Tuesday, December 24, 2019

Change By John P Kotter - 1145 Words

Introduction The definition of change according to the Webster dictionary is â€Å"to become different or to make someone or something different.† John P Kotter writes that change is always around â€Å"changing the behavior of people† (preface XII) Kotter explains that change is a concept that is used by organizations to restructure or improve their business behavior. Companies find it difficult to initiate change due to the lack of motivating employees or leaders. In his book, Kotter proposes an eight stage process that could support organizations that are looking for change. Discussion The Eight important stages of change by John P. Kotter Stage one: Establishing a Sense of Urgency In this stage Kotter shares business stories of successful companies that increased urgency to spark a change. He explains that there are four behaviors which could prevent change. Behaviors related to â€Å"complacency, immobilization, self-protection, you-can’t-make-me-move deviance, and pessimistic attitude that leads to constant hesitation.† (Kotter and Cohen, p17) These four negative elements need to be approached carefully, if they are not, employees wouldn’t have sense of urgency to perform changes. To have a successful introduction to change and for it to be received with urgency, it has to be presented in a way that the leaders of an organization will back it up, as long as they are â€Å"part of a larger activity aimed at helping to lower feelings undermining urgency.† (Kotter and Cohen, p22)Show MoreRelatedChange By John P Kotter1164 Words   |  5 PagesIntroduction The definition of change according to the Webster dictionary is â€Å"to become different or to make someone or something different.† John P Kotter writes that change is always about â€Å"changing the behavior of people† (preface XII) Kotter explains that change is a concept that is used by organizations to restructure or improve their business behavior. Many companies find it difficult to initiate change due to the lack of motivating employees or leaders. In his book, Kotter proposes an eight stageRead MoreLeading Change by John P. Kotter1272 Words   |  6 PagesLeading Change by John P. Kotter Book review by Pat Naughtin Harvard-Professor John P. Kotter has been observing the process of change for 30 years. He believes that there are critical differences between change efforts that have been successful, and change efforts that have failed. What interests him is why some people are able to get their organizations to change dramatically — while most do not. John P. Kotter writes: Over the past decade, I have watched more than a hundred companies try to remakeRead MoreLeading Change By John P. Kotter1274 Words   |  6 PagesGwyn Nunnelee MG401 Week 7 Research Paper Leading Change By John P. Kotter After publishing the article â€Å"Leading Change; Why Transformation Efforts Fail† in 1994, John Kotter decided that he wanted to develop a practical roadmap for leaders of organizations to identify why change fails, and simple steps that can be explained to help organizations develop leadership as a vessel for successful change. Kotter, successful professor of business at Harvard and world traveled business lecturer, opensRead MoreThe Heart Of Change By John P. Kotter1651 Words   |  7 PagesHeart of Change† by John P. Kotter, is a collection of stories from actual people who implemented change with in their organization. The author starts by giving the take away message at the beginning. â€Å"People change what they do less because they are given analysis that shifts their thinking than because they shown a truth that influences their feelings†, meaning people won’t change just because you give them data stating they need change. They change because y ou make them see and feel the change. ThisRead MoreAnalysis Of The Article Winning At Change By John P. Kotter918 Words   |  4 PagesQuestion 30 The four mistakes discussed in the article Winning at Change by John P. Kotter are partly (very slightly) and indirectly discussed in Chapter 14. One of the key factors in the chapter is the rational approach to organization change and includes Beer’s model that is used to understand why change initiatives fail. Kotter’s 4 common mistakes 1. Failing to establish a sense of urgency- Kotter mentions this as the first crucial step to gain the team’s momentum and develop an action plan.Read MoreJohn Kotters Eight Stage Change Model1284 Words   |  6 PagesAbstract This paper discusses John Kotter’s Eight-Stage Change Model and how it can be used as a guide when implementing change within an organization. The roles of various stakeholders including senior and emerging leaders, managers and employees throughout the eight stages are defined. In addition, factors which can contribute to a failed organization change initiative are discussed. Transforming an organization from a sub-optimizing enterprise of independently functioning departments toRead MoreImplementation Of Implementing Change And Developing Worldwide Rivalry1452 Words   |  6 PagesIMPLEMENTING CHANGE Introduction: Businesses are constantly required to adapt to changing environment in order to maintain their position in the market and even more so if they are to truly grow.