In this article it talks about the acquisition of WhatsApp by Facebook. The WhatsApp program which is considered to be an alternative for text messaging was acquired by Facebook in a cash and stock deal worth 19 billion dollars. Facebook became partners with a great brand being that the popularity of its users has gained to 450 million which surpasses the amount of consumers using Twitter by 210 million. The deal established requires that Facebook issue out 3 billion dollars worth of stocks to the 55 employees of WhatsApp during a four year timeframe.
The deal that was struck doesn’t only benefit WhatsApp but also the investors which turns out to be Sequoia Capital that believed in the text messaging program. With the investment of 60 million
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Financial benefits for Facebook partnering with WhatsApp seems vague at the moment being that the company allows new users free usage of the service on their sign-up year, then pay one dollar annually to continue service. Having the service at a low cost to consumers the company operates without promoting any third party advertisements. Before Facebook and WhatsApp joined forces they both lost opportunities to partner with other brands whereas Facebook lost a deal with Snapchat for 3 billion dollars and WhatsApp with Google’s …show more content…
Being that Zuckerberg expressed interest for the company since 2012 through email contact with Koum. The approach to become partners was done initiated through Zuckerberg on February 9th and Koum returned with a response on February 14th by going to Zuckerberg’s home. Before Koum struck this deal with Facebook to become a member of the board of directors there he was a Yahoo engineer. These two companies were a perfect fit being that they share the same core consumer group which happens to be young adults with WhatsApp connecting more the market than Facebook in popularity. If estimated the 19 billion dollars that Facebook offered WhatsApp for the partnership it can considered they paid forty dollars per potential consumer WhatsApp
As of 2016, Facebook cofounder and CEO, Mark Zuckerberg, has a net worth, estimated by Forbes, of around $47 billion. One of the richest people of the world, Mark Zuckerberg exemplifies heroic character, not attributed to fame and fortune, but his ability to utilize his success to impact others. In 2004, Zuckerberg decided to drop out of Harvard University in order to focus on developing his social media network, Facebook (The Editors). Now, at thirty-one years of age, Mark utilizes his self-created superpower, Facebook, to connect billions of people around the world. A hero, usually bolstered by a superpower, embodies the traits of ordinariness, benevolence, and idealism. Mark Zuckerberg leads a heroic life by being relatable, demonstrating
WhatsApp: It’s for someone who feels Facebook and twitter is very public and don’t want to get affected by it. It is a smartphone based social networking sites and based on phone numbers, you can sign up by using your phone number, it allows to text and share your information exclusively .I think it’s quite easy, safe, reliable, handy and a great app. No privacy is required at all, so simply one of the best app created till date.
For everyone in the business world, Mark Zuckerberg is a well-known name to them. He is an undeniably young, successful businessman. However, Zuckerberg is also a very successful leader in his own company as well as in the world. His impact from creating Facebook is more than just impressive. Zuckerberg created the social media website where people get connected virtually and led the company to incredible success. Zuckerberg’s leadership style can be seen with inspirational motivation, intellectual stimulation, and idealized influence. With all the aforementioned components, Mark Zuckerberg is a great example of transformational leadership.
One of the biggest negotiations of all time between Microsoft and LinkedIn was witnessed earlier this year and with the involvement of Salesforce.com Inc., the negotiation reached a massive amount of 26.2 billion USD (Salesforce PMULBBD. 2016). This paper discusses the complete breakdown of the negotiation between these two parties and highlights the important aspects and decisions which were made during the negotiations and how it would impact the future of both the companies. The positioning and interests of other parties during the negotiations are as follows, in which Facebook Inc. and Salesforce.com Inc. were involved during the early stages, but Facebook Inc. did not support or assist LinkedIn during the negotiation, where Salesforce.com Inc. had stood by LinkedIn and it ultimately increased each of LinkedIn’s share value to approximately $200 from $182(Salesforce PMULBBD, 2016). LinkedIn had been facing a lot of problems after it started distributing its shares to their employees, In the years 2014 and 2015 the company had doled out their shares to their employees with 14% and 17% respectively which is $319 million and $510 million of the revenue and there was a huge depreciation in the quarterly report which was analyzed and published in the Wall Street report (Benner, K., 2016). The parties did not separate the people from the deal during the negotiation, which made it even more successful and benefited both the parties.
