Business Google vs Yahoo
Yahoo vs. Google Financial Analysis
Victoria Schmidt
MGMT 479: Strategic Management
William Mason
January 14, 2011
The two companies that I chose that I feel would be a great acquisition from CB&M are Google and Yahoo. These are two highly recommended internet search engines. Although, they have other competitors Google and Yahoo are the most used and well known in the US. They are both easy to use and offer many different tools and sites for individuals with internet access. They may have some common qualities but both are unique and bring their own brand to the table. It is a hard fair shake between the two in deciding just which one is actually the better search engine but I do have to say after comparing both it comes to be a little easier to decide on a conclusion of which would be of better use to a company. Google just so happens to be world’s largest and most powerful search engine. Google’s top competitors are AOL and Yahoo. Google has a Return on assets of 21.5% and Return on Equity of 25.97% with a revenue growth of 117.56% and its current revenue per share $11.692 (Wheelen 2008). In March 2001 Google.com became available in 26 different languages (Google.com). The search engine has even more now, well over 75. “Google did not have a profitable business model until the third iteration of their popular AdWords advertising program in February of 2002, and was worth over 100 billion dollars by the end of 2005” (seobook). Google believes in innovation to keep on going. Google constantly is developing new technologies and as you can see by its revenue growths it keeps getting bigger and adding more tools for users to access for free. Google is run by highly talented individuals that have the knowledge to build Google farther and farther each year in revenue’s. Google also offers different services for advertisers to network and expand their advertising through tools they provide such as Adsense (Google.com). Google offers all different
Victoria Schmidt
MGMT 479: Strategic Management
William Mason
January 14, 2011
The two companies that I chose that I feel would be a great acquisition from CB&M are Google and Yahoo. These are two highly recommended internet search engines. Although, they have other competitors Google and Yahoo are the most used and well known in the US. They are both easy to use and offer many different tools and sites for individuals with internet access. They may have some common qualities but both are unique and bring their own brand to the table. It is a hard fair shake between the two in deciding just which one is actually the better search engine but I do have to say after comparing both it comes to be a little easier to decide on a conclusion of which would be of better use to a company. Google just so happens to be world’s largest and most powerful search engine. Google’s top competitors are AOL and Yahoo. Google has a Return on assets of 21.5% and Return on Equity of 25.97% with a revenue growth of 117.56% and its current revenue per share $11.692 (Wheelen 2008). In March 2001 Google.com became available in 26 different languages (Google.com). The search engine has even more now, well over 75. “Google did not have a profitable business model until the third iteration of their popular AdWords advertising program in February of 2002, and was worth over 100 billion dollars by the end of 2005” (seobook). Google believes in innovation to keep on going. Google constantly is developing new technologies and as you can see by its revenue growths it keeps getting bigger and adding more tools for users to access for free. Google is run by highly talented individuals that have the knowledge to build Google farther and farther each year in revenue’s. Google also offers different services for advertisers to network and expand their advertising through tools they provide such as Adsense (Google.com). Google offers all different
References: Block, S, Hirt, G, & Danielsen, B (2011). Foundations of Financial Management. The McGraw-Hill Companies, Inc: McGraw-Hill/Irwin. Hunger, D.J, Wheelen, T.L, (2008). Strategic Management and Business Policy. Pearson Prentice Hall. SEObook, How Search Engines Work: search engine relevancy reviewed. Retrieved on 27th January, from http://www.seobook.com/relevancy/ Windows 7 News and tips. Retrieved 27th January from http://www.windows7news.com/ Yahoo finance. Google Company. Retrieved on 14th January, from http://finance.yahoo.com/q?s=Goog 2010 Yahoo Finance. Yahoo Company. Retrieved on 14th January, from http://finance.yahoo.com/q?s=YHOO 2010