Models in Virtual Business – META (Facebook) On Its Dominance Social Connect.

Starting from scratch, from connecting people to a multinational technological conglomerate holding company, META (formally known as Facebook Company Inc) has transformed the world into a new and diverse cosmos. According to Statista (2021), 3.58 billion people across the globe were using at least one of the company’s core products. With a market valuation of 922.49 billion USD and a share price of $335.85 (NASDAQ, 2021), Meta Platforms Inc, formally known as Facebook Company Inc, has revolutionized the world and shaped the future by conquering its business model.

Business Model 

Let me give you a quick breakdown of the business model before getting into how Meta conglomerates the tech industry. A business model outlines how it interacts with consumers, partners, and suppliers (Zott and Amit, 2008). It also covers a business value proposition, revenues, costs, and internal resources.

 Meta (Facebook) Business Model Canvas

The embodiment of technology and internet usage drastically changed the business model and its practical implication. The expansion of virtual business has transformed the exchanging of money/goods business model into a new form of indirect earnings (Panda, 2020). Facebook offers its services free of charge and earning by third-party advertisement indirectly.

Let’s break down the Facebook Business Canva to understand how the virtual business model works.

What value does Meta provide? -Value proposition

Meta’s value proposition is divided into several parts, including users, influences, and business. Stay connected with others, find entertainment and news, and so on. Meta enables users to personal services where users always stay connected and discover & learn. Influencers benefit from organic word of mouth, virality, personal branding, whilst businesses get a virtual business operation platform with customized consumer segment targeting.

If You’re Not Paying for It, You Become the Product -Revenue model

Digital advertising as a primary source of income, Meta (Facebook) Earned 86 billion US dollars in fiscal year revenue last year. Using users as the core product, Meta lets businesses target their users and earn profit by displaying ads on its products such as Facebook, Instagram, Messenger, and third-party websites. 

Aside from that, Meta generates income through payment and other fees, digital blueprint courses, Facebook pay, and hardware devices (Oculus VR).

Market opportunity – Metaverse, A virtual universe. 

Facebook has changed its name to Meta to focus on establishing a sort of future internet. Following its business concept throughout a wide range. Beyond the connected social application, the company thrive to achieve an integrated set of sci-fi experiences – a meta-universe, a virtual reality in a shared online space. 

Market Dominance – Today and Tomorrow 

Meta has 61 per cent of the market share across the various social media sites. Facebook accounted for 71.8 per cent of all social media site visits in the United States, according to (Statista, 2021b). Meta is the market leader in social media. With the new announcement of virtual internet space, Meta may dominate the internet market space in the future via its innovative business model.