MGT 448
January 14, 2013
Stephen Jones
Google in China
Google is the fastest growing Internet search engine company. Google’s mission is “to organize the world’s information and make it universally accessible and useful.”(International Business: Competing in the Global marketplace, pg 148-149) They have a mantra of “Don’t be Evil.” Google started this mantra to be the main message to show consumers they would not compromise the integrity of its search results. This case reviews the situation under which Google was required to censor its content and chose to launch its new search engine site. The case explains the role of the Chinese government and its regulations in the Internet market which had a negative effect on Google 's operations in China.
In 2000, Google started a Chinese language service. This service was operated from the United States. Chinese authorities blocked the site in 2002 because China censors information to their citizens. This block surprised Google’s managers. This was a challenge the managers did not plan on. If they done their research of the Chinese Government and culture prior to launching the Chinese language service, they would have known the block would be inevitable and they could have tailored their service to the Chinese regulations, culture, and laws. Google knew China was an advantageous business and they would need to adapt their service in order for it to be acceptable and profitable.
Google also had to move the Chinese operations to China. Operating from the United States caused slow connection speed and hinder their operation and growth. This was a good move because it enabled Google to employee Chinese citizens who would be able to help understand and adapt to the Chinese laws, regulations, and censorship demands. Google managers made a mistake by not researching their target market. However, they acted quickly in learning and correcting this mistake. Google still offered Chinese
References: International Business. Competing in the Global Marketplace, Seventh Edition, Chapter 3: Differences in Culture ISBN: 9780073381343 Author: Charles W. L. Hill copyright © 2009 McGraw-Hill, a business unit of the McGraw-Hill Companies, Inc.