Global Strategic Management for Facebook: Business Strategies, Environment Analysis, and Strategic Tools

This report analyzes the global strategic management of Facebook, including the business and corporate strategies used by the CEO, internal and external environment analysis, and strategic tools used. It also examines how the CEO created, developed, and designed strategic planning for Facebook. The report includes recommendations for sustaining Facebook's position.

Global Strategic Management

Table of Contents.
INTRODUCTION...........................................................................................................................3
MAIN BODY .................................................................................................................................4
A) Examining the business and corporate strategies used by the CEO which has brought about
positive contribution to the organization.....................................................................................4
(B) Internal and external environment analysis...........................................................................5
C) The strategic tools/ techniques/ models used by the Facebook's CEO...................................6
D) examining how the CEO of Facebook created, developed and designed strategic planning
for Facebook................................................................................................................................8
E) .................................................................................................................................................9
Using appropriate corporate examples and literature for justification 300................................10
Recommendations for FACEBOOK to sustaining its position..................................................10
CONCLUSION..............................................................................................................................11
REFERENCES .............................................................................................................................13

INTRODUCTION
Global strategic management is being defined as set of action taken for attaining and
achieving goal by establishing strategy and operating the business globally. Global strategy is
used by various companies as for operating the business according to the set goal and achieving
within time. This strategy is adopted by the company as for analysing competitors available in
the market. Global strategic management has the main aim as for increasing business profits and
attaining goals by achieving competitive advantages. Managing strategies is also the process of
operating various business operations as for achieving gaols and objectives within desired time.
Facebook recognized as social media platform mainly operating as private company but
supplying share to the public. The uniqueness of the company is to connect and share pictures
The company is providing various services as for connecting o large users with using only one
platform by making profits and user id and signing with passwords. The main aim of the
company is to connect and share with various individual all around the world. The company
connecting of various features as helps in supplying message and posting status updates. Also,
providing feature as of liking and posting picture also communicating with various individual by
being online and with the usage of messenger helps in chatting easily. Profiles of various
individuals listed and contains personal details for growing and imparting technology. This
report provide details about global strategic management by analysing the strategic management
style use by the CEO of Facebook. With examining the corporate strategies used by CEO of
Facebook. Also, undertaking the external and internal environment analysis for analysing the
complex problems at company and managed by using various business frameworks. Also,
describing strategic tool and techniques also models by company as for enhancing the
organizational performance of Facebook. Further, examining the creation, development and
designing of the Facebook strategic planning. Also, evaluating different strategic issues faced in
level of strategy as by using different models. Lastly illustrating the examples of different
companies for justification. Further, recommending various measures to company for sustaining
the current position.

MAIN BODY
A) Examining the business and corporate strategies used by the CEO which has brought about
positive contribution to the organization
Corporate strategies are set of approaches which helps in attaining goals for the business. CEO of
Facebook uses all the strategies as for strengthening and achieving better performance and
attaining competitive advantage. The CEO of company is using cost leadership strategy and
intensive growth strategies are for attaining and establishing competitive advantage for the
business.
Cost leadership competitive strategy: CEO of Facebook uses cost leadership strategy
as by minimizing cost and providing wide online services as for connecting large number of user
all over the world (Facebook Inc.’s Generic Strategy & Intensive Growth Strategies, 2022).By
adopting this strategy helps in expanding target market for the company which helps in gaining
profits by minimise costs and attaining competitive advantage as for providing various sharing
and connectivity services. Facebook is broadly providing social media services to large users into
global market. As for this company is using digital computing techniques for maximizing its
efficiency and performance level in comparison of competitors for reaching easily to large
consumer base.
Also, by using intensive growth strategies helps in growing and contributing positively for
achieving competitive advantage for social networking business as:
Market development: By using this strategy, firm is able to achieve business growth by
entering new markets. For example- allow users to use online social networking by coordinating
with governments. This helps the company to reach market and maximize business effectiveness
and efficiency.
Market penetration: using this strategy, the company achieves growth and development
and also maximize its current market share (Radpour and et.al., 2021). The company establishes
alliances with telecommunications firms to increase the number of users who access most of the
time using social media service through website and mobile application.
Diversification: Facebook acquired the firm oculus VR to provide virtual reality
technology that complements social networking services. In order to increase revenues and
market reach firm purchase or establish new businesses.

