(Mt) – CC Management Zynga Case Analysis Research Paper

SOLUTION AT Academic Writers Bay

View attached explanation and answer. Let me know if you have any questions.Running head: ZYNGA1ZYNGABA 405 Case Analysis Research PaperNameCourseDateZYNGA2Zynga Inc. is a global internet-based company of American origin. The Americancorporation operates social video game services focusing on social networking platforms andmobiles. The company, which has its headquarters in the region of San Francisco, was foundedin 2007 with the mission to bring the connection to the world through gaming. Zynga launchedits operations with the vision that it would become one of the internet’s core activities. Thecompany sought to make its games social, accessible, and simple to make the world engage andstart playing (LinkedIn, 2022).The company, which operates in the computer games industry, is publicly traded and hasbetween 1001-and 5000 employees. As a global leader in interactive entertainment, Zynga has amassive global outreach which enables the company to cater to the entertainment needs of mpeople in more than 175 nations and regions. The main focus areas of the company are socialnetworking sites and mobile. The company’s founders are Mark Pincus, Justin Waldron, EricSchiermeyer, Michael Luxton, Steve Schoettler, and Andrew Trader. The company adopts abusiness model where it generates revenue from partner companies, direct purchases through acredit card, and free-to-play options. The company also engages in in-game advertising on itsgame portals. There are also virtual goods sold to their customers as they play their games. Thecompany’s games come from deals with various partners, and players can earn deals for creditcards, purchase the company’s services, and complete surveys. The company enjoys a highlydiversified portfolio that brings together various popular games and franchises that have beendownloaded an excess of four billion times. These include Merge Dragons! ™, CSR Racing™,Toy Blast™, Zynga Poker™, Empires & Puzzles™, Golf Rival™, FarmVille™, Harry Potter:Puzzles & Spells™, Hair Challenge™, Merge Magic! ™, High Heels! ™, Toon Blast™, andZYNGA3Words with Friends™ (Zynga Inc, 2021). The company also has Chartboost, which is a leadingplatform for monetization and leading mobile advertising.Zynga enjoys the benefits of being a leading player in the industry in terms of the nextgeneration platform to optimize programmatic advertising while at the same time yielding atscale. A person can therefore access the social games provided by this company on socialnetworks such as Facebook, as Zynga app, and at Zynga website (Ookla, LLC. Downdetector®,2022). This paper aims to undertake an in-depth review of the company. It will look at two of themajor issues the company faces and carry out an assessment of the company based on SWOTand Porter’s five forces. It will then highlight recommendations for the executives.ISSUESA look at Zynga Inc. shows that although the enterprise is a leading player in the gamingworld, it continues to experience some challenges which affect its operations adversely. The firstchallenge that the company experiences are operational challenges. There have been reports thatthe company often experiences delays in response time in its games (Isitdownrightnow.com,2022; Zynga Inc Player Support, 2022). Therefore, the players’ experience is adversely affectedas delays and poor responses curtail their gaming experiences.Further, another major challenge that the company faces is the threat to the platform’sreliability, which has been threatened and put at risk by the issue of cyber-attacks, privacyconcerns, and data breaches. As the world grows and relies on digital platforms, maliciouselements have also risen in the area, adversely affecting the industry. The company, therefore,has an uphill task to ensure the reliability of its platforms and safeguard the privacy and securityconcerns of its customers.ZYNGA4ANALYSESFinancial AnalysisA look at the financial reports of Zynga Inc shows that the company has continued toexperience improved financial performance over the last four years. According to Fusion MediaLimited (2022), the company experienced a revenue increase for the fiscal year that ended on 31December 2021. The company enjoyed a revenue increase in this period to $2.8B billion, whichrepresented a 42% increase. The company’s online game mobile was able to experience anincrease of 36% to reach $2.18B, while other mobile segments and advertising increased by 80%to reach $543M.Figure 1 Zynga Inc Income StatementZYNGAThe financial statement shows that the company has experienced a continual increase inits total revenue from 2018 to 2021. Similarly, the company was also able to increase the levelof—gross profit within the firm for the same period.Figure 2: Zynga Balance SheetThe findings on the balance sheet of the company for the last four years show that thecompany’s total assets have continued to increase from 2146.7 in 2018 to 6358.9 in 2021. Thecompany’s assets are higher than its liabilities, and the firm’s total equity has experienced an…



error: Content is protected !!