Google Plus Case
Google Plus is a social networking service introduced by Google. Based on its nature, it is believed that Facebook would be greatest obstacle for Google plus to expand its market share. Upon foreseeable competition with Facebook, there is an increased importance on re-considering core competency areas Google should focus on, in order to convince people to switch from Facebook. We as a strategy analysis team believe there are three core competency areas including privacy protection, brand relevance and software programming that are significant for Google to achieve its sustainable competitive advantage over Facebook.
In order to compete with Facebook, the Google + system will require Google to place a focus on the quality of programming. Facebook has had a history of glitches which inconvenience users, as shown by Sydney Morning Herald (2010), and it is because of this, Google + has an opportunity to draw in users. Google + should focus on high quality programming to ensure that the site is smooth and as bug free as possible. However, this may be costly and timely to get rid of the bugs. However, on the same coin, it may be worth the effort and cost in the long run by ensuring that Google + offers users a system more stable than Facebook. This should provide an incentive for users to switch from Facebook to Google +.
Another factor that Google should focus on lies in the brand relevance, key competency area of Google. Based on Aaker’s brand relevance (2010), Google is in a unique position of gaining a brand relevance advantage through new category and subcategory development because Google possesses search engine, contents matching advertisement, google maps and mobile advertising platform ‘Admob’. The synergy from the variety of a medium of advertisement will enhance the customer’s needs, expands the boundaries of an existing category (Aaker 2004). However, external threats still exists due to fast growth of Facebook. Facebook