Google: A Strategic Move
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Google Inc.
A Strategic Move
History
Sergey Brin and Larry
Brin and
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 âGoogle Payment Corp.â 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 hostâs site. It has been rumored also that Google plans to compete more directly with Microsoft in Internet browsing and operating systems.
(Source: Fred Davidâs 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. Googleâs 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 achieve its long-term objective of delivering new advertising technology. They will begin to offer new policies to promote idea generation and feedback for all its employees. This way everyone has a say in the company and encourages a better job. Google is now trying to penetrate more markets including China in which they have a large potential market but political difficulties. This company is applying a Concentric Diversification strategy or related diversification. It plans to expand its products and create new, related products to complement its previous ones.
Next, I would like to talk more in depth about each aspect of their strategic process according to Fred R. Davidâs Strategic Management book and what Google is taking into consideration.
Develop Vision and Mission Statements
The first step of the Strategic Management Process is to define the Mission and Vision statements. Each statement answers the questions âWhat is our business?â and âWhat do we want to become?â respectively. This is a very important process to express a single, unified company purpose. According to Googleâs site this are their statements.
Googleâs Mission statement is the following:
âGoogles mission is to organize the worlds information and make it universally accessible and useful.â
Googleâs Vision statement is as follows:
ââThe perfect search engine,â says Google co-founder Larry Page, âwould understand exactly what you mean and give back exactly what you want.â Given the state of search technology today, thats a far-reaching vision requiring research, development and innovation to realize. Google is committed to blazing that trail. Though acknowledged as the worlds leading search technology company, Googles goal is to provide a much higher level of service to all those who seek information, whether theyre at a desk in Boston, driving through Bonn, or strolling in Bangkok.
To that end, Google has persistently pursued innovation and pushed the limits of existing technology to provide a fast, accurate and easy-to-use search service that can be accessed from anywhere. To fully understand Google, its helpful to understand all the ways in which the company has helped to redefine how individuals, businesses and technologists view the Internet.â
(Source: Google.com Company Information)
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