† (Biedenbacha and Soumlderholma, 2008). Changes are the crucial things in â€Å"the present market, the present rate of technological progress and growing and developing worldwide rivalry let us predict a proceeding with requirement change in future. (Armenakis and Harris, 2009). The writer says change never beginsRead MoreJohn Kotters Eight Stage Model Essay1285 Words   |  6 PagesAbstract This paper discusses John Kotter’s Eight-Stage Change Model and how it can be used as a guide when implementing change within an organization. The roles of various stakeholders including senior and emerging leaders, managers and employees throughout the eight stages are defined. In addition, factors which can contribute to a failed organization change initiative are discussed. Transforming an organization from a sub-optimizing enterprise of independently functioning departments toRead MoreEssay on â€Å"Leading Change: Why Transformation Efforts Fail†868 Words   |  4 Pagesacknowledge the need to experience change and transformation in order to survive. The key challenges companies face are due to the advancements in technology, the social environment caused by globalization, the pace of competition, and the demands regarding customer expectations. It is difficult to overcome the obstacles involved with change despite all the articles, books, and publications devoted to the topic. People are naturally resistant to fundamental changes and often intimidated by the process;Read MoreOur Iceberg Is Melting : Changing And Succeeding Under Any Conditions1634 Words   |  7 PagesMelting: Changing and Succeeding Under Any Conditions is a fable written by John Kotter and Holger Rathgeber. Dr. John Kotter was a professor at Harvard but is now retired. Known as the â€Å"world’s foremost leadership and change guru† (Kotter and Rathgeber, 2005, p. 147), Kotter is involved in many organizations that help others drive change and leadership. Kotter has written multiple successful books about utilizing change and leadership for self-growth. Holger Rathgeber is a â€Å"vice president of human

Sunday, December 15, 2019

The Grand Canyon Railway Free Essays

One interesting feature of the southwestern United States is the area known as the â€Å"Four Comers. † the only place in the United States where four slates meet at one point. Within the 130,000 square miles of the Colorado Plateau in this region lie many wonders of nature. We will write a custom essay sample on The Grand Canyon Railway or any similar topic only for you Order Now The plateau contains eight national parks, twenty national monuments, as well as numerous other nationally designated areas and huge tracts of national forests. This wealth of natural features and the cultures of the various Native American tribes in the region have made the area an important destination for tourists, especially those interested in natural history and culture. The â€Å"crown jewel† for this region is generally considered to be the Grand Canyon, one of the seven natural wonders of the world. This wonder of nature is 190 miles long, one mile deep, and between 4 and 18 miles wide. The Grand Canyon covers 1. 900 square miles of the Colorado Plateau and is home to 1,000 species of plants 250 species of birds and 70 species of animals. A number of Native American tribes are found in the region of the Grand Canyon, including the Hualapai, Hopi. Navajo and Havasupai (who live on the floor of a side canyon) The principal attraction to visitors is the sheer size and beauty of the canyon itself. The walls of the Grand Canyon are made up of many layers of rock, with widely varying textures, colors, and hues. This panorama of nature changes by the season, weather, and time of day. Generally, the morning and late afternoon offer the most striking views for visitors to the canyon. The South Rim in Grand Canyon National Park (Grand Canyon NP) is open year-round, whereas the North Rim (also in the park) is closed in winter. In the summer months, Grand Canyon NP becomes quite crowded with visitors and motor vehicles. Consideration is being given by the National Park Service to ban vehicles from the park and move visitors around the park by shuffle buses. Williams, Arizona, serves as one important â€Å"jumping off† point for visitors traveling to Grand Canyon NP, with the South Rim of the canyon only fifty-nine miles north of the town. Williams is closely identified with travel to the canyon and has even registered the trademark â€Å"The Gateway to the Grand Canyon,† which no others may use. At an elevation of 6,800 feet, Williams, by itself, has many attractions in the town and surrounding area such as lakes for swimming and fishing, horseback iding, and a downtown listed on the National Register of Historic Places. The surrounding Kaibab National Forest in the vicinity of Williams offers opportunities for camping, fishing, and hiking for both visitors and resident alike. The town has for many years been an important transportation