Week 5o: Can Facebook succeed in China?

Can Facebook succeed in China?

China, one of the world’s largest Internet markets, could be out of reach of Facebook because of the Chinese government’s strict censorship policies. However, it is also a truth that China has certain amount of Facebook users who frequently use Facebook in China. How do they do that? So simple! Users could use VPN to unblock Facebook in China so that they could have good connection with the world.

This phenomenon reflects one reality that Facebook is actually a popular social media in China and many Chinese are waiting for Facebook entering the market.

 It was reported in Sohu.com China that Facebook’s CEO Mark Zuckerberg had previously visited China and met with Baidu CEO Robin Li in 2010, leading to speculation that the company was preparing to enter the country.

“It’s kind of a personal challenge this year, I’m taking about an hour a day and I’m learning Chinese,” Zuckerberg told an audience during a recent appearance at Stanford University. “I’m trying to understand the language, the culture, the mind set—it’s just such an important part of the world. How can you connect the whole world if you leave out a billion people?”

                                                                                    -Zuckerberg said in an interview

Most Chinese have heard the rumors that Facebook might be coming to China. Marbridge Consulting reported that Baidu and Facebook are rumored to have joined forces to bring the social necwork to China.On Facebook's side, it needs a big local partner to break into the huge Chinese market. Facebook wants to cooperate with Baidu, who takes up 76% revenue share in China Internet market. With the help of domestic famous social media, it is easier for Facebook entering China.

Can Facebook succeed in China? Let’s do it by using SWOT analysis.

Strengths

Reality tells us that some Chinese have interest in Facebook, especially after Mark Zuckerberg’s visiting in China. They would like to surf Facebook web by using VPN to connect with their international friends. It is a trend for people to communicate all around the world. Besides, Mark Zuckerberg is a very diligent learner who pours in time to study Chinese and its culture. He took much time in thinking about how to bring Facebook to China.

Weaknesses

As Facebook is a totally free community for people to make comments and learn news worldwide, Chinese government may worry about their political control after Facebook coming in. Also, Facebook.com is a banned domain name according to China’s Internet rules. Changing to Facebook.cn could be accepted in China’s market. It is a doubt that whether Facebook company wants to change it or not.

Opportunities

Cooperating with Baidu is a win-win strategy to both sides. Baidu is threatened by social network juggernaut Tencent, and it might be a safer bet to build a social network with one of the most successful social companies in the world than to try to build by its own.

Threats

Just as what I have mentioned in my last original blog, with 160 million users, Renren is a competitive competitor that Facebook should be caution of.  Even for Chinese students abroad, they would use Facebook only to connect with locals, while use Renren to connect with Chinese friends.

However, foreign companies still have no idea about Chinese Internet market as well as users’ habits. How is  Facebook's future in China? Time could explain everything.