Corporate Strategy Analysis: The Facebook-Cambridge Analytica Scandal

This report provides an analysis of Facebook's corporate strategy, examining its growth strategies and market positioning within the social media landscape. It delves into the Facebook-Cambridge Analytica data scandal, exploring the breach of user data, its political implications, and the subsequent public and regulatory responses. The report highlights the scandal's impact on data privacy, business ethics, and Facebook's reputation. It discusses the issue's significance at a corporate level, raising questions about data security and the need for robust data protection measures, including the adoption of the Data Protection Act. The conclusion emphasizes the scandal's role in shaping discussions around data privacy and security within the industry.

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Facebook: Company Overview
Facebook is a social media social media and networking site, which is based in
California, Menlo Park. Facebook was a creation made by Mark Zuckerberg and some of his
roommates and friends from Harvard. The membership on Facebook was earlier limited to
people in Harvard, but later it expanded over to various institutions. Since 2006, Facebook
became open for people to join and be a part of networking with the eligibility door joining as 13
years and above (Facebook.com, 2020). However, come countries have their own laws. Social
media and networking, on Facebook can be done from various platforms, with the access of
internet. One has to create a profile and reveal the necessary information, after which he or she
can use Facebook as a medium for social networking.
Corporate Strategies and Positioning
Facebook is a company which follows generic as well as intensive growth strategies.
These strategies have enabled Facebook to reign in the market and gain competitive advantage
(Koch and Gyrd-Jones, 2019). The accessibility and use of Facebook as social media is
widespread. The organization has been able to capture the market despite giant forces like
Twitter, Google, Snapchat operating in the market. These have been achieved by Facebook, by
following the generic strategies. On the other hand, by following the intensive strategies,
Facebook has tried to make deeper penetration in the market in order to expand rapidly. The
company is the leader in the social media and networking services industry and keeps the
environment heavily dominated with its strategies, developments and tactics.
Issue

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The Facebook–Cambridge Analytica data scandal was a controversy which sprang up in
2018. It came to the lime light as it was realized that Cambridge Analytica collected personal
information and data of Facebook users which were used for political aims and campaigning.
This breach of privacy was questioned by a security researcher, which was later out found out to
be a means of importuning data, information and contacts, in order to influence the responses,
behavior and thoughts of people politically. The first report on the matter was done by Journalist
Harry Davies, which was later reported and investigated by several people and gashouses, even
though Facebook kept shit on the matter.
Analysis
The Cambridge Analytical scandal came to the forefront after a sting operation was
conducted and some senior executives were seen claiming and exclaiming with pride, having
been able to influence people’s mind with campaigns and circulation of fake massages, based on
their personal data. This gained immense popularity and negative responses about Facebook,
which is the leader in the industry concerning privacy of data and personal information of the
millions of users. There were several claims that these data were used to manipulate behavior
and responses of the users’ psychographically, in favor of Trump during the elections (Meredith
2020). However, Cambridge Analytica denied such allegations and the usage of data to build
pro-Trump campaigns. There have been several interpretations and versions of the claims made
by the parties involved in the issue.

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This is issue at the corporate level strategy have been very significant as it has raised
important and pertinent questions about privacy of data on Facebook and social media sites, as
several email IDs and its contents could also have been accessed easily, for manipulating people
and their choices. The senators urged to the founder of Facebook, Mark Zuckerberg to present in
front of the Congress about the privacy which it has to offer to the users, after the case came to
the limelight. It was only after the Facebook Cambridge Analytica Tool incident that there were
more questions about privacy and security on social media, as information get misused for
various purposes. Thus, it necessitated the protection of private information and data, which
cannot be accessed or manipulated for any intention. The Data Protection Act, was adopted soon
after, to gain trust of the users and secure the position which Facebook has secured in the
industry.
Conclusion
The Facebook Cambridge Analytica scandal was one of the most famous scandals, which
posed serious questions about privacy and security of personal information and paved way to the
introduction of the Data Privacy Act.

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References
Meredith, Sam. 2020. "Here's Everything You Need To Know About The Cambridge Analytica
Scandal". CNBC. https://www.cnbc.com/2018/03/21/facebook-cambridge-analytica-scandal-
everything-you-need-to-know.html.
Bibliography
Koch, Christian H., and Richard I. Gyrd-Jones. "Corporate brand positioning in complex
industrial firms: Introducing a dynamic, process approach to positioning." Industrial Marketing
Management 81 (2019): 40-53.
Facebook.com. 2020. "Facebook – Log In Or Sign Up". Facebook.Com.
https://www.facebook.com/.