Nama : Ade Oktaviani

NRP : 09211950055007

Question 1
Perform an ethical analysis of Facebook, what is the ethical dilemma presented by this case?

Facebook is the leading Social Networking Site of the World. Facebook mission is to make the
world more open and connected. Facebook helps Internet users stay connected with their friends,
families, and colleagues. It helps them discover and learn more about what is going on in the world
around them. It helps them express themselves by sharing their opinions, ideas, photos, and
activities. However, what the company actually does is to share tons of information about users
with large multinational advertisers to bring the benefit for it. Advertisers can engage with users
based upon the information shared by users such as age, gender, location, education, work history
or specific interests. Facebook CEO Mark Zuckerberg often says that people want to be more open
and connected. It's unclear whether that is truly the case, but it is certainly true that Facebook
wants the world to be more open and connected because it stands to make more money in that
world.

Question 2
What is the relationship of privacy to Facebook’s business model?

Talking privacy to Facebook is a bit ironic. Facebook’s entire business model is based on
aggregation and sharing user information. They give people a free social media platform to use
and in turn sell advertising and insights based on what they learn about user. Facebook has massive
capabilities to collect, store and analyze data. This allows Facebook to sell very targeted
advertising. Therefore, privacy is the Facebook business model.

Question 3
Describe the weaknesses of Facebook’s privacy policies and features. What management,
organization, and technology factors have contributed to those weaknesses?

The weakness behind Facebook's privacy issues was a lack of communication between Facebook
and its users. The facebook.com has try to protect their users privacy information a lot, but there
still have some weaknesses which didn’t solve. People are worry about the handling and usage
which the facebook doing with “the extensive information it collects from its users. But the
situation is, the facebook should try they best to use their users privacy information to increase the
revenues, but they can’t violate the privacy of their users. So in my opinion, the facebook are make
profit from their user’s information, but lots of users think their information are privacy and they
don’t believe the facebook’s privacy policies. So the facebook should pay lots of money to “truly
capitalize on the massive audience and immersive environment of the site. That’s all the
weaknesses of Facebook’s privacy policies. The company’s Beacon advertising service was the
management to help the facebook to develop their privacy policies, this service can help the users
to protect their account and protect their information also. But this assumption was often making
mistakes, so many people are protest the Beacon. A organization which called the civic action
group MoveOn.org created a facebook group to against the Beacon. So finally the Facebook.com
change this service and gave their users the ability to disable it completely.
The New Feed feature is another example of the facebook.com use their users information
incorrectly. People think it’s “overly invasive so another organization “Students against Facebook
News Feed” start to against this feature.
Now, Facebook has joined Myspace and other social network in offering a simpler process to
permanently delete your account and the personal information it contains. Facebook has developed
many applications or features like the Facebook Platform to solve these weaknesses; they are
widely use on the programs in Facebook in order to protect users profits.

Question 4
Will Facebook be able to have a successful business model without invading privacy? Explain
your answer. Are they any measure Facebook could take to make this possible?

Facebook as a social networking website provides people with many kinds of advantages to
communicate with others. Facebook target market based on their demographic information,
hobbies, regions, and specified criteria in a comfortable and engaging environment. People can
find their friends, see the updates of friends’ profiles, communicated with each other, and use
different applications on it. Business model intends to generate revenue and profits. As more and
more people register the site, the brand image is increasing. Based on the network effect, users do
businesses on the site. Facebook was widespread fast among high schools, colleges and
universities that provide an easy way to find friends. This made students want to join in it also
because of narrow potential network with details in school activities. Facebook’s value and growth
potential is determined by how effectively it can leverage the personal data is aggregated about its
users to attract advertisers. Advertising is the mainly revenue of Facebook. Therefore, in my
opinion, I don’t think Facebook will be able to have a successful model without invading privacy.