Global Strategic Management Report: Facebook, UoS, Semester 2

This report provides a comprehensive analysis of Facebook's global strategic management, examining its business and corporate strategies, including Porter's generic strategies and the BCG Matrix. It delves into the internal and external environment through PESTLE and VRIO analyses, and explores how Facebook's CEO managed complex problems. The report also describes strategic tools like the McKinsey 7S model and gap analysis to enhance organizational performance. Furthermore, it examines concepts and models used in strategic planning and evaluates contemporary strategic issues. The analysis covers various aspects of Facebook's operations, from cost leadership and differentiation to vertical and horizontal integration, providing insights into its strategic approach and recommendations for future development.

Global Strategic
Management

Executive Summary
Global commercial enterprise way that type of employer that has been running
everywhere in the international with reason to generate profit. Porter's normal version and BCG
Matrix are used for framing techniques that makes contribution executed with tremendous
consequences of commercial enterprise. Then comes PESTLE evaluation that enables upon
knowledge outside elements impacting boom of commercial enterprise on huge scale. Further,
Mckinsey 7s version and hole evaluation are the ones fashions which are relevant for knowledge
approximately overall performance of an employer with numerous additives of commercial
enterprise and competencies inside an employer.

Table of Contents
Executive Summary.........................................................................................................................2
INTRODUCTION ..........................................................................................................................1
MAIN BODY...................................................................................................................................1
TASK A...........................................................................................................................................1
Examine the business and corporate strategies about the positive contribution to the company.
.....................................................................................................................................................1
TASK B...........................................................................................................................................3
Illustrate the internal and external environment analysis and understand how the complex
problem at Facebook were managed by CEO. ..........................................................................3
..........................................................................................................................................................6
TASK C...........................................................................................................................................6
Describe the strategic tools to enhance the overall organisational performance........................6
TASK D...........................................................................................................................................9
Examine the concept and model to develop and design the strategic planning..........................9
TASK E..........................................................................................................................................11
Evaluate the various contemporary strategic issues in strategy by using concepts and model.11
CONCLUSION..............................................................................................................................13
REFERENCES .............................................................................................................................14

INTRODUCTION
Global commercial enterprise method the ones components that's associated with global
change and international assignment that facilitates in making commercial enterprise operations
carried out at international degree. The decided on enterprise for this document is Facebook this
is an American social media and networking offerings that's being controlled and based through
Mark Zuckerberg in February 4, 2004. Also clarification over inner and outside commercial
enterprise surroundings has been defined. Further, strategic gear has been defined with over all
overall performance inside an enterprise which examines approximately version and
improvement associated with strategic planning. Then it covers approximately company degree
strategic plan supporting in comparing approximately companies operating for an enterprise. In
then give up advice has been supplied with suggestions.
MAIN BODY
TASK A
Examine the business and corporate strategies about the positive contribution to the company.
Business strategy
It is based over those perspectives that relates upon managing various aspects of
organization used in order to plan certain aspects helping in accomplishment of goals and
objectives with effectiveness(Aithal and Aithal, 2019). This makes directions to be followed
within an organization. They are used for applying of general directions set for making
organizations perform functions with positive approach. In context of organization like Facebook
various strategies are based upon international business performance which has been discussed
as follows
Porter's generic strategies
These are model that has been used for generating benefits which makes identification
performed for attaining competition edge within market. These are mainly related upon
identifying of orders which is used to meet competition edge with existing market. There are
mainly three kinds of strategies that has been discussed regarding Facebook as follows:

 Cost leadership: The strategy has been used by customers makes prices and services
developed by Facebook. Also it relates with various offers regarding subscription upon
internet.
 Differentiation: This strategy makes organization offer innovation with offer over
advance products which helps upon developing brand operating with social media and
networking business. Facebook has launched products like Instagram making success
attained by an organization.
 Focus: The strategy is used for developing ficus upon different segments regarding cost
and differentiate with focus. Facebook must offer services with low price forming
innovation regarding specific group.
The BCG Matrix Model Global business means those aspects which is related to
international trade and global venture that helps in making business operations conducted at
global level. The selected organization for this report is Facebook that is an American social
media and networking services which is being managed and founded by Mark Zuckerberg in
February 4, 2004(Aithal and Aithal, 2019). This is an global business entity that has been
operating business all over world for connecting people with each other. Boston Consulting
group relates over growth sharing model which is used for developing of product and services
present within an organization helping over directing selling and investment services in an
organization helping in directing investment practices. In relation to Facebook the category has
been discussed as follows:
 Star: This relates with products that leads upon making high growth and market shares
developed. In relation to Facebook, Instagram upon star products that are having high
market shares. According to the category SBU has been growing over developing user
upon 700 million active users upon monthly in coming two years.
 Question Mark: It has been developing shares that make growth within within market
possible. Facebook has Oculus upon virtual reality regarding hardware and software
products. In this huge investment is based upon developing research and development
that is based upon making success achieved more effectively. According to report of
NYTimes Zuckerberg planning for making investment of $ 3 billion within coming
decade helping in increasing user percentage.

