Strategic Management and Strategic Competitiveness
The company I chose is Google (AGOG). This company is the multinational leader in in technology that aims to “organize the world’s information and make it universally accessible and useful.” Google was founded by Larry Page and Sergey Bring in 1 996 and their headquarters is at 1600 Amphitheatre Parkway, Mountain View, California 94043, Google was reincorporated in Delaware in 2003 and operates six data centers across the U.S. One in Belgium and another in Finland. Plans are in place for the completion of three more data centers in Singapore, Taiwan and Hong Kong (NASDAQ). Google strives to have an open culture; they believe that it’s the people that help makes the company a success. Every associate has a hands-on contribution and feel comfortable sharing ideas and opinions about the company with each other (NASDAQ). Google offers a personalized search engine for more than 115 countries, and as language support improves, the company is likely to gain market share.
As computers come more affordable, many people in economically disadvantaged countries are gaining access to the internet for the first time and Google would like to route them through its search and productivity products first (Scribe, 2008). Google was first incorporated as a privately held company on September 4, 1998. Their main product is the search engine, which is the most popular search engine across the globe. Google runs more than one million servers in data centers around the world and process more than one billion search requests on a daily basis’s (NASDAQ).
Globalization and technology has impacted Google by the shifting of consumer demand, service disruptions and increasing competition from both establish and start-up companies in the industry, which ranges from traditional media to social networking (NASDAQ). Google has a lot of people using their search engine and not to mention putting their application on mobile phones. They are constantly coming out with new and safe way for their product and trying to stay one step ahead of their completion.
Google has also faced concern on copyright issues because the company stores copies of third party be pages and images on their servers. They have responded to this criticism by releasing a copyright information page. The page provides the relevant information regarding digital information and provides links to notify both Google and the US. Copyright Office of suspected infringement (Google). Beyond its search engine, Google has introduced a significant number of successful products, including Gamma, Google Maps, an office suite and applications for web browsing, instant messaging and photo editing.
The vast majority of Google’s revenue is gained through advertising, however. Its Ad-Words program offers businesses an opportunity to promote their products to a targeted audience, while its Deceased program allows third parties within the Google Network to generate revenue through relevant advertisements (NASDAQ). Google earns ninety-six percent of it’s’ revenue from advertisement. Major companies will buy a page from Google to adversities their businesses. Google get a lot business because they prices are very cost efficient.
Google uses the traditional adverting methods, which are television, radio, newspaper and billboards to keep the public aware of this company (Positives, 2012). Google’s focus on highly targeted, measurable advertising makes it more recession-proof than many other businesses in tech (Scribe, 2008). Vision and mission statements are important for an organization because they put in the picture to stakeholders of what the company is, what it looks to achieve, and who it seek to serve. These statements can also determine the success or failure for the company.
Vision statements are clear, expressive descriptions of an organization and gives an outline of the company’s projected future (Hit, 2013). Although Google mission statement is not posted their culture is and they have and believe in having an open culture. This makes their employees very comfortable to work with Google. They get their employees involved in the business and get constant feedback. Google feels strongly that their employees are what make the company a great success (Google) Google take pride in making sure that their employees are happy working for their company.
They offer them many perks such as, pick up service, lunchroom that have variety of food , which the employees don’t have to pay for, gym on the grounds of their offices and a pickup service for those who work in a very high traffic area (Google). This keeps them stress free and relax so they can focus and function on getting the best work out of their employees. Google has a responsibility to manage its operations for the benefit of its stakeholders. Stakeholders include not only the shareholders of the company’s stock, but also the employees, customers, suppliers, trade associations, and community.
Google decisions may be influenced by the government, activist groups, ND the media, all who have their own agendas and responsibilities to the people they serve. Each stakeholder has a relationship with Google and this relationship is the source of the stakeholders power to affect Google’s decisions. Google’s distributed business model ensures that no stakeholder has a level of importance that could singly change the direction of the company, but the way that the mass of web users, media, and governments interpret their activity could influence the company’s objectives.
It is Google’s management’s job to ensure the survival of the firm and the long-term benefits of the stakeholders. Litigation and politics often have an effect on both the short-term and long- term results and that is why it is important to be vigilant of the external environment (Scribe, 2008). Google’s stated goal is to “organize the world’s information” (Google), and to merit they have created many complimentary products to their main internet search service. Targeted advertisements based on the information they collect with their products are Google’s primary source of revenue.