LinkedIn’s shares have significantly increased in recent months, especially when compared to its competitors such as Facebook, Zinga Inc., and Groupon. In her article, LinkedIn: The Ugly Duckling of Social Media, Evelyn M. Rusli explains that this is partly due to the fact that large companies like PepsiCo are putting more and more money into LinkedIn and using it as a primary source for recruiting. She refers to the network as the “ugly duckling of social media” due to the fact that when it was first introduced, many people were skeptical of its potential success. This was because it had a very specific business model and was competing against networks like Facebook which was in its prime at the time. Needless to say, the network was underestimated.
Shares of Facebook Inc., FB +1.41% Zynga Inc. ZNGA -3.98% and Groupon Inc.GRPN -24.27% tanked after their rocky stock-market debuts. But LinkedIn Corp.’s LNKD -0.22% stock is still soaring, closing at an all-time high of $168.55 on Wednesday.