...Google’s Competitive Advantage and Products For any large complex technology-based company such as Google, one of the most important factors is to stay agile. Agility is more than responding to change, it is accurately predicting the change, creating appropriate responses, implementing the new strategies, and then monitoring the strategies. Google has taken advantage of opportunities in emerging technology by streamlining search engines, changing the way companies advertise, centralizing data and tools, providing open source cell phone operating systems, digitizing books, and changing the way we interact with technology every day. Google currently has 161 active products that range from desktop, mobile, web, and hardware products (Daly, 2010). Not only has Google been able to stay on the forefront of innovations, but they have year after year been on the Forbes top 10 best companies to work for list. Google has also been able to maintain incredibly high rates of retention resulting in the company being able to hold onto some of the brightest minds in the technology industry. For any technology-based company to stay competitive in today’s environment they have to constantly come out with new revolutionary products; and sometimes they have to change their business altogether. It is hard for most consumers to imagine a math formula or algorithm being the sole revenue of a company resulting in billions of dollars. It is also hard to envision a company that does not sell...
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...------------------------------------------------- Google Inc. ------------------------------------------------- [Document Subtitle] Ivan Castillo, Poliane Cruz, SharadhChandran Sethuraju Abstract Google case write-up Google Inc. 1. How did Google create a competitive advantage initially (before 2006)? There are many types of competitive advantage, and they can be separated into two categories: advantages based on the firm’s position and advantages based on firm’s capabilities. Advantages based on the firm’s position happen when a company accomplishes superior performance because it was the first to enter the industry. The forms of positional advantage are: positional advantage from an attractive industry structure, positional advantage from heterogeneity within the industry, positional advantage from a network of relationships. Advantages based on the firm’s capabilities happen when a company is definitely better than most of its competitors, at performing certain activities. This type of advantage tends to be hard to identify. However it can be easier by starting with the areas that the firm has already demonstrated success. According to the explanation above, it is possible to say that Google create a competitive advantage initially (before 2006) based on the firm’s capabilities. Google was not the first company in its industry but Google was able to improve the techniques presented in the market and make them its competitive advantage. Yahoo was one of the earliest...
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...Ethical Values: Google is known as one of the best company with strong ethical value. It has created strong work ethics among the employees and business operation. Google made outstanding working environment by outstanding facilities like gym, massage parlors, cafeteria with variety of foods for different types of people, sleeping room and so on they also provide health care service, academic scholarship, childcare facility and many other meaningful facility. These facilities made the employees life joyous which tends to create integrated ethical value. Google as a company run almost each and every function considering the social and environmental impact. For example, companies green credentials includes cooling their power hungry data center, running free bus for employees and encouraging then to drive electric cars. Google also invest heavily in solar and wind power. Their ambition is to become world's first carbon neutral company in future. That’s why Google maintains strong ethical value to run their operation. Competitive Advantage: Google is the most dominant search engine with 65% of total search market. Google has its competitive advantages in different ways by creating the infrastructure that ensures a fast and efficient search engine .it has built its own infrastructure of storage system, server, bandwidth and hardware that are fastest search on web. Rapid speed of Google makes user coming back which is a competitive advantage over competitors. This company...
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...it Google upholds the position as the dominant search engine in the world, with 65 percent of the total search market, according to Hitwise. To maintain Google’s competitive advantage, the company has developed an infrastructure that guarantees a fast and efficient search engine, as well as branching out their efforts in other directions beyond search. Let’s first examine the speed of an average Google search. Any random search takes between 0.06 to 0.12 seconds (Gigaom). Google’s competitive edge is traced to the fact that they’ve built their own infrastructure of servers, storage systems, bandwidth and hardware that supports the fastest search on the web. While the cost for the company is high, as Google spends billions of dollarsin development and upkeep, this competitive strategy builds a formidable wall for other general search engines, such as Bing (formerly MSN Search) which is merging with Yahoo!. At the same time, the cost of building the advanced infrastructure is an investment for Google to ensure that the cost of conducting a query keeps going down. Google’s advantage over competitors is its rapid speed that keeps users coming back. The results of the search may vary, but because of the incredible speed, a user can search another key phrase with minimal sacrifice and therefore be less inclined to switch to a competitor. Not only does Google provide a fast search, but the company also employs tools and services such as the Google toolbar, Google Maps,...