hub for both rail and highway. Williams is closely identified with Route 66, also known as the â€Å"Mother Road,† that connected Chicago, Illinois and Santa Monica, California, long before the interstate highway system was developed. Williams has the last stretch of the original Route 66 bypassed by the interstate system (in this case, 1-40). Even before highways became highly developed, Williams has served as a railroad terminal (since 1882) for the forerunners of the Atchison, Topeka, the Santa Fe Railroad (Santa Fe) the latter continues to serve the town today with freight-only service. The most popular way for visitors to get from cither Williams or Flagstaff (thirty-two miles to the east) to Grand Canyon NP is by motor vehicle, although the pending restrictions on vehicles might be expected to change this somewhat. An attractive alternative for some visitors is to travel between Williams and the Grand Canyon by rail. The Grand Canyon Railway (GCRy) offers this option with one round-trip per day. This rail service, which operates purely as a tourist railroad, began operations in September 1989 and has provided daily service since that day (except for December 24 and 25). Historically, rail service on this line began much earlier but passenger service was abandoned in the 1960s due to economic pressures from the automobile. Freight service from the Santa Fe was abandoned in 1974, with no work performed on the track between Williams and the Grand Canyon until 1989. The work to get the GCRy running was monumental, because all engines and passenger cars had to be acquired and completely rebuilt. In addition, the depot at Williams and the adjoining Fray Marcos Hotel were in need of substantial refurbishing. In the depot, operating offices, ticket offices, a waiting room, and souvenir shop are found. All of this work was accomplished in a span of seven months to be ready for the September 1989 opening. Today, the GCRy provides an interesting and nostalgic way for visitors to travel to the canyon. During the summer months, daily round-trip rail service is provided by steam locomotive, and in the winter diesel locomotives are used due to the severity of weather conditions. For all service, passengers travel in railcars that date from 1923 and are reconditioned to approximate that time period. Departure from Williams is at 9:30 A. M. and arrival at Grand Canyon NP is at 11:45 A. M. , in the center of the park’s historic district at the 1910 Grand Canyon Depot. The train departs from the Grand Canyon at 3:15 P. M. and arrives back in Williams at 5:30 P. M. No smoking is allowed on the train in â€Å"any of the railcars. Reservations can be made by calling a toll-free number, 1-800-THE TRAIN. Information about the train ride, but not reservations, is available on the railroad’s website, wvw. thetrain. com. Different classes of serviceareoffered to travelers, depending on the fare paid and the car in which a passenger rides. The basic coach service is priced â€Å"at $49. 50 per adult and $19. 50 per child. Snacks are available for purchase; Diet Coke and Coke are complimentary in this class, with the latter served in GCRy keepsake bottles. Club Class, which includes the availability of alcoholic beverages and complimentary coffee and pastries in the morning, is priced at an additional $14. 50. The Coconino Main Class provides recliner chairs, a full continental breakfast, appetizers and champagne in the afternoon and the availability of alcoholic beverages for an additional $49. 50 per person. Coconino Dome Class represents a further upgrade. The service level is the same as Coconino Main Class, but passengers ride in an upper level enclosed dome which provides unsurpassed views of the surrounding landscape. The highest class of service, Chief Class, is provided in a railcar with an open-air rear platform; complimentary continental breakfast, coffee, tea, and juice are provided in the morning and champagne and appetizers in the afternoon. This class of service is priced at an additional $64. 50 per person. For all classes, the entrance fee to Grand Canyon NP is an additional charge. Oilier services are also available from the GCRy for additional charges. Continental breakfast is served in the terminal for $5. 95 per person until the train departs. Narrated motorcoach tours of the South Rim of the Grand Canyon are available from the Fred Harvey Transportation Company (the concessionaire for Grand Canyon NP) of varying lengths, some of which include lunch. Packages are available which may include one or two nights at the Fray Marcos Hotel in Williams and one night at a hotel in Grand Ganyon NP. During the ride from/to Williams many natural and man-made venues can be seen. There is formal narration for some of these venues and a printed guide is available for purchase, which describes these sights and provides a history of the GCRy. Interestingly only a very limited view of the Grand Ganyon is available from the train just as it arrives at and departs from the park. In Coach Class, each railcar has an attendant who serves beverages (Coke and Diet Coke), goes around