SWOT AND PEST analysis of Facebook

Facebook is a multinational company that offers internet services. It was founded by Mark Zuckerberg. It It  the biggest social networking site with more than a billion registered users. By 2012 it had employed 4,619. Below is the SWOT and PEST analysis of Facebook.

 

Swot analysis of Facebook

Strengths

Highest number of users-more than a billion which makes it the only place where one can connect with many people around the globe.

Best user experience-it has the best mobile and website design

Weakness

Poor advertising techniques-Facebook lacks CPM advertising and has a low click through despite having a high number of users.

Lacks a reputable email address-Facebook does not have a well know and secure email address like Google’s gmail.

You can also read  Swot, pest and Porter’s Five Forces Analysis of Gap Inc

Lack of enough user privacy-facebook accounts are easy to hack and has many applications which retrieve  users’ information.

No opportunity for users to earn-unlike Google which offers AdSense to websites, Facebook has not introduced a nice channel of generating income.

Opportunities

There has been increasing number of users registering with Facebook. Therefore, this puts it a better place of starting any online business.

With the increasing number of users, Facebook has a chance of opening the best online market place

Threats

Rate of increase of users is hindering privacy

Increase of identity theft-fake Facebook accounts

 

PEST analysis of Facebook will be updated our subsequent post.

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