Product development: By using this strategy, the firm is able to offer new products it
includes developed mobile application and focus on continuous development and improvement
of product offerings (Khan, Niqab and Hanson, 2021). The reason behind using this strategy is
new products or service attract more user and audience which are the main source of the revenue
of firm.
(B) Internal and external environment analysis
SWOT analysis
Strengths- Facebook is a most popular company in the world having more than a billion
active users who spent most of the time using internet (Hajizadeh, 2019). The brand integrate
with application and websites both by providing excellent users experience. The firm focus on
customers' needs and understand their behaviour before implementing any new strategy. In this
way firm have managed the customer requirements and concentrate on their complaints too by
doing SWOT analysis.
Weaknesses- Facebook biggest weakness is social networking it means the company
lack some of the new features which has disappointed many users. It includes weak protection of
private data and important information about users (Benzaghta and et.al., 2021). The company
does not provide website customization process due to this they have faced issues. To deal with
this, firm is focusing on making social network and advertisement to attract users and also trying
best to invest in some new features in its website and application.
Opportunities- Due to increasing number of people using internet and spending more
time on social media through is an opportunity for the company. Currently more than 600 million
users are using Facebook through mobile devices and other gadgets. The firm has a great
opportunity to create a social platform that could be utilized to display advertisement for mobile
users and enhance performance of the firm by increasing the income and profits.
Threats- In today's world of business environment, where there is an increasing trend in
hacking and theft, identity thefts is one of the most common threat on Facebook. The more
identities are stolen the more criticism the firm will receive strongly damaging its reputation and
image for inability to protect identify and information of users (Benzaghta and et.al., 2021).
However, the company is focus on this and dealing with this situation by adopting strategy such
as increasing feature which limit who sees users photo and posts and many more.
PEST Analysis

Political- In order to continue diversifying business in developed countries, the political
stability presents opportunities for Facebook. The firm has the opportunity to expand its business
by adopting ways such as social media platform and display advertising services at global level
(Alava and et.al., 2018). As government is supporting social media industry, the firm can adopt
this opportunity and expand its advertising service based on support for globalization. However,
the firm could suffer from barriers related to political aspects in china. Due to Chinese
censorship the potential; growth of the company is limited. Plus, due to increase in security
issues and data protection governments are taking initiative measures to limit online data
collection and sharing.
Economic- As we all know, in the year 2014 and even today Facebook has helped the
economy to create almost 4 million jobs. Due to increasing trend in social media and digital
marketing jobs, freelancing trend people are working on projects related to it. Freelancers and
promoters, promotes businesses through Facebook page when those businesses flourish then they
create job opportunities for people. With the help of market penetration, company is able to
grasp opportunities to expand its multinational operations.
Social- Due to social factors such as changing social trends and buying habits the
company have to keep themselves up to date. The major focus of Facebook's CEO is to promote
the business page of the firms over friends posts (Alava and et.al., 2018). Fake news, wrong
posts, advertisements have disturbed the newsfeed of billion of users worldwide. Due to this
many users have been complaining that the firm has been complaining that the platform is not
the same as it used to be.
Technology- Due to changing technology the firm has to keep themselves up to date and
keep track on technology used by competitors such as Instagram, snap chat and many more.
Among young generation, popular brand Instagram is getting more famous because it only has
short pictures and short videos which attract more users (Hajizadeh, 2019). The firm needs to
focus on these expansions strategy and data safety to attract users and protect the privacy
concerns of users from hackers.
C) The strategic tools/ techniques/ models used by the Facebook's CEO
In order to enhance the organizational performance, the CEO of Facebook plan
effectively and help firm to achieve future success, set viable goals and achieve them.