with snacks for sale, and engages in conversations with the passengers. During the summer, many of these attendants are college students on break from their studies. The Grand Canyon Railway uses costumed performers in a number of different ways to simulate an earlier time period. Before the train departs from Williams, performers stage an â€Å"Old West† gunfight, just as was found some 100 years ago, Performers also move among the railcars: often singing songs of the â€Å"Old West, during the trip to the Grand Canyon. Passengers are encouraged to sing along with the performers. All of the performers are costumed in the’ type of dress found at the â€Å"turn-of-the-century. † On the return trip, the activities are slightly different. A group of performers stage a train robbery, just as was found during earlier times in the southwestern United States. Passengers are included in portions of the action, but none are actually robbed. Eventually, the sheriff captures the train robbers and takes them away to be put in jail. Passengers, especially younger children, enjoy this activity, which makes the trip back to Williams seem much shorter than it actually is. The other activity that some engage in is to take a nap, because many are fired due to their activities at the high altitude and in the low humidity of the Colorado Plateau. A recent survey conducted by the GCRy found that many passengers rate their train trip experience as excellent. Perhaps just as important, these passengers say that they would recommend the GCRy trip to friends. Additionally, the most satisfied passengers were likely to return again. Passenger satisfaction derives from the varied experiences received during the round-trip ride and the Grand Canyon itself wish the latter experience not under control of the GCRy but rather the National Park Service. ?This case was prepared by Dr. Fredrick M. Collision and is intended for classroom use. The situations portrayed here do not imply either effective or ineffective management on the pun of the Grand Canyon Railway. The cast: was written based on published materials of the railroad, the National Park Service, the, Williams-Grand Canyon News and the author’s personal experience. How to cite The Grand Canyon Railway, Essay examples

Saturday, December 7, 2019

Facebook Acquires Whatsapp - Free Assignment Sample by Expert

Question: Discuss about acquisitions of Facebook and Whatsapp? Answer: Mergers and acquisitions are the best ways by which the management can ensure that they get an opportunity to have their presence in different areas of business. It is merely impossible for any business to develop products or services in all the different areas and this is when merger and acquisition comes into picture. Merger and acquisition allows the business to spread its wings and this is one of the simplest ways by which the business can enter diversified market, diversified technology and also diversified industry. Mergers and acquisitions may seem simple externally but the management of both the organization will have to undertake plenty of activities so that the functioning of business can be smooth. Corporate strategies, corporate finance and management of both the organization would have been completely different than that of each other. They will have to reach mutual terms so that the new organization can operate efficiently (Forbes 2014). After due consideration, Facebook decided to buy WhatsApp. Most of the industry analysts state that this decision cannot be considered to be appropriate but it is not true. $19 billion is a big amount and if Facebook has decided to make an investment on WhatsApp then they would have considered all the possible factors. Irrespective of the fact that Facebook and WhatsApp are two different things, this merger is considered as one of the major acquisition in the year 2014. Facebook is a very popular social media and hence, people from different corners of the world are addicted to it but there are people who still prefer to stay away from Facebook. This is not the case with WhatsApp. Most of the people today are dependent on Whatsapp so that they can stay in touch their real friend. By way of acquiring Whatsapp, Facebook can ensure that they have their presence in social media as well as messaging service. This will allow them to dominate the complete teen market (MacBride 2014). In the past, Facebook had clearly stated that they are noticing a drop in the number of teen Facebook users. Facebook tried multiple strategies so that they can attract the young crowd but things didnt work for Facebook as planned. The ultimate goal of Facebook is to ensure that they should play a keen role in social media. They want to have their presence in places wherein people interact and socialize with each other. Apart from that, Facebook is trying its level best since long to have its presence in messaging and chat service. Facebook twice tried to buy Snapchat. Snapchat is a photo chat application. Snapchat revoked the offer both the times as they were not satisfied with the price that was offer. In the year 2011, Facebook messenger