FACEBOOK AUDIT REPORTCompetitive Strategy:The matrix below represents Porter’s generic strategies matrix. Facebook uses both cost leadership and differentiation in its competitive strategies. Facebook has achieved its cost leadership position by using computing technologies that allowedit to maximize the efficiency of its website and the websites of its subsidiaries [CITATIONGre18 \l 1033 ]. Facebook created a programming language that handles communicationsbetween apps and servers that is now used by many companies [CITATION Fin19 \l 1033 ].Also, Facebook had contributions in big data management as it created a database system calledCassandra that is capable of scaling across hundreds or thousands of servers and it is consideredtoday the 11thmost popular open-source database in the world used by huge corporations such asUber and Instagram [CITATION Fin19 \l 1033 ]. Moreover, Facebook uses Hadoop which is anopen-source data preparing, processing, and modelling platform that has been quite synonymouswith the concept of big data [CITATION Fin19 \l 1033 ].Finally, it is also worth mentioning that Facebook has established its own data center, and hascome up with the idea of cooling its servers with open air rather than industrial cooling systems[CITATION Fin19 \l 1033 ]. Through its wide range of applications and hardware products, Facebook strives to enter newmarkets and serve all tastes. The field of Social Media for Facebook has not been limited toserving people’s social interactions, it has also entered into the field of serving professionals and14CostsMarkets Where Business CompetesBroadNarrowSource of Competitive AdvantageDifferentiationCost LeadershipCost FocusDifferentiation LeadershipDifferentiation Focus
FACEBOOK AUDIT REPORTentrepreneurs by generating tools for advertising, payments, business meetings, and other officerelated tools, and that constitutes the essence of its differentiation strategy.Cooperative Strategy:As mentioned earlier, Facebook did for a strategic alliance with six telecommunication andphone companies; Qualcomm, Samsung, Ericson, MediaTek, Nokia, and Opera to form Internet.Org, a company that strives to bring affordable internet access to those who do not have it in theworld, that is five billion people around the world [CITATION Con13 \l 1033 ]. As Facebook isfacing a state of market saturation, it has been looking for solutions to open new markets andacquire new users, and is by connecting more people to the internet [CITATION Ant13 \l 1033 ].The ultimate goal of this group alliance is to reduce the cost of internet to 1% its current price sothat more people are connected and thus can join the social media network [CITATION Ant13 \l1033 ].