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...Brian Haggard, Win Qin Google strives to “organize the world’s information … and make it universally accessible and useful”. The most effective and profitable way to accomplish this mission is to put the needs of Google’s users first. How will Google accomplish this immense goal in an ever-changing market? Google’s Strategy in 2011 Zhengzheng Bao, Brian Haggard, Win Qin Google strives to “organize the world’s information … and make it universally accessible and useful”. The most effective and profitable way to accomplish this mission is to put the needs of Google’s users first. How will Google accomplish this immense goal in an ever-changing market? 08 Fall 08 Fall BA5080-Business Strategy BA5080-Business Strategy Table of Contents 1 Executive Summary 3 2 Analysis 6 3 Appendix 14 4 Specific Strategic Statement 17 5 Functional Strategies 17 6 Critical Assumptions 17 7 Works Cited 19 Executive Summary In January of 1996 an Internet search engine company initially named BackRub soon grew into what is now Google Incorporated. Partners Larry Page and Sergey Brin, along with a few investors lived on a shoestring budget. By year-end 1998 Google Inc. was handling 10,000 search queries each day. Google was also voted one of the top 100 Web Sites and Search Engines in 1998. Google was recording successes at a lighting speed pace and embarked on their Initial Public Offering on April 29, 2004. Google has found itself amidst...
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...focus (discuss competitive advantage in this section) Both Facebook and Google make the vast majority of their money through advertising. This is somewhat ironic because both companies were either outright hostile or uninterested in advertising when they were first formed. Google’s cofounders actually wrote a paper warning against the “evils of advertising” and Facebook was originally designed solely as a place for friends to stay connected. After failed attempts at raising revenues, both Google and Facebook turned to advertising as a way to generate revenue. While both make the majority of their money through advertisements, they go about it in two different ways. The result of each company’s competitive advantage is the access both Google and Facebook have with a worldwide consumer base. The interesting thing, is that while the results are the same, the sources of competitive advantage for both companies are different. Facebook focus’s its business model on social media. As such, it relies on heavy volume and exposure to generate advertising revenue for its advertising base. Facebook’s Competitive Advantage is its massive base of potential consumers for advertisers. Facebook has approximately 1.4 billion user’s worldwide which is an excellent platform to sell advertising space. Google is trying to enter the social media market with Google(+). The overall success of this venture remains to be seen. As a result, its current competitive advantage is found with its successful...
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...Strategy in 2012: A Strategic Case Analysis BUS 5480: Strategic Management Professor: February 6, 2014 Executive Summary The origin of the name Google might explain the excess in capture of vast business verticals by Google’s internet and technology services. ‘Founders Larry Page and Sergey Brin named the search engine they built "Google," a play on the word "googol," the mathematical term for a 1 followed by 100 zeros’ (Bhatia, 2012). Through our strategic analysis of Google Inc. we provide for a discussion on profitability of Google. Based on competitive advantage, strategic management and the Five-force model of competitive forces, we better understand the nature and strength of competitive pressures within the internet and technology industry. Google must remain a differentiator among competitors to retain market share. The evolution of “search” capabilities on the internet has been the driving force from the beginning. In 2012 Google is the leading search firm with nearly ‘67% market share in search from home and work and 95% market share performed from mobile devices’ (Thompson, et al, 2013). For Google to remain profitable is to focus on the key business model that is still driving hard revenue and to reach into those verticals that are working, while leaving the losers behind. In the year of 2012 Google captured 67% of search in the U.S., with 29% of the balance going to Yahoo and Microsoft. Advertising revenues from search drove over $36 billion of $37...
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...and use those factors to obtain a competitive advantage within the environment. The author will discuss how an organization creates value and sustains a competitive advantage through strategies. How an organization measures success to identify the effectiveness of a strategy. The author will identify the strategies of various companies and identify tactics that make the company successful. Competitive Advantage An organization that has a strategic advantage over its competitors that enables the organization to have greater sales and retain more customers is believed to have a competitive advantage. Many organizations have a competitive advantage within technological industries to include: Google, Apple, and Amazon. Each organization creates value in its products and services to stay ahead of the competition. Google is considered the industry leader when it comes to search and has 65% of the search market, according to Hit Wise. The company maintains its competitive advantage by developing a diversified infrastructure that gives them the ability to provide high-speed searches and branch out into other industries. Goggles infrastructure is made up of hardware, bandwidth, storage systems and servers. The company has access to all kinds of information about the organization from all over the world and can easily track the competitions movements. Google has developed a brand and tools that customers have learned to depend on. Google has expanded into the mobile phone industry with...