was introduced but that was a failure as most of the people dont prefer to have it in the mobile (Forbes 2014). Acquiring Whatsapp, for Facebook, is more than that of having a chat application wherein people can interact with each other. With the help of Whatsapp, Facebook will get access to a wide range of database. Facebook can also understand and use the data to understand the mobile usage pattern of the Whatsapp users. Most of the people were under the assumption that Whatsapp and Facebook messenger is the same but at the time of merger, Zuckerberg made it clear that it is not a fact. Messenger cannot be used by people at all point of time but Whatsapp is used by people to interact with friends, relatives and colleagues at all point of time. Zuckerberg also made it very clear that Facebook will be investing time, resources and money on Facebook messenger as well as Whatsapp (Mail Online 2014). Looking at the number of users, it can be seen that Facebook has already 1.2 billion active users, every month but the real problem is in reaching another billion. This is one of the areas wherein Whatsapp can add value to Facebook. Whatsapp has its strong presence in different corners of the world and this can add real value to Facebook. Whatsapp has its strong presence in developed markets as well as developing markets. This can be beneficial to Facebook as they can penetrate the market which was impossible in the past. Zuckerberg accepts to the fact that Whatsapp is the clear in countries like Europe, Latin America, Japan, Korea and in a lot of Asian countries. He states that he wants to be a part of social media but he is willing to explore other industries so that the business can explore (Bloomberg Business 2014). Facebook and Whatsapp are two different things. One may say that they both are same as it is used by people to interact with each other but there is something to both the applications. Facebook allows people to share their things, feelings and activities on social media so that all their friends, colleagues and relatives can get to know. One of the major problems with Facebook is privacy issues. Most of the people opted out of Facebook because of the privacy issues associated with it. On the other end, the data shared on Whatsapp is one-to-one and hence, the users felt more comfortable. This is one of the reasons due to which Whatsapp was considered to be a beneficial deal for Facebook (Pawade 2014). Facebook initially introduced chatting both the online users use to chat with each other, whenever both of them are online. This was very popular but then messenger was introduced by Facebook. Messaging is more like email wherein one of the users will drop a message to the other one and the other one will reply to the message on the next day when they will be online. Facebook messenger cannot be used for the purpose of real-time messaging but Whatsapp is used for real time messaging wherein one user can drop a message to the other one and then receiver can reply back to the message immediately. This ensures that people spend more time on Whatsapp rather than that of Facebook (The times of India 2014). Twitter recently introduced messaging service in Twitter. They stated that if two friends are walking on the street and if they see something nice, different or amazing then they will whisper in each others years. Private conversation is loved by people and it cannot be avoided by people at any cost. Due to the introduction of the messaging service, the usage of Twitter has increased by 25%. Facebook after acquiring Whatsapp gets a competitive edge. People today are completely dependent on smartphones and it is seen that the number of people using smartphone has increased drastically. Facebook believes that the features of Whatsapp will be an essential item for the smartphone users in the near future and this is when Facebook will derive the benefits of acquisition. Before the acquisition, the Facebook had its strong presence in the UK and the USA and hence, their revenue source was very much concentrated but that is not the case after the acquisition of Whatsapp. Whatsapp is used in other countries as well and hence, Facebook from have its revenue coming from different areas (CNN Money 2014). There are various things which can be problematic due to the acquisition of Whatsapp by Facebook. The management of Facebook was sure that the benefits of acquisition will overweigh the disadvantages and hence, they decided to go ahead with the deal rather than that of being skeptical about. Few of the disadvantages that were noticed due to the acquisition are discussed below. There are very high possibilities that Whatsapp will also require a registration in the near future. If every new user and the existing user will have to give their mobile number for the purpose of using Whatsapp application then Facebook will be able to create a huge database of mobile numbers. There are also very high chances that the users will not be interested to share their mobile number and hence, the number of users will automatically be reduced. Facebook should consider the fact that