Main Question or Discussion Point
Given the rather unimpressive public debut of Facebook, and the negative attitude towards Facebook that was evident in some of investment experts I heard, another story in the news, brought to my attention by George Will, on This Week, suggests a potentially serious problem for social media: GM says it isn't effective as a paid media for advertising.
http://www.torontosun.com/2012/05/15/gm-stops-advertising-on-facebookGeneral Motors Co will stop advertising on Facebook, a move that comes during the same week the social networking website is due to go public.
The U.S. automaker confirmed a report by the Wall Street Journal. A source familiar with the automaker’s plans said GM’s marketing executives decided Facebook’s ads had little impact on consumers.
GM said it will still have Facebook pages marketing its vehicles, but it will drop use of paid ads. Anyone can create a Facebook page at no cost. GM pays no fee to Facebook for its pages, which allow the automaker to reach consumers directly...