Dating site market analysis

This factor exerts a strong force against the business.

The high demand for online advertising buffers the potential shift of advertisers and slightly weakens the bargaining power of customers.

In addition, the low switching costs (low difficulty of transferring from one provider to another) make it easier for advertisers to shift away from the company toward competitors.

These external factors create the moderate force of competition. The impact of consumers or buyers on the online display advertising industry environment is examined in this element of Porter’s Five Forces Analysis model.

However, to keep this market position, the company must counteract the negative effects of external factors shown in this Five Forces analysis of the business and the online display advertising industry environment.

The following are the strengths or intensities of the Five Forces that influence Facebook Inc.’s business: Recommendations.

Based on this Five Forces analysis (Porter’s model), Facebook Inc.

reveals issues that affect the company’s position as one of the top players in the international social media market.

Michael Porter developed the Five Forces Analysis model to evaluate the external factors that influence companies’ industry environment.

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In this business analysis case, such external factors influence the level of competitive rivalry that firms like Facebook experience in the global social networking market and the online advertising industry environment.

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