Jialu Li 's Blog

Google recently made an announcement that companies are now allowed to use the related information, such as photos, personal information or comments about their companies or belonging products, of adult users on Google Plus or YouTube, or other services provided by Google to advertise. Apparently, this is a new approach for Google to earn money, collecting users’ information to sell ads.

Google chose to focus on the former one while facing the two common questions, “how to make profit” and “what the users want”. Sometimes, especially during this period of a company, it’s hard to balance both. People want more free services, and then Google keeps running “well” based on the some financial support from ads.

As known, this market is becoming badly competitive while thinking of the number of giants and corresponding success. The competition then, to some extent, forces them to earn money for the sake of better development. However, it is understandable but unreasonable sacrifice users’ rights to earn money though Google announced that users have chance to “opt out of being included in the new endorsements”.BUT why Google can’t just let users to opt in rather than opt out, it is obvious that the former on is the way that considers customers first.

Source Link:

http://www.theglobeandmail.com/technology/business-technology/now-google-wants-to-use-your-face-to-sell-ads/article14835102/

IKEA, a Swedish furniture giant, is recently selling solar panels in their Britain stores, which creates its new market of renewable energy. As mentioned in the article, IKEA chief officer Steve Howard takes the view that it is a perfect time to starts solar push due to the currently cheaper price of solar panels and government’s financial sponsors. Obviously, it is a wise market decision based on the analysis of market from a long-term perspective.

Accordingly, “IKEA presents itself as a green company with a social mission.” The executives of IKEA Group mentioned that they refused waste while reducing carbon-dioxide emissions, and they attempt to provide a chance for people to furnish like the rich. Indeed, Cheap, stylish, those terms are closely related to the brand IKEA in customers’ mind. The success of IKEA cannot be summarized just in 200 words but the key points – right positioning, concentrated customers targeting- is really sightworthy. IKEA focus on sustainability, environmental protection, and they always make new strategy according to the needs of their target customers. Getting into the mind of customers in the market is supposed to be one of their key strategies.

Here is video about IKEA’s new market decision: selling solar panels

http://www.theglobeandmail.com/technology/technology-video/video-ikea-starts-selling-solar-panels/article14678360/

Sources Links:

IKEA starts solar push in Britain

http://www.theglobeandmail.com/report-on-business/breakthrough/ikea-starts-solar-push-in-britain/article14627342/?from=14678360

The secret of IKEA’s success. (Here is a detailed analysis of why IKEA is succeed.)

http://www.economist.com/node/18229400

On September 23^rd, BlackBerry made an announcement that they are willing to privatize the company by making a deal with a group of investors at preliminary $4.7 billion. This news may not be shocking to the customers as well as the market because BlackBerry’s fall has been lasting for a period of time due to the competitive market- the wild popularity of Apple, the increasing users of Samsung as well as other Android smartphones. It is true that BlackBerry’s software has advantage in terms of company management and privacy, and the fans of BlackBerry, such as “corporate road warriors” and “text-happy youths”, still exist. Based on the whole market, BlackBerry is losing its competition and users, and this is easily seen form the flop of BlackBerry Z10 and the dropping share price.

Nothing last forever, the decay of BlackBerry as well as all the companies is unavoidable. Chances are that blackberry can reborn, but maybe in a different focused market. Personally, BlackBerry should think of their brand positioning and value propositions for the sake of revivification. Getting into the mind of the costumers based on the new analysis of the current market is necessary for BlackBerry to produce new products that satisfy users’ needs. Furthermore, repositioning the competition is supposed to be useful. The company should let customers know their completions and know why they are unique comparing with other competitors such as iPhone, Galaxy of other smartphones.

Sources Link:

http://www.economist.com/blogs/schumpeter/2013/09/blackberry

Recently, Twitter Inc. revealed its IPO, which indicates that the company’s recent growth is at a decreasing rate. This raises a concern about the business model of Twitter due to its growing popularity but diminishing rate of revenue. Basically, entering the public market, Twitter has trouble gaining profitable advertising revenue, creating market outside North America and solving internal issues regarding its product.

According to SWOT analysis, Twitter Inc. has a strong brand name and good reputation among users as well as its convenient application based on handheld devices. However, Twitter’s major challenge is how to fully capitalize on those advantages. A great number of users but also many fraudulent accounts, convenient utility on handy devices but facing the difficulty of placing mobile ads-those problems are derived from the developing and growth of Twitter. Making profits tends to be more important to Twitter Inc., especially since it enters the public market, but how to make profits in terms of its current business model should be considered carefully.

Apparently, making up for the existing deficiency is necessary but not enough, personally, trying to extend in Asia such as China worth a shot even though it’s hard so far.

Sources Link: http://www.theglobeandmail.com/report-on-business/the-short-message-from-twitters-ipo-slowinggrowth/article14712467/