Global Strategy& Strategic Alliances

Facebook Inc.

Founded 2004

Mark Zuckerberg, Eduardo Saverin, Andrew McCollum, Dustin Moskovitz & Chris Hughes

Menlo Park, USAGIVE PEOPLE THE POWER TO

SHAREAND MAKE THE WORLDMORE OPENAND CONNECTEDWorld’s Largest Social

Media Network

Global Growth

1.5 B

700 M

900 M

2 in 3

400 M

56 Locations 995 New Positions

Standardisation& Customisation

Standardisation

Provides Competitive Advantage

Uniform User Experience & Product Offerings

Global Accessibility

World as Single Entity

Scale & Scope Economies

Global Brand Awareness

Connect People Around the World

BENEFITSEnables Rapid Growth

Levitt

Competitive advantage in cost & effectiveness

Product may be standardised

Branding, positioning & promotion need to reflect local conditions

Tailor global marketing concepts to meet specific needs

Customisation

Customisation

LOCALISED IN +140 LANGUAGES

ADAPTING TO EU REGULATION

ISSUES

ADAPTING TO LOW INTERNET ACCESSIBILITY

ADAPTING TO DIFFICULT MARKETS

BALANCE BETWEEN PRODUCT UNIVERSALITY

AND LOCAL MARKET PARTICULARITIES

RECOMMENDATION: WHAT ABOUT LOCAL CUSTOMISATION ON A FUNCTIONALITY BASIS?

StrategicAlliances

TechnologyCompany

Web Portal Expertise

Search Engine Capabilities

ADVERTISINGPARTNERSHIP

PATENTSETTLEMENTS

IMPROVEDCONTENT & REACH

Information & Measurement Company

DATA ANALYTICS EXPERTISE

Data AnalyticsExpertise

ADVANCEDMARKETING INSIGHTS

& CAMPAIGNOPTIMISATION

Future FocusedIndustry Knowledge

Connecting 2/3 of the World without Internet Access

ACCESS TO WIDER POTENTIAL MARKET

Facebook-LedNon-Profit Organisation

MultinationalTech Partnerships

NOKIA

OPERA

MEDIATEK

ERICSSON

SAMSUNG

QUALCOMM

Opportunities

UNITE WITH OTHER TECH GIANTS

TACKLE CHINA W/ XIAOMI

IMPROVE, TARGET & MEASURE CAMPAIGNS THROUGH DATA

PARTNERSHIPS

AcquisitionStrategy

Acquisitions A KEY TO FACEBOOK’S GROWTH & SUCCESS

IMPROVED VALUE PROOPOSITION

MOBILE TECHNOLOGY CAPABILITIES

PHOTOGRAPHY PLATFORM

DEVELOPMENT

ADVERTISING PLATFORM

CONSOLIDATION

EXPANSION INTO NEW

CAPABILTIES

2010 2011 2012 2013 2014

Acquisitions

BEFORE AFTER

Targeting New & Upcoming Companies

Capture Best Talent

Dissolution of Target Company Identities

Acquire Popular Services

$19B User Base Expansion

$1B Drive User Engagement

Drive Market Share & Maintain Target Company Identity

EVOLVING ACQUISITION STRATEGY OVER TIME

Strategic Weaknesses

WEAKNESSES OUR RECOMMENDATION

Maintain & Evolve Current Successful Strategy

Shift Towards New, More Innovative Markets & Trends

Risk of Cannibalisation

Long Term Sustainability?

Regulatory Challenges & Privacy Issues

Future FocusedACQUISITIONS VISION

IS GONNA BETHE NEXTPLATFORM

– Mark Zuckerberg

Shift Towards New Markets

Oculus Rift Capabilities

Focus on New Features

Increased Competitive Capabilities

Conclusion

Facebook is the global market leader in social media

Global product offering in which users can create their

own unique experience

Evolving growth strategyas they advance in their

brand lifecycle

Focussed on thefuture of building a more

connected world

Questions?