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...distil general lessons for different firms to duplicate. “The superior results delivered by Google quickly drew the attention of Web surfers, and in short order it became the dominant search engine. But serving up free search results is not, in itself, much of a business model. And that brings us to the second critical innovation: the development of an auction to sell ads linked to search results” (Carr, 2007). Google is broadly known for its working environment inventiveness and advancement inside of the innovation field. Its web crawler is the most broadly utilized inquiry device as a part of the world, its information investigation are progressive, and it keeps on increasing present expectations for advancement and outline with Google Glass, brilliant watches, and cell telephones. Google has been highlighted in many innovation and business magazines. Established in 1998 by two Stanford University Ph.D. understudies (Google History and Trivia), web crawler Google's name is a play on the word googol-the number spoke to by a 1 took after by 100 zeroes-a reference to the immense measure of information on the web. With an inquiry of over 200 million on a day by day basis, the organization has turned a benefit by concentrating on pursuits alone and not including different administrations. By focusing on dull content, staying away from promotions and utilizing advanced hunt algorithms, Google supplies a quick and dependable management....
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...1.Google believed in capability based advantage. Search engine market before Google, was dominated by Yahoo so Google never had the first mover advantage. Downstream competitive advantage: Innovation and Expansion of its traditional Web Internet services. Brin & Page saw this unmet need for a quicker and better search engine and developed an all-together new algorithm for Google, providing benefit of relevant, to the point, and quick search. 1998: PageRankTM Algorithm favored pages that were referred by other pages and was determined by counting its inbound link. Till now the only source of revenue was licensing search technology to other search engines, no advertising revenues. Dec 1999: Paid Listing, cost per impression basis, i.e. they changed advertisers each time user views thread irrespective of clicking on the link. Mid 2001: Without spending on Marketing, Google became the 9th largest website in US. 2002: Google adopted a variant of cost per click (CPC) model. They weighted CPC by actual click through rate (CTR) to its expected CTR, i.e. Ads with higher CTR received more prominent position and vice-versa. This maximized their revenue. Google launches Froogle, a product search that identifies merchants for specific products along with prices. Merchants paid neither for their products to appear nor for referral fees when user clicked. May 2002: AOL switches fully to Google Algorithm and paid listing. March 2003: Launches contextual paid listing called AdSense, presented...
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...MGT 448 Week 4 Individual Assignment Google in China: Case Study MGT 448 Google in China: Case Study China and Google have not seen eye to eye lately. the element of defending human rights or complying with the Chinese Government has placed Google with a decision to choose between the two . This paper will examine the case study, Google in China, and answer the following questions: What advantages and disadvantages does Google have in the Chinese market in comparison with Baidu? What is the business model of each company? And what factors should Google have considered in reaching its decision on the new approach in China? Advantages and Disadvantages for Google in the Chinese Market Advantages that Google has over Baidu in the Chinese market include the public having access to un-censored search terms, Google’s AdWords and AdSense technology, and its partnership with China Mobile. Google also offers attractive applications such as “Picasa Web Album, Google Docs, Google Talk, Google Calendar and Google Checkout” (Yin & Yulin, 2010, p. 2). Some of Google’s services include “Google Earth, Google Hot List, Q&A and a free legal music download service” (Yin & Yulin, 2010, p. 3). In comparison with Baidu, Google does have some disadvantages which include its suspended “ability to search through foreign websites and its associative-word search function”, its criticism from Chinese Regulators and bad publicity from Chinese writers accusing the company of copyright...
