Facebook shares dropped 12 percent to $33.76 – below the company’s final $38 price in the public offering last week. Yesterday all the news media made a great fuss about the steep drop.
The drop looked no shocking to me. Why? In Korea, Facebook bubbled up. Many people registered their names, but they hardly use it. Koreans came to know the serious leak of privacy, and there is no information in it except for unexpected visits by forgotten acquaintances. We can’t find out reasons to stay long.
The people are confronting too many choices. They are looking at the screen of mobile devices, bending the head, not seeing the street through the bus window. Younger persons really are too busy to check the new media deeply related with their lives. Soon they should be forced to divide the time available shorter.
The media segmentation is looming up out of the confused, fierce competition. How do the media companies deal with this new situation?
The media companies must, first of all, concentrate on their own core competitiveness. While neglecting the core, many companies spread their new business areas. This greedy extension reduces the life span.
As soon as most Korea’s companies got the first success, they are not satisfied with their main commodities or services, and hurry to extend to neighboring areas. They excuse such an overflowing for the narrow local market scale. That makes sense a little, however, they are too voracious and ignorant of the basic business essence.
Secondly, they must strengthen their unique character and brand identity more than before. In terms of ‘character’, Google, Amazon, MS, Samsung, Facebook, Twitter is stable, but Apple and Sony is unstable.
In the meantime, any companies can enter into an emerging market. Presently the biggest emerging market is ebook. Ebook market still does not have big hands of which no one account for over the half of it. In the ebook, there are no reasons for which any one does not participate. In the U.S. ebook market, now 4 companies of deep pockets are severely fighting for the more occupying.
Amazon is preparing for entering Korea this year. Korea’s companies related to book, communication, internet portal are trembling in the tremendous changes to come. Korea’s ebook interested parties do not yet agree with some common devices. Part of the disagreement is due to too fast and frequent development of several devices. I think that some users and authors could welcome Amazon, by which they easily have the opportunity to contact the world content market. (The end)
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