Arguments Validation Case Study Example

Twitter is commonly referred as one of the hottest technology companies behind Google and Facebook. In mid-April 2014, basing on the technology analyst scrutinizing twitter on her analysis raised a number of issues. Following a successful launch of twitter IPO (initial public offering) back in 2013 that valued the company at $ 24.46 billion, a lot was required from the company. Consecutively, the company reported its net worth at $26.63 billion in 2014 with revenue of $242 million. That quarter twitter incurred a net loss of $511 million. Basing on this statistics, it was evident that this was not good news for the company’s deep pocket investors. The trend continued despite the fact that back in 2007, twitter had 200 million active users. By the beginning of 2014, the company reported more than 500 tweets per day. Despite the positive growth in the numbers of users, all was not well with twitter. The company was losing money as its expenses grew more than its revenues. Twitter has been experiencing organization turbulence and there was the emergence of competitors. Based on this issues, twitter was faced with a decision about whether to build a brand, tech powerhouse or a social tool.

Based on the current platforms in the social networks such as Facebook, twitter can come back to its capitalization potentials by changing its strategic planning and management. Critically analyzing the origin of twitter to its present day, a lot should be done. Through the use of “promoted tweets” service launched back in 2010 allows advertisers to insert and stream their adverts on real time. This is can be used as a social strategy that brings together the advertisers and the customers. The extension of promoted tweets to mobile devices in 2012 increased its applicability in advertisements. Twitter should use the Data analytic methods to fast track the amount of twitter feeds present data to target potential customers. The use of data analytical method has the advantage of precision in terms of market and geographical location.
Twitter should build a brand that can differentiate itself from other competitors such as Facebook and Friendfeed to enhance its survival in the industry. It can be easily noted that both the competitors are re-branding of the already existing ideas of twitter to have clients advantage. For instant, Friendfeed enable its users to text and import information from their blogs, photos and YouTube ads. This is where twitter is failing as it does not continuously keep its users updated with the trends in the market.

Points Review.

The issues facing Twitter can be effectively addressed with new strategic planning implementation. In the technology industry a microsecond is significant in making a profit or a loss in business. The organizational turbulence from Jack Dorsey to Evan Williams and finally Dick Costolo are issues worth resolving. The duration of change is shorter thus implementation of the objectives of the company is delayed. Through the use of data analytic method it will enable the company to have its worth returns from advertisement.

Conclusion

It is crystal clear that Twitter need to develop a brand to enhance its technology powerhouse and social tool usage. The decrease in its active users currently can be addressed through the board of the company keeping up with the pace of technological advancement. The use of data analytic method should maximize the company its revenue from advertisement. This will enable the company to competitively compete with its competitors such as Facebook and Friendfeed.