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The political stability of developed countries presents opportunities for Facebook Inc. Also, the company has the opportunity to expand its social media and display advertising services worldwide, based on governmental support for globalization. However, Facebook could suffer from political barriers in China. In addition, regarding data privacy and security issues involving organizations like Cambridge Analytica, governments are increasingly working to limit online data collection, sharing, and processing.
Economic conditions shape Facebook Inc. The economic external factors that affect the company are as follows:. In relation, the rapid economic growth of these countries leads to an improvement of infrastructure, including telecommunications infrastructure. The following sociocultural external factors are most notable in the case of Facebook Inc. With increasing financial capacity and improving living conditions, people are increasingly emphasizing high quality in the services that they use.
In addition, increasing online buying worldwide creates opportunities for Facebook to develop additional services to profit from retail sales generated through its social networking website and related mobile apps. For example, the company can offer better marketplaces to address this trend. The company also has the opportunity to enhance its corporate social responsibility programs as a way of satisfying the corresponding expectations of users.
Technologies impact Facebook Inc. The following technological external factors affect Facebook Inc. Facebook has the opportunity to improve user experience involving its mobile apps. This opportunity is based on the trend of increasing mobile device usage worldwide.
This technological trend also leads to market saturation, which is a threat noted in the SWOT analysis of Facebook Inc. Furthermore, the diversification of online retail firms threatens to compete with the company. For example, giants like Amazon. The following ecological external factors influence the company:. Also, the company can implement better waste disposal policies and standards for its corporate operations.
Such effort can address the increasing complexity of waste disposal standards, especially in Western countries. Facebook faces the threat of climate change, which could prompt the business to transfer its servers and other equipment to another location in the future. In more conservative countries, Facebook is seen as a tool to push certain agendas and help people unite against political parties. To prevent people from uniting, as well as the spread of misinformation, some countries have restricted Facebook access to their citizens.
China and North Korea are just two examples. Facebook itself pushes its own agenda. To enhance ties with Washington, D. Facebook is already connected to billions of audiences around the world. With an enormous reach, the platform can easily affect how people think about policies, the government, and elections. The strong US dollar has cost Facebook millions in foreign currencies.
Costs and expenses are on the rise as the company continues to expand and employ new workers. Facebook also has a hand in improving the economy. These numbers may be inflated, according to some economists. Facebook is a business platform too. Users have access to paid Facebook ads to push their own products. Recruiters also use Facebook to hire people based on their personal profiles.
This means advertisers are jumping ship and losing faith in the company. The more information about data breaches reach the public — alongside the troublesome fake news articles — the fewer investors feel secure in putting their money in the company. Facebook is a social media platform. The largest in the world. To share big announcements and everyday moments with friends and families. It now has a marketplace where you can sell your items to people close to you.
The platform is loaded with ads — Facebook sponsored and not.
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