A report showed yestaday that the price of the largest social networking site shares has drop due to a dipped in the number of usesrs in the United States by 1.1%
Capstone analyst, Rory Maher, make use of proprietary software to extract data. Some other Intel sources added to the evidence that “of the 23 countries where Facebook’s penetration exceeded 50 percent, only nine expanded their user base over the past three months, while the remaining 14 countries either had fewer users or saw little change,” a report from Reuters.
Facebook shares dropped to $28.09 on Monday. Around midday Wednesday, the price has recovered slighly to $29 per share.
Facebook (NASDAQ:FB) rose up to 50% market penetration in almost the markets outside Asia and around South America.
Facebook slumps is caused by the rise in number of its competitors. Samsung just reported that it plans to develop a social network that will compete with Facebook. Marissa Mayer, the new Yahoo CEO (NASDAQ:YHOO) was was arranged to contend with Facebook and Google (NASDAQ:GOOG), according to a report. Google+ has quietly been accumulating users, although they are not yet that stable and other sites like LindedIn and Twitter has began to own personal market in the social networking world.
But facebook has win many and can continue to win more. The website has been a medium for contact for many. Facebook should create strategies to make its users stay, it should do more research.