1. Can Google afford not to do business in China?

I think google can afford not to do business in China. China is a great nation with
much economic progress and development in the world today and it’s also one of the
world’s largest and fastest-growing consumer markets and to do business in China
would be an opportunity to expand business and improve foreign relations. For Google
to not do business in China would be a waste of opportunity but it also depends on
some differences that vary such as political and legal differences. According to the
article, China is very sensitive regarding internet censorship so to conduct business
there, it might be a challenge. There may be other chances in other countries that are
also economically advancing besides China so Google can do business there. Google
today has an abundant of users everyday in different countries because people want to
have access on information. Google can do their business in other countries besides
China.
2. Which stakeholders would be affected by Google's managers' possible decision to shut
down its China operations? How would they be affected? What trade-offs would Google
be making?
Since Google faces problems in their China operations, the possibility of shutting
down the office might be the solution. However, stakeholders such as potential users,
investors, employees and even the Chinese government might be affected. The
potential users, investors, and employees of the Google would not be given the
satisfaction in terms of services especially the investors because they wouldn’t be
gaining the expected return on their investments also the possibility of unemployment
for employees with just the compensation of employee benefits. Users would be unable
to access information through the internet with the help of Google if they shutdown
China operations. The Chinese government would be the greatest challenge in doing
business in China because of the hardline censorship rules regarding the internet.
Google would experience ethical problems if the rules aren’t complied. There’s also the
possibility of huge financial costs that would result from losing access to one of the
world’s largest and fastest-growing consumer market.
The decision of shutting down china operations would result to an opportunity
cost of a chance to expand business and create foreign relations. Although Google’s
intentions were only to create a representative office in Beijing, they were still keenly
interested in the market. As previously mentioned, the possibility of losing potential
users and investors due to the shutting down of operations since China has very strict
rules and Google’s experience of cyber-attacks and accusations of gathering information
on Chinese human rights activists.

3. Should Google's managers be surprised by the China predicament?

 I think Google should not be surprised by the China predicament because it
would have been likely the problem because of China’s hardline censorship rules.
Google as a search engine can access on different kinds of information and it depends
on how the users perceives it. China takes a firm stance to ban information’s that are
judged as possibly threatening state security, damaging the nation’s glory, disturbing
social order and infringing on other legitimate rights. China is very sensitive on contents
that would corrupt their nation’s youth. Even though, Google created a new search
engine to comply with the rules solely for China users they still experienced problems.
Still, it was stated that Google are committed to working responsibly to resolve the very
difficult issued raised. Google’s experiences in China and other foreign market have
driven the company to reassess how it does business in countries with distinctly
different laws.