Core Competencies Analysis Essay

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Twitter Core Competencies Analysis Summary: In the article called “Twitter tries to widen appeal to more users”, Amir Efrati from the wall street journal addresses Twitter’s new marketing campaign to appeal to new users and also existing users. The company’s goal is to educate their users about the services that Twitter provides, something many of their users failed to notice, such as organizing their favorite tweets, setting tweet priority and receive only relevant tweets on certain topic. Many people view Twitter as a device for celebrities to broadcast their thoughts on certain subject to the masses.

In order to show their users that Twitter can provide more than just tweets from celebrities, Efrati states, “The company this year is planning to make the breadth of their contents more visible to first time visitors, helping them quickly discovered information about stocks, sports and other organization and individuals they are about…” Twitter is trying to broaden the appeal of their micro-blogging website by showing that users are able to track everything from sporting events, traffic sites, natural disasters, and also events around the world.

Twitter is also adding more tools to help their existing users in fully utilizing the services Twitter has available, such as showing tweets from users located around certain region or from certain type of users, professionals, athletes, or musicians. Twitter definitely needs to take their service to the next level in order to keep their users and increase their earnings. According to eMarketer, Twitter’s ad revenue is expecting to triple this year, reaching as close as $150 million. In order to attract and retain advertisers, other than keeping the site up, Twitter also needs to sell audiences to brands.

This is more of reason why Twitter needs to retain and keep up their competitive advantage. Core Competencies Analysis: Core competency being evaluated| Is it valuable? | Is it rare? | Is it costly to imitate? | Is it non-substitutable| Competitive consequences| Performance implications| Reputation and image| Yes| Yes| Yes| Yes| SustainableCompetitive Advantage| Above average returns| Messaging service| Yes| No| Yes| No| Competitive Parity| Average returns| Celebrity Users| Yes| Yes| Yes| Yes| SustainableCompetitive Advantage|

Above average return| Tweet Tracking Technology| Yes| Yes| Yes| Yes| CompetitiveAdvantage| Aboveaverage returns| User interface| Yes| Yes| Yes| Yes| Sustainable Competitive Parity| Above average returns| The reason for this competency analysis is to see how Twitter is capable in generating $150 million in revenue this year. Twitter is earning above average return because they are able to attract advertisers based on the huge number of user accounts. Constant improvement in their service and web-based technology is critical in order to retain and attract users.

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