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Developing a New Revenue Business Model in Social Network: A Case Study of Facebook
Abstract
This chapter focuses on a new business model in social networking, uses platform strategy to discuss possible business models, evaluates the optimal model for partnering with social networking service providers. This research develops a new revenue business model in social networking with a case study and discusses its potential monetization business model. The chapter reviews five business models including: 1) social media startups; 2) challenges social networks face: must monetize or die; 3) a case study of the new effective social business model – Facebook; 4) monetization: Facebook revenue and business model; and 5) a discussion of monetizing social networks: the four dominant business models and how you should implement them in the future. Through a comprehensive review, the chapter proposes a social media monetization model as the reference for firms to implement new business models of social networking.
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