Analyzing Facebook's Global Strategic Management: Business Strategies

This report provides a comprehensive analysis of Facebook's global strategic management, focusing on the business and corporate strategies employed by its CEO, Mark Zuckerberg. It delves into both external and internal environmental factors using tools like PESTLE and SWOT analysis to identify opportunities and threats. The report describes the strategic tools used by Facebook's CEO and how strategic planning is created, developed, and designed within the organization. It evaluates contemporary strategic issues and synthesizes different levels of strategy used by Facebook. Furthermore, the report offers recommendations to address challenges and improve future performance, emphasizing the importance of adapting to changing market dynamics and maintaining a competitive edge in the global arena. This document is available on Desklib, a platform offering a wide range of study resources for students.

GLOBAL STRATEGIC
MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY ..................................................................................................................................4
BUSINESS AND CORPORATE STRATEGIES...........................................................................4
EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS...............................................5
Describing the strategic tools used by the CEO of Facebook......................................................7
Explaining how the CEO of Facebook has created, developed and designed the strategic
planning........................................................................................................................................7
Task E evaluate the different contemporary strategic issues in strategy, synthesizing between
the different levels of strategy used by the CEO of FACEBOOK..............................................8
Other business examples .............................................................................................................9
RECOMMENDATION.............................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Strategic management is defined as the processes of planning, organizing, staffing,
checking and controlling the function of the organization. By doing this it will help the
organization to work in the effective and in efficient way. The strategic management is the main
and important factor that used to provide the company to gain the competitive advantages in the
national and in international market as well. This used to provide the delivering the proper
direction which helps them in order to make the customers and employees satisfied in the
working (Vlados and Chatzinikolaou, 2019). Furthermore, it used to provide the vision and
mission of the company by collecting all the information and also by developing the action plans
for the company.
The current report is based on one of the famous organizations named as Facebook which
is American social media platform which was founded by the business entrepreneur Mark
Zuckerberg. The cited organization is covering various areas of the world by having the 2.85
billion of the monthly active users. In the current world every person is active on the digital
platform like Facebook. The person in the national and in the international market are basically
depended on social sires like Facebook and many more. The person used to allow and share the
various photos, videos and used to communicate with person available in the national ans well in
the national market. By having this organization helps the person to have in touch with the others
and keep themselves updated in order to take the information by using the app.
The current report will outline the business and cooperation strategies utilized by the
CEO of the Facebook. Further this report will outline the external and internal environment
analysis and will also determine the problems, issues and challenges faced by the organization.
This report will also outline the various the tool, techniques, model used by the Facebook used
by the CEO of the company for the effectiveness. This will help the company in order to improve
the performance and productivity. This report will also describe about the development of the
plans of action for the organization growth and the performance. The report will further provide
the recommendations to the organization which helps them to cope up with the problems and
also to deal with the upcoming problems in the future.

MAIN BODY
BUSINESS AND CORPORATE STRATEGIES
A business strategy refer to the set of practices that how an organization plans to compete
in the market while corporate strategy pays attention on the market in which the company wants
to make its entry and cope up the competitors. Business and corporate strategies of Facebook ltd
are as which turned out gains for the entity-
Extensive and continuous focus on the experience of users- For hiking higher growth
Facebook keeps its attention on the experience of the users, how do they feel while using its
services and time to time it offers new features which kick off the growth. As per their
requirements the company is also providing customized options so can build up strong customer
relationship.
Growth via acquisitions- The business strategies of CEO are considering acquisitions as the
main feature. The company purchased Oculus VR, WhatsApp inc. Messenger and many more so
can eradicate such competitors and go for higher growth. It raised the revenues in 2015 by 44%
(Abuhashesh, Alshurideh and Sumadi, 2021) Major acquisitions are not only eradicating
competition but also paving way for notching up higher market share with greater impact. The
unexpected surge in the revenues of the organization specifically in 2015 is a living testimony of
such success.
New product development- It timely revises and introduce new products like the portfolio
consists News feed, Messenger, Groups, Events, Video, Photos, Search, Pages, Instagram, etc.
which is surging the number of people connected to the organization. With new products it is
also improving previous products with greater rate. Like new features added in Instagram and
Facebook attracted more people, and growing market will be resulting in higher revenue.
New ways of monetization- The company is continuously paving the way for different sets of
strategies so can utilize them as per their suitability and can find new ways for monetization.
Paying more attention to advertisement it got 63% more revenue in 2016 (Suico, 2018.).

