Social Environment of Business: Five I’s Strategic Analysis

Description

Facebook has been surrounded by controversy. In 2017 the company lost around 2.8 million U.S. users under the age of 25. The prediction for 2018 is not much better. Mark Zuckerberg, Facebook’s CEO, has stated that due to the current controversy the amount of time users spend on Facebook has reduced by 50 million hours each day thus far in 2018. A strategic analysis of Facebook using the Five I’s can help you better understand the crisis as well as how the organization should manage it. In order to use the Five I’s in a strategic analysis, it is significant for you to gain an understanding of the history of the company. This will help you determine how to strategically deal with stakeholders to avoid future public relations issues. Read pages 6-15 of “Facebook Fake News in the Post-Truth World,” a Harvard Business Review case study. In addition to reading the Facebook case study, learn about the Five I’s strategic analysis stages by reviewing page 52 of your textbook, Business, Society and Government Essentials. Additional information on the Five I’s can also be found in the module overview. To complete this assignment, address the following items in your short paper: 1. Identify the issue Facebook is having based on the HBR article (p.6-15). 2. Determine (identify) stakeholders who are for or against the direction Facebook is taking to avoid the public relations issues. 3. Identify the incentives of stakeholders by answering the following five questions: a. What responsibility does the company have to the stakeholders? b. Can the stakeholder help or hurt the company performance? c. Is quick action needed? d. What is the cost/benefit of the company taking action? e. What action(s) the stakeholders take to help or oppose the public relations issue? 4. Identify the company objectives for what is wants to achieve in trying to reduce future public relations issues. 5. Identify interaction strategies that can be implemented in stages.