement of online purchaser attitude andbehaviour across the globe bring an opportunity for Facebook for higher growth anddevelopment services to increase profit from generating retail sales with help of thewebsites for social networking and mobile app related to it. The organisation as well hasthe opportunity to increase their CSR session as a manner of satisfying correspondingexpectations of utilisations. So, if the Facebook will improve their services, it will helpthemtogaincompetitiveadvantages.Technological: These can be another factor which will help to bring the effectiveoperation in the organisations. Technological variables are the exceptionally developing2
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