Changing priorities of extending services helped the organization as per the requirements and
market opportunity it is making valuable shifts.
The above mentioned business and corporate strategies are helping Facebook not only in
grabbing higher growth but also enabling it to perform immense in the market where other tech
giants like Google are placing big challenges before the organization.
EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS
Internal factors- SWOT analysis for Facebook Ltd-
Components
Strengths  High number of users.
 Strong image among the users
 Well-managed website and app.
 Good at dealing with internal issues.
Weaknesses  Some features are not much good.
 Over dependence on advertisement for revenue generation.
 Users privacy issues.
 Lack of website customization feature (Kišić, 2020.)
Opportunity  Higher number of users open new windows of opportunity.
 Grabbing the Chinese market.
 Expand the source of revenue.
Threats  Due to data privacy issues a big number of active users are taking
distance.
 Less contribution of other sources of income besides Advertisement.
 Business model is not much appropriate in all the markets.
External environment – PESTLE Analysis
The PESTLE analysis used to show the macro picture of the industry and helps the
company to know about the macro environment. This will used to show about the political,

economic, social, technological, legal and environmental factors that used to affect the company.
The PESTLE of the cited organization is as follows:
Political factors: The organization used to provide the complete autonomy to its users to
have the post and share whatever they want. The rise in the popularity in the online platform has
attracted the many users, new organizations to have reputation in the market. In order to expand
its company the organization must focus on the political factors which may not affect the
profitability of the business.
Economic factors: the cited organization must enjoy the profits by acquiring the market
as the small and large companies use Facebook for the advertisement (Namugenyi, Nimmagadda
and Reiners, 2019). As the organization is developing in the market and having the sufficient and
efficient profit which helps them to grow in the competitive market.
Social factors: The use of the mobiles and smartphone all over the world makes the
company to have the more targeted customers in the market. This makes the company to do
various innovation in order to stay connected in the market and makes the people attract towards
the use of Facebook. The expansion of the business allows the used to share the individual ideas
which keep spreading positivity among the people.
Technology factors: The organization must have the new and innovative technology
which helps the company to grow in the market. As there are many other different firms which is
the tough competitors so the company must do the innovation by using the innovative
technology.
Legal factors: by making the new rules and regulation of the countries increasing the
difficulty foe the company in order to manage the new rules and regulations in the market
(Westney, 2021). By having the new laws and regulation this will make the organization to not to
share the information in public.
Environmental factors: The organization is making the customers to know about the
safety of the environment by using the various post on the app. As the in order to operate the
Facebook app the people are required to have the internet. The pillars of the internet connection
used to affect the environment. The organization must focus on this factor in order to operate
flexibly in the global market.

Describing the strategic tools used by the CEO of Facebook
The organization can use the various tools and techniques in order to manage the work in
the organization. If the organization is to have and gain the competitive advantage in the market
they can use the various strategic tools the Michael strategy, Blue Ocean strategy, etc. by using
the Michael Porter model of the strategy helps the organization to increase the growth of the
company ion domestic as well as international marketability. By using this strategy it will help
the organization in order to minimize the cost as compare from its competitors. The cited
organization used to connected by dong some innovation which helps them to have the target
customers (Shtal and et.al., 2018). The company used to satisfy its customers by providing them
the new and innovative services.
The organization can also use the intensive strategy which helps the company to have the
continuous and positive growth in the market. The cited organization is having the various asset
which helps them in order to have the effective work in the market. The organization is
developing the grate bond with the user which utilized the Facebook for the promotion of the
business. Market development is another strategy which the organization is using for scaling up
the growth of the company in the large market. The organization used to develop its business
relationship with the many the firms which helps them to operate by having the good profit in the
market.
The another strategic tool that the business can use is the diversification which helps the
organization to have the new and diverse features in order to attract the customers. For example,
the organization can use the blue ocean model in order to start its business in the area where
there is no competition. By this it helps the organization in order to determine the area of the
improvement by taking the feedback from the people who are using this app (Hans, 2018). As
the CEO of the Facebook has purchase the various other firm that are what's app and Instagram
which helps the company to enhance the features and reputation of the firm in the competitive
market.
Explaining how the CEO of Facebook has created, developed and designed the strategic planning
The CEO of the Facebook has created and developed the various strategic tools which
helps the company to have the best strategic planning in the organization. The main aim of the
organization is to provide the satisfaction to the customers and the working staff of the
organization. As the company used to lead in the competitive market it has to do the market

