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Should_Google_Branch_Out_the_Other_Areas_

2013-11-13 来源: 类别: 更多范文

Google Should Google branch out the other areas such as a) Build a full-fledged portal like yahoo. In the words of Google´s CEO, Eric Schmidt: “We´re not in the portal business, we´re in the business of making all the world´s information accessible and useful”. Becoming a themed-content portal like Yahoo! or MSN could be attractive in terms of growth for Google if done successfully; however, the risks implied could be even greater. Google strength relies on being an innovative company and managing that innovation properly, from the bottom-up. Imitating a matured service as a full-fledged portal would be a confrontational step against its valuable resources internally, an editorial and commercial portal that would necessarily incorporate a human intervention would compromise Google´s objectivity and relevancy in terms search results, it would be a non-innovative move that would send a message within the organization of changing their corporate values. As followers, they would lose independency of making their own rules. Externally the entering barriers are significant, since it is a highly competitive market, which has matured for over 10 years Google would direct itself to an unnecessary intensive competitive war. The user experience would dramatically change, since Google´s the search platform is rather plain, which avoids lingering and distractions, one of the most important attributes of the website. The highest risk would be to lose its well regarded brand image and lose credibility and trust among its users to be perceived as a commercial corporation. A full fledge portal will lead Google to lose focus on what they do well. Instead of imitating growth, they should focus on their search mission and expand it towards creating an environment around information and content based in technology -algorithms- with their core attribute: user preferences. b) Targeting Microsoft’s desktop software hegemony Google’s aligned with its corporate values and commitment of leveraging a technological edge, targeted Microsoft’s hegemony to break down their dominance in the market, for its future business portfolio in the diversification of services and products. Crating a free web base portal and personalized web page, allowing users to run applications in different OS like Linux, challenging Microsoft’s traditional model of charging users a fee for software. The benefits of Linking existing services and product increases performance and attractiveness, integrating all together in a single web base platform, adding more value to its customers and Business company’s model encourage more online users to shift to Google due the free Bundle service (calendar, office programs Etc), would feel more comfortable by the user friendly interface. Gaining a stronger competitive positioning advantage over MSN and Yahoo in technological innovations and enveloping the dominance of Microsoft in PC operating system, the strategy strengthens the company’s capabilities of keeping the users attention, maintaining future sustainability avoiding the “one click away”. c) Becoming an e-commerce intermediate like e-bay Ebay was the FIRST in the online auction industry, ans since the established they have been the "owners" of this industry. Yahoo and Amazon who had experience on e-commerce, already failed on the atetempt to capture Ebay's market share. Ebay counts with a worldwide web of users, and an own secure way of payment, Paypal, with more than 87M. Rivalry would be to high for Google to compete in this market; it would be really hard for Google vecause they would have to spend a lot on advertising, charge lower fees to customers than Ebay, and Google will also need to have a really high competitive advantage to be able to attract the customers from Ebay, but Ebay is a settled network of buyers and seller, and it is really difficult for Google to compete against this network.
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