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...Table of Content Introduction | 1 | Analysis | 2,3,4,5,6 | Evaluation | 7, 8 | Recommendation and Conclusion | 9 | Appendices | 10 | References | 11 | Introduction Over the past 10 years, web application has moved to be a very powerful business tool in the organization. In effectively will swear by how essential it’s become. It was an exciting application which suddenly took the world by storm to such an extent that it became something that no business, small or large, local or global, could afford to ignore. With the advent of web application, this way of doing business has been extended to a much larger audience and it’s now more important than ever to use this market to advantage and to embrace the technology help to grow business. Software is defined by a program or a group of programs that is design for a user’s. The software could easily be divided by two parts. One would be the system software and another is the application software. Application software includes word processors, spreadsheets and power point. Next is the web application. Web application is an application where users could easily access via web. Web applications allow users to excess the web and exchange data and information between each other. Analysis Application Software is a programs designed for users to do different task by using various programs to make them more productive. (Vermaat, 2008) There are 4 categories of application software which is home/personal/educational, graphics...
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...related searches and the positive impacts of Google’s competencies towards its business model. Moreover, this report provides recommendations that Google are effectively able to utilise. Introduction Google, a provider of multiple products and services, with the mission to “organise the world’s information and make it universally accessible and useful”, is the number one web search engine. Additionally, Google has an old online shopping service site whose rivals include Amazon and eBay (Newth, F 2012). However, recently, in 2012, Google announced its adaption of a new paid model, where retailers were now starting to get charged. Moreover, the bases discussed throughout the report will be grounded in Google’s competency test, and its impact towards Google business model (Newth, F 2012). Google’s development of new strategicresources, dynamic capabilities and core competency Google’s recent change of passing on costs, a fee, to online retailers who display their products on the Google online shopping site (Hartwig, J. I 2012), will require Google to develop new strategic resources, dynamic capabilities and a core competency. Firstly, developing new strategic resources to work aside Google’s new paid model (Hartwig, J. I 2012), will mean that Google will need to improvise on teaching Google employees currently working in the Google online shopping sector, to adapt to the new changes appropriately, through being educationally mentored on new policies, procedures and most importantly...
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...the following information for Google Inc. (5*2 marks = 10 marks): 1.1. Number of outstanding shares for Google Inc. (current stock data): 286, 938, 352 1.2. List of stock exchanges that Google Inc.is listed at: * NASDAQ National Market * Boerse Berlin * Boerse Duesseldorf * Boerse Frankfurt * Boerse Hamburg * Boerse Hannover * Boerse Munchen * Boerse Stuttgart * Bolsa Mexicana de Valores * Bucharest Stock Exchange * Swiss Exchange (SWX) * XETRA Stock Exchange 1.3. The list of top 3 shareholders of Google Inc.: * Mr Lawence Page * Mr Sergey Brin * FMR LLC 1.4. Net income for Google Inc. as at 31/12/2014 (US$): 14, 444, 000 1.5. Total assets for Google Inc. as at 31/12/2014 (US$): 131, 133, 000 Use the information provided in the case and answer the following questions: 2. Identify two key factors behind Google’s early success and provide explanation as to why you believe these factors are Google’s strategic advantages. (2*4 marks =8 marks; word limit: 300 words max) 1. Google decided to implement a modified version of Overture’s cost-per-click model. Google looked at the cost-per-click bids by the relation of an ad’s actual click through rate. This ensured that relevant ad’s got top of the list positions, and ad’s that didn’t receive much exposure incurred less of a bid and was shown less. Google improved revenue. With the use of research based on Google’s competitor, Google was able to find ways to make an...
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...GOOGLE IN CHINA CASE STUDY Introduction Currently Google faces major issues regarding its operation in China. Google has been faced with the decision to comply with Chinese government regulation and censor its search engine results or take on the human rights approach of freedom of speech and eliminate censorship of searched terms. This paper will examine the case study, Google in China, and answer the following questions: What advantages and disadvantages does Google have in the Chinese market in comparison with Baidu? What is the business model of each company? And what factors should Google have considered in reaching its decision on the new approach in China? What advantages and disadvantages does Google have in the Chinese market in comparison with Baidu? Advantages that Google has over Baidu in the Chinese market include the public having access to un-censored search terms, Google’s AdWords and AdSense technology, and its partnership with China Mobile. Google also offers attractive applications such as “Picasa Web Album, Google Docs, Google Talk, Google Calendar and Google Checkout”. Some of Google’s services include “Google Earth, Google Hot List, Q&A and a free legal music download service”. In comparison with Baidu, Google does have some disadvantages which include its suspended “ability to search through foreign websites and its associative-word search function”, its criticism from Chinese Regulators and bad publicity from Chinese writers accusing the company...
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