research in order to satisfy the changing needs and wants of the customers in the market. By
having the research it will help the organization in order to determine and attract the large
numbers of the customers in the competitive market (Căpușneanu and et.al., 2021). By this the
organization formed the team for executing the plan that has created by the CEO in the right and
well- mannered. This will help the organization and its employees in order to formulation of the
new rules and responsibilities in order to have the research in the market. By this it will help the
CEO of the company to maintain the values and satisfy the needs of the customers. Further this
the organization can take the information from the employees of the cited organization those are
working on the different management levels of the company (Kreutzer, 2019). This will help
them to know about the in effectiveness of the employees of the organization. Further, the team
made by the CEO used to start by taking the reviews from the customer. This will help the CEO
of the company to create and develop the new and innovative strategies which will help the
company to grow and have the good profitability in the market.
Task E evaluate the different contemporary strategic issues in strategy, synthesizing between the
different levels of strategy used by the CEO of FACEBOOK
Innovation and technology strategy
Facebook is recognized as the Most Innovative Organization due to Facebook's continuous
innovation and technology. The Facebook is acquiring the domestic as well as international
marketplace by satisfying the large numbers of the customers with the innovative ideas and the
features. Organization is accomplishing the goal and success through innovation follow the tastes
and preferences of the business in completely different ways. Make sure the organization gains
profit and growth in the national and international markets. With that, Facebook faced various
problems while effectively innovating Facebook features in a unique way. The goal of changing
Facebook features is to provide something unique to users and delivering the better experience
on Facebook. While in functional innovation, the organization has no idea how to invest in
successful innovation for increasing the value and profitability of the company (Pessima and
Dietz,2019)(Henry 2021).. While innovating ideas, the organization faces many competitions
and competitors in the market. The organization can afford to build or evolve new features or it
is the same market but with uniqueness. To innovate the company's products and services, Mark
Zuckerberg started focusing on the functionality of Instagram and trying to stay updated on

Facebook because people like to spend most of their time watching the reels. This has created
confusion for users and discomfort when using Facebook with Instagram. Facebook's users find
it difficulty in utilization of all the features together, and privacy issues have increased as a result
of the new terms and conditions for dominant Facebook. Account. As a result, this organization
is facing a drop in the market value of Facebook as users have started to switch to different apps
or brands like snap-chat and tiktok which are very creative and care about privacy user privacy
appropriately.
Resources based strategy
While Facebook uses a resource-based strategy, it is difficult for organizations and worker to
implement action plans accordant to individual tastes and preferences. The organization operates
globally, so it is fashionable for an organization to do market research (Ansoff and et.al 2018).
Presently, this organization has billions of users around the global, so it is quite difficult to
satisfy the needs and wants of every individual or user in the social class. For this, the
organization implements new technologies within the establishment that bring about
modification in the organization's surroundings that are not yet recognized by all individual
worker. As a result, some employees find effective and some workers dissatisfied.
Other business examples
As per the points (Kangand Hwang, 2018) of Technology and innovation strategy is one of the
effective plans of action that an organization can use appropriately. Innovation and technology
create new market values. While many other organizations love instant chat, Titoki also uses this
strategy to increase brand value in the market. In these action plans, the organization constantly
innovates products as well as services to provide better services than before, which also increases
consumer stratification. In the view of (Bindra, Parameswar and Dhir 2019) , a resource-based
strategy is a plan of action that outlines the possibility, or competitive advantages, that make
business enterprises unique from each other. Through research , the organization identifies
resources or employee preferences and preferences that are appropriate to address customer
satisfaction issues This strategy is practices by rival other by the organization, for illustration
twitter, Pinterest, we-chat and.

RECOMMENDATION
After analysing the strategies and management of the organization, it is essential to recommend
the points that help the organization to face the difficulties, problems, challenges and achieve
success in the market . Recommendations are made as follows:
 A Facebook organization should direct on the belief and notion of its users to render
applicable feeds and content on Facebook.
 Executives should supply effective means for employees to increase individual
engagement and interest in the workplace.
 CEO Mark Zuckerberg needs to get rid of extraneous features that are overlooked and
ignored by consumers.
 Along with that, the organization must provide innovative features other than Instagram,
Whatsapp and other social media platforms.
 Furthermore, organizations should focus on privacy and provide appropriate safety
systems for users, allowing users to share their personal information with specific people
according to their desire.
 Along with that, the Facebook should strengthen the fake accounts that have been
identified or limit the accounts that spread negativity among the people in the name of
religion, belief, moral values, race, gender , region, culture, education, etc.
 In addition to all of this, Facebook should improve the facilities of the help centre and
provide instant bidding features to users (Lasserre, 2017) .
CONCLUSION
From the above report it will be concluded that Facebook organization is one of the leading
company in the international market as it is offering various services to the million billion people
in effective as well as efficient manner. The presented report acknowledge that the Facebook
company continuously acquire the success by satisfying the large numbers of the customers. On
the other hand apart from the consumer it is essential to satisfy the employees of the organization
as they are working as the assets of the organization. In order to increase the value of the
company the organization should continuously work on the different plans of action in effective
as well as efficient manner. The presented study highlighted some theories that the organization
considered for the increasing the growth of the company such as intensive growth strategy,
resources based, innovation and technology strategy etc. the report also shade a light on the

challenges and the issue the company face while innovating the features and adopting different
plans of action. After all the company is able to deal with challenges for the forthcoming
Moreover, the report highlighted the point as per the research for the improvement and better
performance of the company in the domestic as well as continental marketplace.

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