A photo of the founders of Snapchat taken by J. Flores for the New York Times.

In the New York Times article linked here, it is said that Snapchat – infant social media rejects a multibillion-dollar proposal from Facebook.  In today’s social media services, there are rabid races between tech companies like Instagram and Tumblr. Snapchat quickly gain in popularity and attract multiple sky-high takeover offers. One of the most special characters of Snapchat is that photos and picture will disappear after they are viewed which protect people’s privacy.

The reason for this rejection is that the leaders believe they can make more profit in the future. Snapchat has the potential to develop itself further and win a bigger market.  Young managers are much easier to know that the younger generation want and need. They have a clear value proposition. Also, Snapchat takes example by other mature products like Wechat and Line, and the way they operate in the market. However, in the crowded social media market, it is hard to prospect what will happen in the future. For example, Facebook rejected $1 billion takeover from Yahoo and become a hundred-billion company. Groupon rejected $6 billion takeover from Google, on the other hand, and stumbled by roadblocks these years.