Strategic planning is a systematic process used by company to set up long term goals and
achieve objectives by prioritizing things for business. An effective strategic plan is a helpful to
outline goals and desired targets. With the help of the Balanced Scorecard model the company's
CEO and managers can get overview of their business operations on tight timelines. It is one of
the most prominent strategic planning models, which provide detailed information about
activities done by company. It considers both operational and financial metrics so that it can give
valuable context about how a business have performed previously and how employees are
working currently. By using this model, firm is able to take four concerns seriously such as
quality, time, service, cost and performance. With this, CEO of Facebook is able to highlights
goals setting and performance measurement such as how customers are viewing their business,
what are the improvement firm need to develop internal process. The firm can also find out
potential profitability and also know about organizational capacity.
VRIO framework- It is a broad range analysis which offers the company with a great
opportunity to acquires a practical competitive benefit against its competitors.
VALUABLE- It has been noted that the resources utilized by the Facebook are valuable
for the business. It includes resources such as operation management, professionals, Human
resources' management, financing and others (Miethlich and Oldenburg, 2019). In the year 2012,
Over 80% of revenue in the world of social media comes from Facebook users. The company
encourage and promote innovation and new ideas by taking risks and challenges.
RARE- the company is adopting its unique market position like other social media do not
have such a strong and healthy relationship. In addition to this, the organizational culture of the
company is unique which people will not find at other brands.
IMITATION- By evaluating the RARE resources it has been noted that Facebook
organizational culture is hard to change.
ORGANISATION- The firm maintained good business relationship to experience the
smoother operations. Hence, many of the best brands in the industry wants to start to work for
Facebook especially freelancers.
Resources Valuable Rare Hard to
imitate
Organization Implications
Relationship
with
Yes Yes No Yes Temporary
competitive

developers advantage
First mover
advantage
Yes Yes Yes Yes Temporary
competitive
advantage
Location of
headquarters
Yes Yes No Yes Temporary
competitive
advantage
Organisational
culture
Yes Yes Yes Yes Sustainable
competitive
advantage
Users of this
company feel
worse about
themselves
No Yes Yes No competitive
disadvantage
Strong
presence
worldwide
Yes Yes Yes Yes Sustainable
competitive
advantage
D) examining how the CEO of Facebook created, developed and designed strategic planning for
Facebook
As we all know every business should have a proper strategic plan so that they can
operate without issues. Likewise, other companies Facebook CEO has created its own strategic
planning. In order to be successful, CEO of Facebook have developed and designed strategic
planning in a most innovative and effective way. With the help of strategic planning the
company is able to set its forward course by bringing all of its stakeholders together. By doing
so, they are able to examine current realities and can easily define about its vision for the
successful future. By having proper strategic planning the firm is able to examine its resources
available, strengths and weaknesses too (Sasmita and et.al., 2022). The company focus on
operational planning in order to know about how things need to happen. They gather necessary
information and feedback before implementing actual planning. As per his views, all the

information must be collected in detail so that operations can be done accordingly. For example-
the circumstances under which services are to be provided, type of complaints to be dealt with
etc.
Facebook focused on identifying their current position in the digital world, as per views
of CEO of this company it is time to determine objectives that will help them achieve their goals.
The CEO says that objective of the firm be in line with mission statement and vision as well. As
per CEO, the objectives should be measurable and valuable to help employee reach long term
strategic goals. By using SMART goals the company is able to determine a timeline and also
find out the resources needed to accomplish the goals. With the help Key performance indicators
the company is able to measure success and progress (Nguyen and Adomako, 2021). According
to CEO of the company it is essential to build plan that will boost internet connectivity in various
areas and focus on strive for continuous improvement.
E)
organisational change and culture modification is one of the most typically strategic
issues which has been faced by the company. Due to pandemic, firm has to face such issues and
is currently affecting many people working in the company even today it is unresolved (Leavy,
2018). To deal with this company has to use contemporary strategic management which is a
method to strategic thinking as well as a more current view of new development. By using this
method firm is able to apply ethical consideration and management principles. The firm uses
business unit level strategy and corporate level strategy in order to achieve growth and stability
by improving its customer satisfaction and cost leadership method.
Blue ocean strategy
with the help of blue ocean strategy, Facebook bring differentiation so that they can
create awareness among young generation and people who are using social media (Carton,
2020). By using this method, firm is able to make presence in a new market place and also create
demand amongst users. With the help of this strategy, CEO of the firm focus on creating demand
in the uncontested market space rather than competing with other brands. In other words, by
using this strategy, firm is able to make the competition irrelevant and unrelated.

