Facebook s chances to succeed in China looks slim
Facebook, which is , at the present moment the fastest growing social networking site (SNS). Recently, Facebook filed its IPO, which seemed to be in favour of the company. Its now a social networking giant. As we already know , that it targeted China and wanted to enter its Social networks market. But it seems the chances are very very slim!!!
As we all know , China is ranked 1st in terms of population as it is the highest populated Asian country in the whole world. So, any social networking site would definitely try to crack the world’s biggest internet population and it would be an obvious ambition. Facebook has been blocked in China since the last three years. Now, it was contemplating re-entering China, as China has also the world’s biggest economy. But, its offering is going to face intense competition , political meddling,and also commercial success. Companies like EBay Inc, Google Inc, Amazon.com Inc, Yahoo Inc and most recently Groupon also failed to establish them safely and securely in China’s Internet market. So, don’t you think it’s a bit late for Facebook as China’s market is already saturated with local websites such as Sina Corp, Renven Inc, Kaixin Wang001 and Tencent Holdings. So, it is going to be very difficult for Facebook to launch something new that will differentiate it from the local websites of China, as the domestic sites have well established self-contained ecosystems with their own suite of apps , news portals , micro-currencies and e-commerce options.
One way for Facebook to enter China’s market would be to build or buy a local team and allow them to craft a product which would suit the local market over the long run. We all know that even Twitter and YouTube are also banned in China!!! facebook said in its IPO prospectus that the firm is evaluating to enter China as the market has “substantial legal and regulatory complexities”.
Thus, if we are studying all the above statistics and data, its obvious to conclude that it would be really tough for Facebook to even enter China’s Internet market . Again, the most important drawback that can not be ignored is that it has been blocked in China previously.. Let’s see inspite of these slim chances will Facebook be able to make it!!!