Leading networking site plans to replicate its contender Facebook comes up with an idea of cloning the fast growing application, Snapchat. Snapchat a famous application developed as an photo and video sharing messaging app. It has shown a drastic rise in its user in a short span of time and also now become a tough competitor to the world famous social networking site, Facebook. What made it succesful?
Paul, Weiss, Rifkind, Wharton & Garrison (Paul, Weiss) and Skadden, Arps, Slate, Meagher & Flom (Skadden Arps) represented Chinese technology giants Tencent and JD.com Inc, respectively, on their $863 million investment in apparel platform Vipshop, which turned to Latham & Watkins for advice.
Mergers and acquisitions immediately impact organizations with changes in ownership, in ideology, and eventually, in practice. There are multiple reasons, motives, economic forces and institutional factors that can, taken together or in isolation, influence corporate decisions to engage in mergers or acquisitions. The financial risks of merging with or acquiring an organization in another country and how those risks can be mitigated are important issues for corporations to conduct research on. This paper will examine the sensible and dubious reasons for mergers and acquisitions and the benefits and costs of the cash and stock transactions.
Zuckerburg’s parents are a dentist named Edward Zuckerburg and a psychiatrist named Karen Kempner. He also has a sister named Randi Jayne Zuckerburg. In middle school Mark started to use computers and had a tutor to help him learn more about computers and software. Zuckerburg went to Ardsley High School, then in his Junior year, transferred to Phillips Exeter Acadamy, a more advanced high school. During high School he took a graduate course at Mercy College near his hometown. Then he went to Harvard University after high school. Zuckerburg made lots of computer games and other small social media sites for Harvard Students. In his Sophomore year, he dropped out of Harvard to pursue his dream in the site that made him famous, Facebook.
If a user often views things related to cooking for example, then Facebook will start making ads pop up for cookies, grocery stores, and other food related items. Even the advertising industry is breaching on user’s privacy. When someone goes shopping at the store, there is not someone stalking them writing down everything they look at on a pad of paper, and then suggesting related stores to him or her. That would be very suspicious. Now, with Facebook, the company sneakily violates user’s privacy while making them think it is smart technology and is beneficial. Psychologically, advertisers are becoming smarter into tricking their customers. Ad suggestions are more or less an invasion of privacy by the company
Facebook, Instagram, Twitter and mobile apps has become one of leading social media platform in the world (IE Singapore, 2016). Both restaurant companies utilize Facebook to engage with their customers and allow customers to provide reviews (Popeyes Singapore, n.d.).
The most used platform by social media marketers was Facebook, which was leading the chart.
...ends had to go through to make Facebook actually happen. We learn that Mark went through trials for intellectual property theft after being sued by the Winklevoss brothers and his friend Eduardo Sevarin, who coordinated with Mark in creating a Harvard Connect social media site that was the source of Mark creating his own site. After launching the Facebook site to his school, he acquired thousands of users in the span of 24 hours, in which he then ended up branching over to several other universities, and in 2006 was eventually made open for the public. Facebook today is getting a lot more mobile, and even though there are cases of teens leaving, the company continues to grow exponentially. In the Q1 results of this year, we see that Facebook exceeded expectations in earning 2.5 billion in revenue going up 4% from the previous year, gaining a lot of more mobile users.
The entire Facebook company is being sued by three owners of ConnectU, which is another social networking site.
First of all, Facebook is a social network, which means it connects people around the world, allows us to make new friends around the world, builds more relationships, brings some new colors to life. It is very beneficial for
Mark Zuckerberg founded Facebook in 2004 and its sole purpose is to give people the power to share and connect with the world. With 1.23 billion monthly active members, Facebook has certainly surpassed all other social sites. To put it in perspective that is roughly one-sixth of the entire world’s population. According to his book, Introduction to Digital Literacy Mark D. Bowles (2013) stated that Facebook is “the leading social networking site” where you can update your status, share information like photos, find friends and establish networks (pg. 184). This is exactly why Facebook is so popular amongst other social sites.