The aftereffects in business market after Snapchat rejects Facebook offer
Snapchat- a brief history and the gain of popularity among users
Nowadays people are finding new ways of socializing with others and are more interested in becoming
popular online. In these situations, an application was launched in the market under Evan Spiegel. He is
the CEO of the popular photo sharing app snap chat. For the teenagers it’s a cool app and also has some
exciting features like hassle free photo sharing, messages, etc. The messages and Snapchat pictures do
disappear soon after are read or viewed. This is a very cool feature and it also serves as a privacy measure.
As a result, people love the app and are spending more and more time on the app sending and receiving
Snapchat pictures. It is becoming popular to the masses. Another social networking giant Facebook is
finding it difficult to digest as it is losing its market to a comparatively very small company. Facebook
has literally taken over all the popular social networking companies like Whatsapp, Instagram, etc. and
trying to establish a monopoly in the market of social networking. In such a situation Snapchat is also no
exception. It tried to take over Snap chat as well.
Facebook’s offer and the reply from Evan Spiegel
Well, at the age of twenty three if anyone gets an offer of a whooping $3 billion for his outstanding idea,
that also from a social networking tycoon like Facebook, he is most likely to accept the offer. But our
CEO Evan Spiegel thought differently. He did not accept the deal and which is a gamble according to some
experts. The company was just 2 years old and it was gaining huge popularity. So Evan decided not to sell
off the company and continued.
Trends in the market after rejection of the deal by Snap chat
After the $3 billion offer from Facebook was rejected the news made to the headlines and Snap chat got a
lot of publicity for some time, but soon after that, everything was back to normal in the market. The share
market was riding as usual. Macy’s gave it a boosting when it announced larger than expected profits.
The departmental store chain also hinted at plans for a holiday sale which can be taken as a god sign.
The S&P 500 also raised 14points to 1782, this year they reached their 34th
made profit, the sales and profits of Cisco, the renowned seller of software, router, switches, and services
reduced. It was not up to the expectation. The price of the used cars are coming down which is a sign of the
repairing economy. The average price of the used cars is lowest in the last 4 years. The Union machinists
at Boeing in Seattle have rejected a contract for secure jobs in exchange of health care concessions and
pensions. They would have received a $10,000 signing bonus but they rejected the offer by a 2-1 margin
which can also mean that the production of Boeing’s 777 next generation planes can go to other state.
record close. Well, as Macy’s