Strategic Audit of Twitter Company - Essay Example

Additionally, the alternative strategy relating to advertising services will be an effective measure for improving profit margin. Current Performance. In the present contemporary era, social media technologies are identified to play an effective role in the field of communication. Presently, there are several social networking service providers and Twitter is one of them. Online users with the use of Twitter are able to convey as well as read short messages with 140 characters. The social networking service provider has offered the global people with a platform for expressing as well as performing conversation relatively at cheaper rate.

The service provider has been performing operations with better effectiveness over the years. In this respect, during the year 2013, the company has been conducting operations with revenue of around US$ 176.2 million. However, the company incurred loss of around US$ 645.3 in the same year. The revenue growth rate of the company has been slow due to lessening user base (Twitter, Inc., “Annual Report 2013”). The company has made investment in different spheres that include technology infrastructure, sales and marketing, research and development (R&D), expansion operations, retaining employees and strategic opportunities among others.

In this regard, the company is identified to witness fluctuation in return on investment (ROI) for investors and shareholders. ROI of the company has been positive for the advertisers, as they are able to generate better returns on their investments (Twitter, Inc., “Annual Report 2013”). Twitter is a US based company. The company has expanded business operation on a global context in different countries that include Brazil, the UK, Australia, Canada and Japan. In this regard, the number of users of the company has increased to a substantial level.

Based on the