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Google Case Study
Transcript of Google Case Study
"How could rival firms
attack Google ?"
Rising to market leader
Acquisition Year: 2006 ($1,65billion)
Over 70% market share in the US
Over 30% of all Google searches
Search Engines Worldwide
by Tom, Lena, Ines, Miguel & Kimmo
Practical course Global Strategy WS 14/15
Specific search for products
Innovation and investment
New ways of advertising
fast and efficient search
mainly one source of profit
restrictions / laws
Do you think it is justified for
institutional forces to break up Google
because of antitrust reasons ?
What are your expectations towards the future development of Google?
What will be its strategy?
Do you think Google can establish and maintain their current market position, or do you think they will end up just like Microsoft and experience a break down?
How sensitive are you with
your personal data?
Do you mind if Google tracks you
to provide better (free) services ?
Federal Trade Comission
Department of Justice
Federal Cartel Office
70% market share
unfair product bundling
expectation towards future development
voluntarily destroy user data, services become less useful, limit profits
hang on to information, keep going its current strategy
find equilibrium: become more transparent, adapt to new circumstances, gain trust of customers, keep providing useful services
Are there some institutional forces that could reign in Google´s power ??
Strategy: Fast & Simple
Strategy: Acquire companies
Licenses, KnowHow and prevent competition
Acquisition Date: 2005 ($15million)
2013 over 80% of the sold smartphones run with Android
the state should be able to intervene as necessary to protect the consumers
sometimes and especially in some industries regualations are not mandatory
always a trade off
Thank you for you attention !
Biggest network of data centers
Higher inicial cost resulting in profitable investment
2. Powerful search engine
Focus on algorithms
Second mover advantage
Innovation and new markets
4. Resource Based View
Global Strategic Managemet; Peng 3rd edition
Google is a company: Profit oriented
Google needs information to offer better services
AdSense/AdWords are more efficient with more user data
More information -> Higher chance for personal attacks