Twitter Building Brand Harvard Case Solution & Analysis

Twitter Building Brand Case Study Solution


This case analysis is mainly covering the well-known micro blogging application company named as Twitter, which was incorporated by its founder Evan Williams through his creative idea along with his friends in the year 2006. To attract the users in its initial phase, this service was given for free and it was positioned as the communication tool for posting short messages up to 140 characters by using this kind of social networking platform. Due to the free and convenience based service, it received great response from the audience and its users were immensely increasing from only 8 million to around 140 million within a short span of only 5 years.This model works as sharing their day to day activities to a large number of people by simply logging into their Twitter account and it shares those tweets with strangers as well as friends or family.

Twitter generates its revenue through the advertisements and investments from the Venture capitalists and the company was acquired by Google within few years of its operations by stock exchange deal. Moreover, the company follows an open source software application which enables the followers to receive and view the tweets in real time. This service was widely spread from website to SMS via Mobile and expanded through accessing the service via the application.

The company was receiving the investments from venture capitalists such as Digital Sky Technologies, Alwaleed Bin Talal (Saudi prince) which valued the company at around $8.4 billion. The company also acquired so many small startups for diversifying its business but it did not work well for the company. It did not create any synergy for the company rather it created problems for the company such as Lack of forecasting and budgeting skills by the management, improper succession planning by management for creating the objectives without building the strategies for achieving those objectives effectively and efficiently. The objectives of the company were to capture the active users of around 1 billion till 2013 which company did not achieve and was able to attract only 200 million active users. Moreover, the business model of the company was built in a way to employee around 5200 people which resulted in only 2700 people employment. However, the company was expecting profits which resulted in the loss for the company. Twitter was facing these problems because of heavy competition from Facebook and Google plus.

These problems will be analyzed by performing competitive analysis, internal analysis and the strategies for resolving those problems in the later parts of the report. The Strategic Analysis will cover SWOT analysis, Porter’s 5 forces model and the business model currently used by the company and detailed analysis of the strategies used by the company which will be followed by the recommendation to amend the strategies for resolving those issues through alternative solutions.

Strategic Analysis of the problem:

The strategic problems faced by the company include the lack of strategic planning of management which occurred due to the improper and unclear business model. The problem of marketing function was the lack of maintaining the advertisements through business to the business model and generating the revenues through retailing and e-commerce business. Employing 5200 people expectation which was not met relates to the human resource problem. However, the expectation of revenues which turned out to be losses for the company was lack of strategic planning. Moreover, the technological advancement and change in consumer preferences create a problem for the company and this problem is related to the technological innovation which company has to evaluate through competitive analysis, SWOT and Porter’ five forces model.Strategies of the company need to be revamped in such a manner which resolves the issues and it will be mentioned in the alternative solutions and recommendation portion of the report.

SWOT Analysis:

The above problems need to be evaluated and measured through the internal analysis of the company through using the SWOT analysis of the company which includes the strengths and weaknesses of the company which forms internal analysis. However, the company needs to perform an external analysis which includes the threats and opportunities of the company.


Strengths of the company show that the Twitter provided a differentiated and unique platform for its followers for social networking without adding the friends rather it can deliver and post the short messages to a large audience which may be strangers as well as friends or family. It also contains a strong media exposure by providing the unique facility of adding up to 140 characters in a message through the website, mobile, and application. The company has provided ease and convenience to its users for expressing its feelings or thoughts without adding anyone through its application which is a bit difficult in other social networking applications. Moreover, the company possesses the strong brand and brand recognition for reaching the mass audience for free and it enables the followers to communicate with celebrities at an open forum..............................

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