 Cash Cows: The leaders has been making cash which leads upon consuming high market
sharing over growth in market. WhatsApp making category by investing within demand
of customer. This makes development of product possible on large scale.
 Dogs: According to category of business low growth within market and market shares
leads over making outcomes achieved by using WhatsApp and the app like messenger
seems useless.
Vertical and Horizontal Integration Model
Vertical Integration means those strategy which is used for operating operations through
direct ownership of regarding various stages of production based upon suppliers over
contractors. Facebook uses integration that has been ensuring about business operation which is
held for an organization. It is used for making business operations conducted on large scale
making organization developed more effectively(Bonsu, 2019). This is based upon making
backward integration over which ownership has been controlling products on early stage of
supply chain . This makes integration expand over accessing control with distribution process
with finished good. The strategy helps upon making Facebook making supply chain in effective
way in market.
Global business means those aspects which is related to international trade and global
venture that helps in making business operations conducted at global level. The selected
organization for this report is Facebook that is an American social media and networking
services which is being managed and founded by Mark Zuckerberg in February 4, 2004. This is
an global business entity that has been operating business all over world for connecting people
with each other.
TASK B
Illustrate the internal and external environment analysis and understand how the complex
problem at Facebook were managed by CEO.
PESTLE analysis
PESTLE analysis means the tool which is based upon framework that relates over factors
helping in analysing factors by impacting over all business functions. In relation to Facebook
various aspects has been discussed as follows:

Figure 1, Scanning the Environment: PESTEL Analysis, 2016
 Political factors: Facebook is leading communication that has been used by politicians
over developing of ideas and vote regarding them(Chofreh and et. al., 2020). This leads
upon making targetted audience promoted with message over Facebook and political
leadership making focus attained over Facebook.
 Economic factors: This makes business operations conducted which makes customers
contribute towards brand value of Facebook that is worth 47.3 billion.
 Social factors: Facebook helps upon making individual over staying in touch with
friends relatives across glob with internet. This becomes small business for promoting
products more effectively.
 Technological factors: Facebook uses it services and programs making language an tool
used for developing infrastructure with unique technology. As per this LAMP is used
which stands for(Linux, APache, MySQL, PHP).
 Legal factors: There are various aspects of law that has been used upon controlling and
working of social media platforms. Facebook makes communication and criminal justice
helping upon controlling smart phones for an individual.

 Environmental factors: Facebook has lead upon making people change with
opportunities making socialization possible by clearing all doubts of people for knowing
news. Also socialization of people helps upon clearing doubt which makes business
known about news.
VRIO framework
The framework relates over those aspects which is used in order to develop value, rarity,
immutability within an organization (Duhaime, Hitt and Lyles eds., 2021). This leads towards
analysing of internal capabilities which is based over resources regarding themselves. In context
of Facebook different factors has been discussed as follows:
Figure 2, VRIO: From Firm Resources to Competitive Advantage, 2016
 Valuable: Facebook relates over making global market developed upon various aspects
within an organization helping in generating revenue. The level of profit achieved is
based over competitive advantage over competitors in market. The benefit of top leading
brand within world is developed by Facebook.
 Rareness: Facebook makes operation upon large scale over large audiences and financial
strength observed with organization resources. This makes operations of business
conducted on large segments making revenue generation possible. It makes profit ratio
uplifted in effective way.

 Imitable: Facebook means those perspectives which deals with revenue generation
helping in making profit increased for an organization. It helps upon creating brand
awareness regarding Facebook making copied done over phone till. This is responsible
for making success developed with Facebook.
 Organization: This is an important organization which is based over organizing of
resources in effective way. The organizational culture and human resource management
of Facebook has been organizing proper hierarchy over recruiting person and provide
them better working conditions.
TASK C
Describe the strategic tools to enhance the overall organisational performance.
Gap Analysis Model
This version is used for assisting in evaluating of real overall performance which makes
preferred effects performed. The technique has helped over figuring out strategies, structure,
capabilities, technologies, abilties assisting in assembly out strategies, structure, capabilities,
technologies , abilties assisting them over assembly dreams and goals of an organization. In
relation to Facebook, McKenzie’s 7S version and Ansoff matrix are carried out over hole
evaluation making making preferred overall performance performed which has been mentioned
as follows:
McKinsey's 7S model

