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Facebook’s Dilemma
  Profits (Theirs) vs Privacy (Your)

            Talisa Salvador
             Adela Tremols
             Reyna Lopez
           Thiara Fernandez
Largest social networking site in the world

Founded in 2004

300 million users by 2009

Allows users to:
       Create profiles
       Join networks
       Connect & interact with others
       Messaging
       Applications and other tools
Its Beginnings
•Originally opened to some
college students.

•Today its one of the most
recognizable sites on the web.

•It’s simple, clean, and attractive.
•MySpace and Twitter.
Advertisements
Offers the unique opportunity for advertisers to reach
highly targeted audiences based on their demographic,
hobbies, personal preferences, etc.

Advertisements can be placed in features such as News
Feeds and Facebook Pages.
Its a very “sticky” site people spend an average of 169
minute per month on Facebook.

However, it has very high costs, because its a very
expensive site to maintain, and it continues to spend more
money than it earns.
Problem
Privacy
Increase revenues
In 2007, Facebook implement the
Beacon program, would track
Facebook members purchases.
In 2009, Facebook sought to change its
Terms of Service, granting Facebook
unlimited data collection.
Ways of earning profit

Charging for Third party applications.

Sell users information to businesses.

Suggestions

In 2007, Facebook was valued in $15 billion, today it has
dropped because of investors lack of confidence.
Thank you!

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Facebook Case Presentation

  • 1. Facebook’s Dilemma Profits (Theirs) vs Privacy (Your) Talisa Salvador Adela Tremols Reyna Lopez Thiara Fernandez
  • 2. Largest social networking site in the world Founded in 2004 300 million users by 2009 Allows users to: Create profiles Join networks Connect & interact with others Messaging Applications and other tools
  • 3. Its Beginnings •Originally opened to some college students. •Today its one of the most recognizable sites on the web. •It’s simple, clean, and attractive. •MySpace and Twitter.
  • 4. Advertisements Offers the unique opportunity for advertisers to reach highly targeted audiences based on their demographic, hobbies, personal preferences, etc. Advertisements can be placed in features such as News Feeds and Facebook Pages.
  • 5. Its a very “sticky” site people spend an average of 169 minute per month on Facebook. However, it has very high costs, because its a very expensive site to maintain, and it continues to spend more money than it earns.
  • 6. Problem Privacy Increase revenues In 2007, Facebook implement the Beacon program, would track Facebook members purchases. In 2009, Facebook sought to change its Terms of Service, granting Facebook unlimited data collection.
  • 7. Ways of earning profit Charging for Third party applications. Sell users information to businesses. Suggestions In 2007, Facebook was valued in $15 billion, today it has dropped because of investors lack of confidence.

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