“To organize the world’s information, and make it universally accessible

and useful.”

---Made by Boris

Contents

• Company overview• Google company analysis• Conclusion• Q&A

The history of Google• Google began in 1996

as a project by Larry Page and Sergey Brin when they were both studying at Stanford University California

• It was founded in 1998 and now turns into the most powerful search engine and one of the leading internet technology and advertising companies all over the world. Sergey Brin(left)Larry Page(right)

Products of GoogleGoogle Book Search The tool can search the book you want to read from the internet, then you will save your money and time

Google Toolbar Google toolbar is a free IE plug-in, the function is that you can search and browse the page information anytime

Products of GoogleGoogle Notebook it’s a service that Google provides which allow users to easily store and the information collected from the web site

Google Desk Search you can search the document in your disk through this tool

Products of GoogleGoogle News Provide more than 20 nations news information

Google Video the service can search kinds of video files or the broadcast on TV recently

Products of GoogleiGoogle Google provide the function of creating the personal page, so you are able to browse important information on the internet quickly

Google Earth the most familiar product to us, you can find your city, house or even your car on it

Financial InformationPeriod Ending

12/31/2010

12/31/2010

12/31/2009

12/31/2008

Total rev-enue

$37,905M $29,321M $23,651M $21,795M

Net In-come

$9,737 M $8,505M $6,520M $4,226M

Total As-sets

$ 72,574M $57, 851M $40,497M $31,767M

Five Force For Google

Supplier/power(Microsoft/Yahoo/Apple)

Barriers to Entry(Potential for new market entrants)

Buyer power

GOOGLE

Treat of Substitutes(Product & Technology Development)

Competitive Rivalry (Degree of Rivalry)

Potential New Entrants

• The barriers to entry in the internet search market are high. • Require

• thousands of servers deployed in locations all over the world

• accumulated many years worth of data about user habits

• better search results at very fast speeds to compete in this highly competitive market.

• The market now, however, is more mature with a necessary path dependency to gather data on both the content of webpages and the search history of users.

• Therefore, the threat of new entrants in the internet search market is relatively

• Google’s ad system is a reliable source of income because both the ad-making partner and ad-receiving individual are both customers of Google’s.

• So as long as Google maintains its market dominance with the search product, supplier bargaining power will remain low.

Google’s internet Rivalscom Score Core Search Report April 2010 VS April 2011Total U.S-Home/Work/University LocationsSource: com Score q Search 2.0

Core Search Entity

Share of Searches(%)

April-11 2010 April-11 2011 Point Change (April-11 2010 VS April-11 2011

Google 87.44% 79.84% -7.6%

Yahoo 5.43% 8.70% 3.27%

Bing 4.20% 8.59% 4.39%

Ask 1.79% 1.64% -0.15%

AOL 1.14% 1.22% 0.08%

Other 0.01% 0.01% 0

Search Engine Market Share(Jan 2010-Apr 2011)

Current Competitors

• The competitive rivalry is strong and ongoing in this industry because large amounts of advertising dollars flow to the website that has captured the largest volume of searches.

Customers

• No single buyer has a controlling interest. – No single account contributes more than 3%

to net revenue– Less than 5% of the revenue is generated by

any given network partner site • Attract both large companies and small

“mom-and-pop shops” keeping buyer power low.

Potential Substitutes

• There really is no suitable substitute for search.

• A substitute product may be invented in the future, but there are no obvious substitutes to organizing information on the Internet.

• Information can be organized in different ways including categories and sorted by date, but Google provides tools to complete these tasks as well as conduct searches.

• Google has positioned itself well to weather each of Porter’s Five Forces of Competition as well as stay afloat in a turbulent external environment. Google’s ability to please its stakeholders will continue to define the success of the venture and the future of the company.

SWOT analysis for Google

Strengths Significant brand imageStrong infrastructure baseRobust financials

Weaknesses Lack of product integration

Opportunities New products and servicesStrategic acquisitionGrowing mobile advertising mar-ketPositive outlook for Android smart phones

Threats Intense competition Exchange rate fluctuationsHacking and related security is-sues

StrengthsSignificant brand image

Google is one of the premier in-ternet brands in the world. Google’s brand was valued at $100billionThe company holds strong market position

Strong infra-structure base

Comprising online, software and hardware resources. Google’s websites which generate advertis-ing revenues.Which can provide substantial computing resources at low cost

Robust financials Its revenues have increased from $16594 million in FY2007 to $23650.6million in FY2009Healthy balance sheet with strong cash and cash equivalents and equity position

Weaknesses

• ---Lack of product integration• Google’s products lack integration with other

products• Google now has a large number of new

products, some of them innovative, but which seemingly having little in common with each other

• Furthermore, there are many uses have been unaware of its new products because they are embedded so deeply within Google’s sites

Opportunities

New products and services

Strategic ac-quisitionGrowing mo-

bile advertis-ing market

On May 2010, completed the acquisition of Admob.(a mobile display ad technology provider

&Android 2.2 Code named by Froyo&Google TV

The mobile advertising market is forecast to record strong growth in coming years

Threat

Google

eBay

Microsoft’s Bing

FacebookYaHoo

WebMD

• So, what’s the Google strategy

• What’s behind all the actions we have seen Google take over the years?

Expand places to show ads

• Google’s revenue is based on advertising.

• You Tube, Gmail have been developed to attract audiences for its ads.

Business model

1. Google introduces a smart, innovative and quite

risky business model-Adwords.

2. Still today Adwords is the main source of revenues of Google Inc.

Brand building

• Google worked very hard on Brand Building. It seems that brand building was much more important to them than just revenues and profits

• The strategy worked. And it was a key asset in the subsequent IPO(Initial Public Offering) at the Nasdaq.

Personalization

1.Search engineers have spent the last 40years working on it, but now it’s time to focus on the searcher!

2.The Google toolbar can report search terms and Web site.

3.Google Analytics reports all activity on a Web site.4.Google Website Optimizer knows which variations

of your message work best.

Value Chain of Google • Nobody pays to use Google. So we are not Google’s

customer, if we are not Google’s customer, and search is not Google’s product, then what is?

• How can we even get the payers straight? Well advertisers, specifically users of Google’s Ad Words service, are Google ‘s customer. And traffic delivered to customer websites is the product. And the ability to explicitly control what traffic ends up on what websites is the whole of Google’s value chain

Sales and marketing

Customer service

conclusion

• Keep the leader search engine position.

• Be being perfect their service and products.

• Take more attention with their customers’ individual privacy.

• Freedom is limited, please do in Rome as Rome does.

success=inspiration+persistence