This framework over helping and understanding about organizational design by
identifying with seven internal elements of Facebook that has been discussed as follows:
Figure 3, McKinsey 7S Framework, 2018
 Strategy: The plan has been formulating inside an business enterprise that makes
aggressive gain achieved(Maté, Trujillo and Mylopoulos, 2018). Facebook does now no
longer have suitable approach making troubles solved with purchaser dissatisfaction with
revenue.
 Structure: This is primarily based totally over explaining approximately hierarchy
making commercial enterprise unit and branch operating. Facebook does now no longer
have right shape main closer to decreasing performance inside an business enterprise.
 Systems: This is primarily based totally over manner making goal to finish making
operations done extra effectively. It enables upon making sure higher gadget control with
the aid of using imposing any organizational alternate making Facebook preserve
marketplace extra effectively.
 Skills: This is primarily based totally upon competencies of personnel that has been
operating for Facebook and permitting personnel abilities stepped forward with

complicated situation. Style: In this fashion it's been accompanied with the aid of using
leaders of Facebook, Mark Zuckerberg has been following transformational management
fashion which makes them competitive and assertive over alternate.
 Staff: These elements is primarily based totally over making range of personnel
operating with Facebook. This is primarily based totally upon schooling and praise
control for them. Shared values: This is the middle of this version which incorporates the
norms and requirements That have to be accompanied with the aid of using the Facebook
to recognize the conduct of personnel.
Porter's five forces
This is strategic framework which enables in making strategic selections shaped over
reading destiny outcomes(Pessima and Dietz, 2019). In context of Facebook diverse factors has
been mentioned as follows:
 Threat of recent entrants: As in keeping with this excessive chance over new
companies as over Facebook leads upon making companies function at international
stage which isn't always feasible for brand spanking new investors making funding
accomplished over operations on international scale which isn't always feasible for brand
spanking new investors.
 Bargaining strength of providers: There are diverse companies that has been working
inside social media and networking making company like Facebook main company
inside global that has been working over specific merchandise covered with Instagram,
Messenger, WhatsApp. Thus bargaining strength of providers has a tendency to broaden
CEO for making aggressive pricing with offerings finished greater effectively. Thus, the
bargaining strength of provider is have a tendency to realize due to the fact the CEO is
giving aggressive pricing in the direction of offerings through which they keep with them
in lengthy run.
 Bargaining strength of buyers: As of now people are related with Instagram, Facebook
and WhatsApp it grow to be very hard for an man or woman to get out shape such things
as making reels and exploring Instagram all day which makes bargaining strength of
provider excessive inside market.

 Threat of substitutes: There are alternative that's associated with social media structures
and social networking as human beings makes direct touch feasible over chance and
alternative for Facebook converting conduct of human beings.
 Rivalry among current competition: There are many competition who're working in
social media structures that consists of Twitter, Snapchat, Pinterest and so on(Ramaru,
Garg and Chakraborty, 2022). Thus, the chance from aggressive corporations is excessive
because the competitors can alternate their offerings and operations as for the
contemporary traits of the market
TASK D
Examine the concept and model to develop and design the strategic planning.
SWOT Analysis
Strengths Weaknesses
 Facebook holds segregation with one-
of-a-kind programs and on line sites.
 The enterprise with the apps has been
supplying quality revel in to
customers which makes it pinnacle
logo throughout world.
 The largest weak spot posses via way
of means of Facebook is its CTR
advertisement.
 The enterprise lack custom designed
web sites that has made them
vulnerable inside market.
Opportunities Threats
 As human beings has been growing
using Facebook has extended over cell
phones.
 The are having variety over reasserts
of sales and makes. Facebook open to
marketplace.
 Increase in variety of mobiles over
net customers which grow to be
hazard concerning Facebook.
 They are growing vulnerable
commercial enterprise version
supporting in maintaining inside
market.

Ansoff's matrix
The model is strategic tool helping in planning regarding manager is applied and right
strategy over growth is developed. In relation to Facebook various strategies has been discussed
as follows:
Figure 4, Strategic Growth with the Ansoff Matrix
 Product development: This approach is primarily based totally upon introducing of
recent product inside marketplace want to appeal to clients of present marketplace
(Rudaya, 2019). This makes Facebook uplifts revenue.
 Market development: This approach has been introducing over present product inside
marketplace over uplifting client primarily based totally of Facebook. This enables upon
growing client base for Facebook. It will increase profitability for an employer.
 Market penetration: The approach inside an employer used for boosting stocks over
present merchandise inside marketplace. An employer over decreasing fees over
presenting complimentary offerings for growing stocks inside marketplace.
 Diversification: This primarily based totally over chance approach inside which new
product is released in new marketplace. Facebook has include new product and leads
upon upon massive loss for an employer. It enables in making product assorted as
consistent with marketplace and its trends.