Whatsapp is a free application, which doesnt have any advertisements and at the same time, the users arent required to register. This is one of the reasons due to which most of the people are using Whatsapp over other chat and SMS services. If registering is required then Facebook will have to look for ways by which they can attract the customers to register themselves (Volz 2014). Facebook will be getting various advantages of having Whatsapp but this deal was expensive. Facebook had to sheel out $19 billion so that they can acquire one of the most popular chat systems that they have. Facebook has various plans to grow the business and that is one of the reasons due to which they have made this investment but there are high possibilities that some problem may arise when the plan will be implemented. Facebook is considered as one of the richest companies but yes, they will have to justify the investment that they have made. Most of the analyst stated that Facebook would have acquired some other chat system rather than that of Whatsapp. Due to the popularity of Whatsapp, Whatsapp is priced heavily and the room for negotiation for Facebook was very less (Tech Crunch 2014). This acquisition is not only beneficial or problematic to Facebook and Whatsapp as other there are companies associated with these two companies. Snap Chat was having high hopes from Facebook as Facebook was willing to acquire that company before Whatsapp. Initially, Facebook offered $1 billion for acquiring this company but the offer was revoked by Snap Chat. Later Facebook offered $3 billion and again this offer was revoked by Snap Chat application company. The management of Snap chat might be expecting that Facebook will come back to them for the third time with a better offer but Facebook decided to shell out $19 billion to acquire Whatsapp. Snap Chat will continue to operate independently (Facebook Newsroom 2014). The management of Facebook thought that the shareholders and the stakeholders will be more than happy about the decision of acquiring Whatsapp but the shareholders didnt feel so. It was seen that within few hours, the share prices of Facebook fell by 5%. Even months after the acquisition, it was seen that the stock prices was 3% lower than what it was it was in the past. The stakeholders werent happy about the managements decision to pay $19 billion. The shareholders were disappointed and hence, few of the shareholders bought back their Facebook shares. Facebook never thought that the shareholders will be disappointed and during the initial days of acquisition, the management was wondering if there are possibilities for the share prices to fall even more (Strugatz 2014). Plenty of things were considered by Facebook before they decided to go ahead and buy Whatsapp. The management of Facebook considered various aspects so that they can be rest assured about their decision to go ahead with Whatsapp. Few of the things that were considered before Whatapp was acquired by Facebook are discussed below. First and foremost, Facebook thought about the legal issues so that both the companies can be clear about the roles and responsibilities that each one will be playing during the acquisition and also after the acquisition. Facebook checked on the strengths and weaknesses of Whatsapp and accordingly, the purchase contract was prepared. Facebook requested Whatsapp to share their financial history. Facebook wanted to be sure that they are making an investment in the right company. Apart from that, Whatsapp also checked on the competitors who were prevalent for Whatsapp. Facebook also kept their options open so that they can acquire some other company, if that seems to be better than that of Whatsapp. The condition of the assets at Whatsapp was considered before commitment to the management of Whatsapp. Lastly, the operations of both the companies after acquisition were discussed. This ensured that the employees of Whatsapp will continue to work as they were doing in the past (BBC News 20 14). Facebook knew that this is going to be an expensive deal but the management of Facebook wanted to be rest assured that the money that they investing is worth. Once it was finalized that Facebook will be acquiring Whatsapp at the cost of $19 billion, Facebook took some time to decide if it is possible for them to make this arrangement. They considered various funding options so that they can be aware of the various sources of finance. Before making arrangements for cash, the management decided to check on the assets that are available, the condition of assets, and the experience of the employees in the organization, the skillsets that the employees possess and also the trainings that they will require in the near future. The physical land and also the equipment will be evaluated. Facebook evaluated the books of account in-depth so that nothing is left out. The accounts payable, accounts receivable and patents will be verified so that last minute confusions can be avoided (Yahoo Financ e 2014). Management of the business was well considered by Facebook so that they can manage both the organizations