Recently, tech giant X Company has been caught in an advertising dilemma due to the Palestinian-Israeli conflict and Musk's remarks on social media. The exodus of large advertisers has put Company X's finances in jeopardy. However, Musk is not discouraged by this, but aims at the small and medium-sized enterprise market, trying to find new breakthroughs.
It is understood that Musk has been considering a choice between keeping a large advertising team or switching to cheaper solutions. Now, faced with a huge loss of revenue, Company X has decided to urgently adjust its strategy and move to a cheaper solution. They are doubling down on their investments to boost ad spend for small businesses, trying to offset the huge revenue loss from the departure of large advertisers.
Not only that, but Company X has also established partnerships with third parties, such as Jumpcrew, a US-based marketing startup, to outsource some of its advertising sales to third parties for small and medium-sized businesses. This initiative undoubtedly opens a new door for Company X and also provides more opportunities for small and medium-sized enterprises.
However, Company X's advertising business lags behind competitors such as Meta, Google and TikTok, mainly because it did not initially have the intention to build a global advertising platform. This may have something to do with Musk's own philosophy. However, the changing business environment has made advertising a major revenue source for many companies**, so Company X needs to revisit this strategy.
If the advertising business is frozen by a large company, and the small and medium-sized enterprise cannot support the daily operation of Company X, then Company X will face serious problems such as arrears. This will force Musk to look for new business revenue**, which is undoubtedly a daunting task in the current competitive business environment.