Snapchat, a company worth $860 million and also the latest app to shoot to the top of it ranks, denied an offer by Facebook to be purchased for $3 billion. This has generated some controversy, as many doubt that Snapchat will ever receive an offer of that scale again.

In an attempt to compete with Snapchat, Facebook has released their own app called Poke. And no, this is not the the button that you click when trying to flirt with others online. Rather, it is a photo-disappearing app meant to mimic the features that Snapchat provides. Although they are trying to stay competitive, a venture like this is likely to fail because Snapchat is already dominating this particular market.

This article mentions that “smaller companies are… poking holes at Facebook’s weak points, then doing a better job of something the giant company doesn’t do so well”. Snapchat is definitely an innovative company that knows their target market, executes and presents their product well, and has the potential to become an even greater force in the social app market than it already is. Unless Facebook can quicken up their innovative processes, it will ultimately fall behind competitors such as Snapchat.

http://www.businessweek.com/articles/2013-11-13/snapchats-3-billion-rejection-and-the-great-facebook-unbundling#r=most%20popular