Here is the video : https://www.youtube.com/watch?v=K35YgkgzwFA

1. F A C E B O O K ’ s S T R A T E G Y
Drappa Alessandro
Libert Ludovic
Ben Larbi Mehdi
Del Molino Talavera Marcos
Professor Bruno Wattenbergh – GESTS468

2. P E S T E L
P O L I T I C A L
•Some governments of one or more countries may seek to restrict access to
Facebook or censor its content available(as China,Iran or North Korea did).
E CO N OMI C A L
• A substantial majority of Facebook’s revenue comes from advertising. The
reduction in marketing spending due to a bad conjuncture (in Europe for example)
could have a major influence on its business.
• The increase in the disposable income in emerging countries drives smartphone’s
penetration rate and internet availability up.
S O C I O C U LT U R A L
• People are less reluctant than before to give details about their personal life. The
boundaries between public and private information are becoming more and more
blurred.
•However, the privacy-protection movement is rising. According to some studies,
consumers are more and more reluctant to deal with companies that do not have
a good data-privacy policy.

3. P E S T E L
T E C H N OLOG I C A L
• The ongoing improvements in mobile-hardware contribute to make the use of
smartphones always more enjoyable and comfortable.
•Nowadays , thanks to this technological progress, people tend to use more their
smartphone than their computer.
• Advent of new generations of mobile telecommunications technology : 4G (and,
soon, the 5G)
E N V I RONME N TA L
• Data centers are voracious users of electrical power and account for 95% of
Facebook’s energy consumption. That’s why Facebook’s data centers used to be
bought in area where the electricity is cheap but the problem is that in those
areas the electricity is generated by dirty sources like coal.
L EG A L
• Many laws and regulations could affect Facebook’s business. These are still
evolving and could be interpreted in ways that could harm their business.
• There is a new regulation’s project from the EU about the user’s data protection.

4. INDUS T R Y ANA LY S I S : 5 FOR C E S OF POR T E R
THREAT TO ENTRY
THREAT OF SUBSTITUTES
THREAT FROM ESTABLISHED
RIVALS
POWER OF BUYERS
POWER OF SUPPLIERS
INTENSITY

5. S T R AT EGI C GROUP S IN THE SOC I A L -NE TWOR K
H I G H
H I G H
N UMB E R S O F A C T I V E U S E R S
INDUS T R Y
LOW
Classification by degree of specialisation (pictures platform,
professional platform, small message exchange-driven platform,
social network platform) & by functionalities supplyed to
customers

6. F A C E B O O K ’ s CULTUR E ( n o t i n t h e v i d e o  )
«Move Fast and Break
Things »
• The risk-taking is encouraged.
• Environment that rewards
creative problem solving and
rapid decision making.
« The Hacker
Way »
• Building something
quickly or testing the
boundaries of what can
be done.
« Hackathons »
• Every few months .
• To brainstorm new ideas
and solutions.
• Many of their most
successful products came
out of hackathons.
« Bootcamp »
• Mandatory for new hires.
• Goal : to instill its culture
and values and learn the
code base, the tools, and
the company’s approach.
Corporate culture
• To attract the best talent by creating
a fun environment and offering
numerous perks and benefits to
their employees in order to make
employees’ lives easier .
• Social activities are organised for
employees in order to create a close
community-spirit.

7. S T R AT EGI C C A PA B I L I T I E S : COMP E T ENC E S
Set of services offered to users
Excel at developing and lauching
innovative products
Third parties advertising (targeted reach)
Provide speed and reliability

8. S T R AT EGI C C A PA B I L I T I E S : R E SOUR C E S
Value ?
YES,user
experience
increase
Facebook’s
Algorithm
Rare ?
YES, no
competit
or has it
Competitive
advantage ?
Temporary
competitive
advantage
Non-substituable
?
Inimitable?
NO, costly to
imitate but
possible
NO, other
competitors
use alternative
technology
Value ?
YES
Number
of
MAUs
Rare ?
YES
Competitive
advantage ?
Sustained
competitive
advantage
Inimita
ble?
YES
Non-substitua
ble ? YES
Ot h e r s ?
 F a c e b o o k ’s b r a n d n a m e
 K e y p e r s o n n e l : h i g h l y s k i l l e d e n g i n e e r s
Da t a c e n t e r s

9. GROWTH S T R AT EGY
Market development
• To increase the size of its
market by increasing internet
availability in the world
Diversification
• Social-network -> multi-platform
company.
• Acquisition strategy
• Social-network -> mobile services
• Oculus VR : clearly showing the desire of
being part of the major changes in the
high-tech sector.

10. BUS INE S S MODE L C ANVA S

11. T H I S I S T H E E N D … T H A N K Y O U 
HOPE YOU ENJOYED AS MUCH AS WE DID :)