Only those networks, which are most innovative, and the most convenient for usage are likely to attract a critical mass of users and become successful. Such is the situation with Facebook at the moment and MySpace in the past. These social networks are the leaders in the US market, and Facebook currently leads in the competition with its unique open platform strategy – a valuable, rare and rather hard-to-imitate resource.
Some unique features and capabilities of Cyworld included the security of customers’ information, the guarantee of protection from fraud, and the experience of tremendous success in Korea. Cyworld was predominantly used to manage already existing relationships its members were freer in their interactions, including commercial ones, and their privacy and identity was protected by the KBA system.
The unprecedented popularity of Cyworld in South Korea where almost all young population is registered in this social network allowed stating that Cyworld is likely to perform successfully at the global level. Cyworld’s unique features and capabilities, however, turned out to be tied to its domestic market and inappropriate to compete with networks such as Facebook in the US.
A variety of factors such as lack of technological innovations (closed platform), the mentality of other countries’ population, psychosocial issues, market saturation, and cultural barriers contributed to the failure of Cyworld in the United States social networking market.
Table of Contents
- Preface
- Introduction
- Cyworld and its Major Competitors in the USA
- Cyworld
Objectives and Key Themes
This essay aims to analyze the reasons behind Cyworld's unsuccessful attempt to establish itself in the US social networking market. The author will examine the US market, Cyworld's characteristics and strategies, and the challenges it faced in competing with established players.
- Cyworld's success in South Korea and its strategies
- The competitive landscape of the US social networking market
- Cyworld's challenges in adapting to the US market
- Analysis of Cyworld's business model and its limitations in the US context
- Comparison of Cyworld with its major competitors (e.g., MySpace, Facebook)
Chapter Summaries
Preface: This preface briefly introduces the paper's focus on analyzing the reasons for Cyworld's withdrawal from the US market, noting that the decision to withdraw was made after the paper had already begun.
Introduction: This chapter defines online communities and social networks, highlighting the commonalities and unique features that drive intense competition within the industry. It introduces Cyworld's failure in the US market, contrasting it with the success of MySpace and Facebook, and states the essay's aim to explore potential reasons for this failure.
Cyworld and its Major Competitors in the USA: This chapter provides a detailed overview of Cyworld's remarkable success in South Korea, emphasizing its large user base, unique features like mini-hompy pages and virtual gifts, and its innovative revenue model based on virtual item sales. It contrasts Cyworld's strategy with that of Facebook, highlighting Facebook's global reach and dominance as a social networking platform. The chapter also discusses Cyworld's use of mobile networking and advertising, emphasizing the role of SK Telecom's partnership in its success in South Korea and its potential for global expansion.
Keywords
Cyworld, MySpace, Facebook, social networking, US market, South Korea, business model, virtual items, mini-hompy, mobile networking, advertising, competitive advantage, market failure, international expansion.
Frequently Asked Questions: Analysis of Cyworld's Failure in the US Market
What is the main topic of this document?
This document is a comprehensive preview of an essay analyzing the reasons behind Cyworld's unsuccessful attempt to establish itself in the US social networking market. It includes the table of contents, objectives and key themes, chapter summaries, and keywords.
What are the key themes explored in the essay?
The essay explores Cyworld's success in South Korea and its strategies, the competitive landscape of the US social networking market, Cyworld's challenges in adapting to the US market, an analysis of Cyworld's business model and its limitations in the US context, and a comparison of Cyworld with its major competitors (MySpace, Facebook).
What does the preface cover?
The preface briefly introduces the paper's focus on analyzing the reasons for Cyworld's withdrawal from the US market, noting that the decision to withdraw was made after the paper had already begun.
What is discussed in the introduction?
The introduction defines online communities and social networks, highlighting the commonalities and unique features that drive intense competition. It introduces Cyworld's failure in the US market, contrasting it with the success of MySpace and Facebook, and states the essay's aim to explore potential reasons for this failure.
What is covered in the chapter on Cyworld and its major competitors?
This chapter details Cyworld's success in South Korea, emphasizing its large user base, unique features (mini-hompy pages and virtual gifts), and its innovative revenue model. It contrasts Cyworld's strategy with Facebook's, highlighting Facebook's global reach and dominance. The chapter also discusses Cyworld's use of mobile networking and advertising and the role of SK Telecom's partnership.
What are the keywords associated with this essay?
The keywords include: Cyworld, MySpace, Facebook, social networking, US market, South Korea, business model, virtual items, mini-hompy, mobile networking, advertising, competitive advantage, market failure, and international expansion.
What is the overall objective of the essay?
The essay aims to analyze the reasons behind Cyworld's unsuccessful attempt to establish itself in the US social networking market by examining the US market, Cyworld's characteristics and strategies, and the challenges it faced competing with established players.
- Citation du texte
- Timo Beck (Auteur), 2009, The United States Social Networking Market, Munich, GRIN Verlag, https://www.grin.com/document/140972
