VC7

Question: List the pros, cons, and unknowns if Facebook were to seek a way for the Chinese government to allow its expansion into China. What are the risks if the firm remains out of the country? What do you think the firm should do?

There are some pros, cons, and unknowns if Facebook were to seek a way for the Chinese government to allow its expansion into china. Some of these pros would include market access,Revenue Growth, Competitive advantage, and more. Some cons would include Government control, Property Risks, and also reputation risk.  There are risks that if the firm remains out of the country, that is where there will be pros and cons that would come into play.  China is a very controversial country in which the country is ran. Due to this, Facebook has concerns about allowing facebook expansion into China.  Facebook should do one of three things which are: allow an expansion into China, do not allow an expansion into China, or even allow the expansion, but have stipulations. The stakeholders that are in with Facebook would also be stockholders and would affect them financially depending on the answer to whether facebook is allowed in China or not. 

There are a couple options for Facebook expansion such as having an agreement to allow Facebook into China with no problems. Another option would be allowing it into China, but with some restrictions based on how China and Facebook would connect. Or, not allowing Facebook into the country of China at all. This makes me feel as if Facebook could really be successful in another country because the financial part of it would be great for both parties. Also, allowing Facebook into China would possibly be able to allow Facebook into more countries and that would allow lots of users to connect to each other. Last but not least, for me to pick an opinion, I'm going to allow Facebook into the country with no problems, but to make sure that Facebook does not go majorly bad in China with things that could go wrong.