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Case
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Reference no. 9-808-128
Prize winner
Subject category: Entrepreneurship
Published by:
Harvard Business Publishing (2008)
Version:
20 March 2014
Revision date:
10-Apr-2014
Length:
41 pages
Data source:
Published sources

Abstract

As Facebook topped one billion monthly users in October 2012, the online social network continued to face questions about how best to monetize its surging traffic. The company could invest further in new advertising products, which represented the majority of the revenue thus far, or concentrate on the Facebook Platform and help third-party developers create and distribute their own applications. After a highly anticipated yet largely disappointing initial public offering (IPO), Facebook's stock price steadily declined. It became critical for the Facebook team to identify sustainable growth opportunities, particularly as more of its user base accessed the site via mobile devices.

Teaching and learning

This item is suitable for postgraduate and executive education courses.

Topics

Information technology; Social networks; Advertising media; Internet; Platforms; Entrepreneurship; Competition; Competitive strategy; Network effects; Networking

Setting

The events covered by this item took place in 2009.

Geographical setting

Region:
Americas
Country:
United States

Featured company

Company name:
Facebook
Turnover:
USD 300 Million
Industry:
Social media

Featured protagonist

  • Mark Zuckerberg (male), CEO

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