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 History  Development and Growth  SWOT Analysis  External Environment Analysis  Business Level Strategy  Corporate Level Strategy

 Organizational structure
 Recommendation

 The first Internet search engine was Archie, Created in 1990.  The Web started to take off after 1993, with the number of websites expanding from 130 to more than 600000, by 1996.

 In 1995, AltaVista appeared as search engine.
 In 1996, Page and Brin developed Google, though it formally incorporated on September 7, 1998.  They were in GoTo.com but separately create the Google as improved search engine.

 Growth in Asset:
2012 30.6% 2011 42.5% 2010 29.2% 2009 25.4%

Growth in Equity:
2012 23.3% 2011 25.7% 2010 28.4% 2009 36%

Growth in Net Income:
2012 14.48% 2011 10.27% 2010 30.4% 2009 44.8%

 Google developed Google maps, Google Earth, Google

mail(Gmail)
 They are developing own Android operating system.

 Developing new Games.
 They are developing Wireless network more smoothly than any other firm.

Strengths
 Open source products and services  Relies
 Quality and customer experience income are the primary objects

Weaknesses
on one source of

 Unprofitable products

 Financial situation
 Access to the widest group of internet users worldwide  Strong patents portfolio  Product integration  Culture of innovation

 Patent litigations

Opportunities
 Growing

Threats
number of mobile

number of mobile  Growing internet users patents

internet users  Obtaining acquisitions  Driverless electronic cars  Growing industry  Google fiber cables into electronics

through  Unprofitable products  Competition from Microsoft

 Porter’s five forces analysis:  Potential New Entrants  Bargaining power of Suppliers  Bargaining power of buyers  Potential substitutes  Rivalry among establish company  PESTEL method:  Political  Environmental  Social  Technological  Economical  Legal

 Google's Corporate Strategy is to accelerate innovation and strengthen brand loyalty through transformational changes while creating an open-source environment.  Related Diversification Google map, Gmail, Google+, etc

 Unrelated Diversification  Notebook, Tablets, Mobile- Nexus  In 2012 Google’s acquisition with Motorola’s gained a strong advantage over its competitors.
 Strategic Alliances  2005 – AOL  2006 – Fox Interactive  Mid 2006 – Dell Computer

 Google currently pursues the generic business level strategy of differentiation.  The 4E's of Google Strategy:  Earn

 Entice and defend
 Expand the pie  Experiment

 “Organize the worlds information and make it universally
acceptable and useful”  “Focus on the user all else will follow”

 Google has a flat organization system.

 November 2005, Google had 1 manager for every 20 line employees.

 In recent time ratio is 1:40

 Google have the tendency to create small teams for big projects.

 Liquidity Ratio
2012 Current ratio Quick ratio Cash ratio 2011 2010 2009

422%
418% 335%

592%
592% 501%

416%
416% 350%

1062%
1062% 891%

 Profitability Ratio
2012 Gross margin Operating margin Pre-Tax margin Profit margin 59% 25% 27% 21% 2011 65% 31% 33% 26% 2010 64% 35% 37% 29% 2009 63% 35% 35% 28%

 Growing into electronics industry  Growing number of mobile internet users  Google fiber cables