Dating site market analysis

Based on this element of the Five Forces analysis, competitive rivalry is a major consideration in Facebook Inc.’s management and strategic formulation. The following external factors lead to the strong force of customers’ bargaining power on the company’s social network and related services: Facebook provides social media services to its members/users.However, advertisers are the company’s primary source of revenues.Thus, the external factors in this Five Forces analysis highlight the need for strategies and management approaches that continually satisfy customers of Facebook’s social networking website and mobile apps.This recommendation can help retain clients and market share.The following external factors lead to the moderate force of competitive rivalry against the company: There are only a small number of companies that offer online display advertising services similar to that of Facebook Inc.For example, You Tube LLC (a subsidiary of Google LLC) has a social media website that offers targeted online advertising service.

However, to keep this market position, the company must counteract the negative effects of external factors shown in this Five Forces analysis of the business and the online display advertising industry environment.

The following are the strengths or intensities of the Five Forces that influence Facebook Inc.’s business: Recommendations.

Based on this Five Forces analysis (Porter’s model), Facebook Inc.

In addition, the low switching costs (low difficulty of transferring from one provider to another) make it easier for advertisers to shift away from the company toward competitors.

These external factors create the moderate force of competition. The impact of consumers or buyers on the online display advertising industry environment is examined in this element of Porter’s Five Forces Analysis model.

Leave a Reply