Using appropriate corporate examples and literature for justification 300
Illustrating various examples of companies for justifying the strategies and literature used above
Walmart recognized as retail cooperative store selling and serving large consumer with
branded products. The company is using the cost leadership strategy as for gaining competitive
advantages in the business. As by selling products by establishing low cost, also cutting the
operational cost for the serving the products. Also, spending less on the potential human
resources. Also, by cutting the outsourcing cost helps in attaining competitive advantage by
establishing the low cost strategy.
Primark is also using low cost leadership strategy, as by offering the rock cost pricing by
providing products at low cost to all the users by buying in bulk by cutting the and spending little
on the marketing and advertising of the companies products.
Ryanair is also using the low cost leadership strategy as by providing services of flight
by attaining low cost fares. As by sung this strategy helps the company in attaining competitive
advantage in surviving and sustaining position into the aviation industry with providing the
lowest unit cost of flight .
Ikea the company is recognized as the famous retailer in selling furniture to large
consumer, by using the cost leadership strategy and providing standardized products to large
consumers helps in attaining competitive advantage to the company. As by not offering
personalized products to consumers helps in attaining competitive advantages as of Selling at
low cot products.
Lidl established as the supermarket chain selling large product to users, as by
maintaining the low cost model helps in attaining the competitive advantage to the which aims in
attaining success (Top 7 Brilliant Cost Leadership Examples, 2022). Also, the company is
staffing at minimal level and offering high volume of products which helps in eliminating
additional suppliers cost.
Recommendations for FACEBOOK to sustaining its position
 As for maintaining the current position of the company and sustaining into the market
various recommendation for operating into the dynamic market condition are as follows :

 As by limiting of the various campaigns and also reducing posting the fake content helps
in attaining the quality of content to be posted n the website which attract users to sustain
with using the website as loyal consumers.
 Company must adopt various strategies as for asking improvement opinion by users with
the Facebook website. As this helps in adopting the latest trends and dynamic changing
market conditions which attract consumer as by addressing preferences helps in
sustaining into dynamic market.
 By hosting various giveaways and organizing campaigns for providing various gifts o
consumers helps in retaining large loyal consumer market for the company.
 Facebook must adopt the appropriate privacy checking tools, as this tool must be enable
by showing the privacy notices when interpenetrated by any other person. This helps in
attaining security towards the privacy information.
 Company must integrate it's the goal, mission and vision with marketing and sales team
as for increasing the user interface and engage all the department of the company as for
attaining competitive advantage and position into the dynamic market.
 Facebook must post new content and experiment with changing technological methods
and tends as of socialising and connecting to large audiences with adding new features of
making views and posting content.
 Facebook must improve the consumer services as for using the Meta platform for privacy
concern as, the tools is unable to provide adequate privacy to user of the company .
 Addressing all the needs and taking corrective action for the privacy concern is necessary
for sustaining the current position of company as relating to privacy issues.
 Establishing quick response of management and security team with top professionals for
preventing the scams and privacy issues (Liu and Atuahene-Gima, 2018.). These teams
will help company for regaining the trust.
CONCLUSION
From the above repost it can be concluded that, global strategic management is defined as
the set of actions taken as for expanding and gaining competitive advantages by sustaining
current position of business. With examining the corporate strategies CEO of Facebook uses
intensive growth strategies also cost leadership strategies. As this helps in attaining compete

advantage to business by lowering costs, developing market, developing products by explaining
the market also diversifying the features of the company.

REFERENCES
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Carton, G., 2020. How assemblages change when theories become performative: The case of the
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Hajizadeh, Y., 2019. Machine learning in oil and gas; a SWOT analysis approach. Journal of
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Khan, M. Z., Niqab, M. and Hanson, J., 2021. HRM Practices develop product differentiation
and cost leadership strategy, enabling Organizations to attain competitive advantage: A
narrative review. Pakistan Business Review. 23(3).
Leavy, B., 2018. Value innovation and how to successfully incubate “blue ocean”
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Strategic Asset: A Resource-Based-View using the Value-Rarity-Imitability-Organization
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Nguyen, N.P. and Adomako, S., 2021. Environmental proactivity, competitive strategy, and
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Online
Facebook Inc.’s Generic Strategy & Intensive Growth Strategies. 2022. [Online] Available
through:<http://panmore.com/facebook-inc-generic-strategy-intensive-growth-
strategies#:~:text=Facebook's%20Generic%20Strategy%20(Porter's
%20Model)&text=uses%20the%20cost%20leadership%20generic,to%20reduce%20its
%20prices%20competitively.>
Top 7 Brilliant Cost Leadership Examples. 2022. [Online] Available
through:<https://mktoolboxsuite.com/cost-leadership-examples/#:~:text=A%20company
%20pursuing%20a%20Cost,%2C%20RyanAir%2C%20Primark%20and%20IKEA.>