RUNNING HEAD: Facebook vs. Twitter: The Coming Facebook-Twitter Collision Unit 3 Facebook vs. Twitter: The Coming Facebook-Twitter Collision Case Study Analysis Kaplan University School of Business and Management MT460 Management Policy and Strategy November 11, 2011 Introduction Over the past several years social networking has basically gone viral and there are many social networking sites available to the public including Facebook, MySpace, Twitter and LinkedIn.

Facebook has been threatened by both MySpace and LinkedIn in pas years and has been able to remain on top but now Twitter is gaining momentum and threatens to become the number one social networking site over Facebook. Synopsis of the Situation Facebook and Twitter are two social networks that appear to have similar websites. In spite of the networking monopoly that Facebook seems to have become it is still being threatened by twitter in because of their social networking strategies.

This case study shows strong similarities of the two. Key Issues The key issues in the case are the advantages that Twitter has over Facebook in reference to the level of technology. One of the main issues is when Facebook tried to buy out Twitter they refused. It seems as though they did not want to merge and felt that they would be more successful on their own. Define the Problem The major problem that exists in this case, is the fact that Twitter has a controlled level of social networking.

Facebook does not allow one way interaction options meaning that if I want to follow someone’s posts then they themselves would have to accept my friend request, and Facebook also does not allow someone to track real time information. With this happening that may mean that many Facebook members may leave and start using twitter because of some of the restrictions that are placed on the members of Facebook. Alternative Solutions The solution that I see is that twitter bought the technology from stellar search technology that enables them to track real time conversations with others.

Facebook needs to purchase similar technology from the stellar search company so that they too can have real time conversations as Twitter does. This would help to reduce the ability of having Twitter to track real time information and conversations. In spite this all Facebook still has the advantage because they can have millions of members but if they could get the technology then their networking website would be even better than it is now. Selected Solution to the Problem

The solution to the problem is for each networking website to concentrate on their own marketing strategy instead putting all of their focus on what their competitors are doing. With Twitter having just over 6 million members and Facebook have more than 150 million members it clearly shows that Facebook has the upper hand and shouldn’t be threatened by Twitter. Implementation Both networks should maintain their own standards however they both have their advantages and disadvantages. Recommendations

They both have advantages and disadvantages which I stated before, however they both should work on their websites in order for them to be more users friendly. User friendly websites typically have more user participation. Conclusion Networking sites need to look at the ensure that they are doing market research h in order to ensure that they are attracting the members that they are wanting to reach and that they are weighing the benefits for their members. REFERENCES Pearce, J. A, & Robinson, R. B (2011) Strategic Management: Formulation and Control (12th ed). New York, NY: The McGraw-Hill Companies, Inc

APPENDIX SWOT Analysis Template Situation being analysed: Facebook vs. Twitter This SWOT example is for a new business opportunity. Many criteria can apply to more than one quadrant. Identify criteria appropriate to your own SWOT situation. criteria examples Advantages of proposition? Capabilities? Competitive advantages? USP’s (unique selling points)? Resources, Assets, People? Experience, knowledge, data? Financial reserves, likely returns? Marketing – reach, distribution, awareness? Innovative aspects? Location and geographical? Price, value, quality? Accreditations, qualifications, certifications?

Processes, systems, IT, communications? Cultural, attitudinal, behavioural? Management cover, succession? Philosophy and values? Strengths •It’s easier to find people on facebook •Makes recognition easier •More capacity for video and photo sharing. Weaknesses •Real time conversations can’t be tracked outside of network •In other to be friends on facebook a friend request must be accepted. Criteria examples Disadvantages of proposition? Gaps in capabilities? Lack of competitive strength? Reputation, presence and reach? Financials? Own known vulnerabilities? Timescales, deadlines and pressures? Cashflow, start-up cash-drain?

Continuity, supply chain robustness? Effects on core activities, distraction? Reliability of data, plan predictability? Morale, commitment, leadership? Accreditations, etc? Processes and systems, etc? Management cover, succession? Criteria examples Market developments? Competitors’ vulnerabilities? Industry or lifestyle trends? Technology development and innovation? Global influences? New markets, vertical, horizontal? Niche target markets? Geographical, export, import? New USP’s? Tactics: eg, surprise, major contracts? Business and product development? Information and research? Partnerships, agencies, distribution?

Volumes, production, economies? Seasonal, weather, fashion influences? Opportunities •To communicate with a wide ranch of people •Getting regular updates of friendsThreats •Competition between other networks •Loss of followersCriteria examples Political effects? Legislative effects? Environmental effects? IT developments? Competitor intentions – various? Market demand? New technologies, services, ideas? Vital contracts and partners? Sustaining internal capabilities? Obstacles faced? Insurmountable weaknesses? Loss of key staff? Sustainable financial backing? Economy – home, abroad? Seasonality, weather effects?