Google: a Strategic Move
Google Inc.
A Strategic Move
History
Sergey Brin and Larry Page met in spring 1995 at a gathering in Stanford University. Between January 1996 and December 1997, they created "BackRub", the precursor of Google search engine. The objective was to better organize and huge amount of data on the Internet. Eventually the name was changed to "Google" to signify the immense amount of information that resided on the Internet. Google is transformed from the word googol, referring to 1 followed by 100 zeros.
Brin and Page incorporated Google in 1998, just nine years ago, with $1 million dollars from family and investors. The quality of Google's search technology attracted a growing amount of users. Many companies had Google as its main web search engine. It took the company till 2001 to be profitable because of its great financial performance. From there they sold 19.6 million shares from which they raised $1.7 billion dollars.
Today, Google has continued to expand from being a Web search company to offering an increasing array of services. It has now over 50% share of the total search market. In 2005 Google incorporated "Google Payment Corp." as he is working on a PayPal-like payment system. They have very recently released a Web-only video search engine that allows users to view videos without entering the host's site. It has been rumored also that Google plans to compete more directly with Microsoft in Internet browsing and operating systems.
(Source: Fred David's Strategic Management 11th ed. Page 34-35)
Summary of a Strategy
Google is a single-product-line business of search engine technology. In order to compete with other huge companies such as Microsoft and Yahoo, Google has to develop a strategy for differentiation to create a competitive advantage. Google's short-term objectives are to expand the workforce, expand to new international markets and continue the development of new products. By expanding the workforce, Google believes they can
A Strategic Move
History
Sergey Brin and Larry Page met in spring 1995 at a gathering in Stanford University. Between January 1996 and December 1997, they created "BackRub", the precursor of Google search engine. The objective was to better organize and huge amount of data on the Internet. Eventually the name was changed to "Google" to signify the immense amount of information that resided on the Internet. Google is transformed from the word googol, referring to 1 followed by 100 zeros.
Brin and Page incorporated Google in 1998, just nine years ago, with $1 million dollars from family and investors. The quality of Google's search technology attracted a growing amount of users. Many companies had Google as its main web search engine. It took the company till 2001 to be profitable because of its great financial performance. From there they sold 19.6 million shares from which they raised $1.7 billion dollars.
Today, Google has continued to expand from being a Web search company to offering an increasing array of services. It has now over 50% share of the total search market. In 2005 Google incorporated "Google Payment Corp." as he is working on a PayPal-like payment system. They have very recently released a Web-only video search engine that allows users to view videos without entering the host's site. It has been rumored also that Google plans to compete more directly with Microsoft in Internet browsing and operating systems.
(Source: Fred David's Strategic Management 11th ed. Page 34-35)
Summary of a Strategy
Google is a single-product-line business of search engine technology. In order to compete with other huge companies such as Microsoft and Yahoo, Google has to develop a strategy for differentiation to create a competitive advantage. Google's short-term objectives are to expand the workforce, expand to new international markets and continue the development of new products. By expanding the workforce, Google believes they can