From the above of discussion, it is being said that The CEO of Facebook want to apply
product development technique with with inside the global market as people are becoming
greater attractive with the social media which help them to generate greater revenue.
Performance Indicator and key risk indicator: It is essential for the enterprise to research
its common overall performance so that you can make the desired change with inside the
employer (Schühly, 2022). Risk is the element this is associated with the corporation so it is
essential to research the vital element indicator which help them to hold its corporation in
massive market segment. In context to Facebook, there are symptoms and symptoms which help
in reading the general overall performance and the risk associated are given below: KPI- It is the general overall performance indicator tool which help in reading the actual
and the choice common overall performance of the commercial enterprise corporation
simply so deviation can be diagnosed through manner of way of the manager and they
may further rectify them. This lets in the Facebook to feature its function to gain the
desired outcome.
 Bench marking- It is refers to the necessities and the nouns this is being formulated
through manner of way of the commercial enterprise corporation and people are the
foundation of any businesses Which help them to perform its corporation with inside the
right manner and gather a higher profitability with with inside the ethical direction.
TASK E
Evaluate the various contemporary strategic issues in strategy by using concepts and model
Resource based view strategy
This is primarily based totally upon growing of managerial framework which leads
toward having access to of aids using business enterprise with attitude upon growing techniques
reasserts inside an organization. It refers to the managerial framework that is being accessed with
the useful resource of the usage of the business enterprise for you to recognize the strategic
reasserts of the organization for you to get the Competitive advantage and large with in the
market(Shaulska and et. al. 2021). Basically, there are styles of reasserts which can be tangible
and intangible. Tangible reasserts encompass the building land machinery, gadget and so on.
Whereas the intangible reasserts encompass the change mark and goodwill of the organization.

In context to Facebook, the ones reasserts are managed with the useful resource of the usage of
them with the intention to ensures the higher business business enterprise operations and income
to them.
Figure 5, Resource Based View, 2013
Corporate degree strategies
These are the strategies it's used by the leader of the employer to outline, outline and
advantage the overall aim of the employer. In context to Facebook, there are tremendous
strategies with the resource of the use of which, they might increase its business agency with
within the international market which may be described as follows:
 Joint Venture: It is the economic agency affiliation in which the two or extra-business
agency come together to use its belongings for the simplest aim of accommodating the

specific task(Westney, 2021). In context to Facebook, they might get extra blessings to
increase its business agency with within the worldwide market.
 Strategic Alliance: It is the affiliation among extra companies a very good manner to
undertake a together beneficial task which maintain its independence it's far and it's far a
whole lot much less complex and lots much less binding than the joint venture.
 Acquisition: When the employer purchase the share of every other employer to gain the
manage over it then it's far referred to as acquisition of firm. This permits the small
business agency to get increase with within the large market and generate revenue.
Suggestions and guidelines It is recommended to the corporation to use the Product
development technique at the manner to growth their income and in addition it moreover
suggested to get the access have customized net web page and strong agency model at the
manner to hold with within the market for prolonged period of time. Moreover, it's far suggested
to the corporation to have clean accessibility and the guidelines and the guidelines to use their
software program at the manner to growth the client base and continuing to be the principle
corporation in social networking.
CONCLUSION
It is concluded from the event record that without adopting a selected method a business
agency cannot expand its business agency with within the international market. With the
assessment of porter's acquainted and BCG matrix, an enterprise helped themselves to frame the
strategic to have the excellent results. Pestle assessment and VRIO model is being used to
analyze the impact of outdoor environment on the overall functionality of the economic agency.
Moreover, McKenzie 7S and hollow assessment model is being used by the enterprise agency a
good way to study the property and the talents of the enterprise agency. SWOT assessment and
Porter's 5 forces is being used to frame the method planning for the economic agency. Key
standard overall performance indicator and bench marking are the symptoms and symptoms to
analyze the general overall performance and danger for the enterprise agency

REFERENCES
Books and Journals
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and its future.
Pessima, J.D. and Dietz, B., 2019. Global strategic planning. The Wiley handbook of global
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(IJCAC), 12(1), pp.1-18.
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in International Business.
Shaulska, L and et. al. 2021. Strategic enterprise competitiveness management under global
challenges. Academy of Strategic Management Journal, 20(4), pp.1-7.
Westney, D.E., 2021. MNCs and cross‐border strategic management. Strategic management:
State of the field and its future, pp.301-318.