Name: Nguyễn Thị Thanh Bình

Class: DH44IBC01
ID: 31181023709

GLOBAL STRATEGIC MANAGEMENT

Tiktok Case Study

1. Why did Tiktok decide to buy Musically?

Zhang, a former Microsoft engineer and Chinese serial entrepreneur, had the goal of running
a borderless company and intention of expanding Tiktok overseas and gaining popularity
around the world. Musically is the most popular short video app for young users in the US,
ranking first in the short video sector in the first half of the year, as it is within the Top 40 on
both the US IOS & Google Play free charts and Musical.ly's ability to grow is closely related
to its understanding and respect for local users in the US. Moreover, America is a mature
market for short video, and it will be very difficult and costly for new products to enter and
capture the market. On the other hand, Tiktok chose to fully learn from the local operating
experience of Musically in advance and then copy it to the world. Therefore, Musically was
the best choice to gain popularity among Americans.

2. Critically discuss successful factors after rebranding after 2008.

The combined app immediately gained some 30 million new users within three months after
merging Musically andTikTok, and rebranded it to a single application under the TikTok name
in August 2018.