"Facebook Vs. Twitter IPO"
Throughout this semester we covered a lot of topics but the one that I really enjoyed learning about was equity. According to Investopedia, "equity is a stock or any other security representing an ownership interest." What really sparked my interest was IPO or initial public offering. This is when a company offers shares to stocks to the public which means that the owners are technically giving a part of there ownership and transferring it the stockholders.
In today's society there are so many different social media sites available to the public. Think about all the social media sites you can access from your phones, computers and tablets. Technology in our world has advanced to having everything you need at your fingertips in just a matter of seconds. Facebook is one of the main media sites. This site offers free social networking, which allows its users to upload pictures as well as commute with friends or family by writing post and statuses.
This social network too off over night, it began in 2004 and now almost anyone you talk to knows about it.
In 2012 Morgan Stanley lead the IPO of facebook for 16 million dollars. This was suppose to be one of the biggest sales the world was waiting for however, the IPO backfired and started a scandal that is still talked about today. "Right after the IPO was released many investigations and lawsuits were announced following the initial public offering according to World Socialist Web Site (1 Grey)". Almost instantly after the IPO Facebook shares began to collapse as well as lowering their future revenue estimates. The company thought it was worth more then the investors thought. Facebook was originally going to sell it shares for around 28 dollars but just when they went...