efficiently. The management of Facebook decided to clear communicate on the roles and responsibilities that will be handled by both the organizations. The management of Facebook wanted some time to learn about the business operations and hence, they decided to allow Whatsapp to continue with the operations as they did in the past. Apart from the regular activities, both the organizations also decided on the final decision making authority that will be held by different management members. There was a non-disclosure agreement between both the companies so that none of the confidential information is shared with the third party. After all the due consideration, it was decided that this acquisition shouldnt create any impact on the users. Facebook also wanted things to be as it is because if some changes in the application then there are very high chances that the end-users will not accept it. This will be a loss to Facebook and they were not willing to take this risk (Wood 2014). This deal is beneficial to both the companies and hence, they decided to go ahead. Whatsapp is already having 450 million users and they are continuously growing. It is seen that there are many people who are using Facebook but they havent installed Whatsapp. Such users will install Whatsapp and hence, the user base for Whatsapp will grow. The business model of Whatsapp has the potential to grow further. This application can be installed for free of cost and hence, adds on to the possibility of being used by many. After using the application for one year, the user just needs to 0.99 cents and this is very affordable by everyone. This is one of the reasons due to which Whatsapp will grow without any stoppage. Irrespective of the fact that Facebook and WhatsApp are two different things, this merger is considered as one of the major acquisition in the year 2014. Facebook is a very popular social media and hence, people from different corners of the world are addicted to it but there are people who still prefer to stay away from Facebook. The ultimate goal of Facebook is to ensure that they should play a keen role in social media. They want to have their presence in places wherein people interact and socialize with each other. Most of the people were under the assumption that Whatsapp and Facebook messenger is the same but at the time of merger, Zuckerberg made it clear that it is not a fact. Messenger cannot be used by people at all point of time but Whatsapp is used by people to interact with friends, relatives and colleagues at all point of time (The guardian 2014). Messaging is more like email wherein one of the users will drop a message to the other one and the other one will reply to the message on the next day when they will be online. Due to the introduction of the messaging service, the usage of Twitter has increased by 25%. Facebook after acquiring Whatsapp gets a competitive edge. Before the acquisition, the Facebook had its strong presence in the UK and the USA and hence, their revenue source was very much concentrated but that is not the case after the acquisition of Whatsapp. There are also very high chances that the users will not be interested to share their mobile number and hence, the number of users will automatically be reduced. Facebook should consider the fact that Whatsapp is a free application, which doesnt have any advertisements and at the same time, the users arent required to register (Sequoia Capital 2014). Once it was finalized that Facebook will be acquiring Whatsapp at the cost of $19 billion, Facebook took some time to decide if it is possible for them to make this arrangement. They considered various funding options so that they can be aware of the various sources of finance. The management of Facebook wanted some time to learn about the business operations and hence, they decided to allow Whatsapp to continue with the operations as they did in the past. Apart from the regular activities, both the organizations also decided on the final decision making authority that will be held by different management members. It is seen that there are many people who are using Facebook but they havent installed Whatsapp. Such users will install Whatsapp and hence, the user base for Whatsapp will grow. The business model of Whatsapp has the potential to grow further (Time 2014). Facebook and Whatsapp is one of the biggest acquisitions that have taken place in the year 2014. Stakeholders are still confused regarding the future if the deal. Facebook and Whatsapp have promised the end user that no change will be seen in the application. Apart from that, the management of Facebook has stated that Whatsapp will continue to operate separately as they were doing in the past. Both Facebook and Whatsapp are going to benefit from the acquisition. Whatsapp has got $19 million and this is a chance for Facebook to reach the customer base which wouldnt have been possible otherwise. Facebook strongly believes that this deal is not expensive because they can reach the customers who wouldnt have been possible otherwise (Reuters 2014). 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