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ABOUT COMPANY:

• Google LLC is an American multinational technology company that specializes in Internet-related services and products,
which include online advertising technologies, search engine, cloud computing, software, and hardware. It is considered
one of the Big Four technology companies, alongside Amazon, Apple, and Facebook.

• A limited liability company (LLC) is a corporate structure in the United States whereby the owners are not personally liable
for the company's debts or liabilities.
• Limited liability companies are hybrid entities that combine the characteristics of a corporation with those of a partnership
or sole proprietorship.

• Google was founded in September 1998 by Larry Page and Sergey Brin while they were Ph.D. students at Stanford
University in California.

• An initial public offering (IPO) took place on August 19, 2004 giving company a market value of $390 Billion.

• In August 2015, Google announced plans to reorganize its various interests as a conglomerate called Alphabet Inc. Google
is Alphabet's leading subsidiary and will continue to be the umbrella company for Alphabet's Internet interests. Sundar
Pichai was appointed CEO of Google, replacing Larry Page who became the CEO of Alphabet.
Mission: Google’s mission is to organize the world’s information and make it universally accessible and useful.

Vision: Provide access to the world's information in one click.


The company's rapid growth since incorporation has a chain of products, acquisitions, and partnerships beyond Google's core
search engine (Google Search).

• It offers services designed for work and productivity (Google Docs, Google Sheets, and Google Slides)
• Email (Gmail), scheduling and time management (Google Calendar)
• Cloud storage (Google Drive)
• Instant messaging and video chat (Duo, Hangouts)
• language translation (Google Translate)
• Mapping and navigation (Google Maps, Waze, Google Earth, Street View)
• Video sharing (YouTube), note-taking (Google Keep)
• Photo organizing and editing (Google Photos)
• Android mobile operating system
• Google Chrome web browser
• Chrome OS
• Nexus devices, Google Pixel smartphone
• Google Home smart speaker
• Google Wifi mesh wireless router
• Google Daydream virtual reality headset
• Google has also experimented with becoming an Internet carrier (Google Fiber, Google Fi, and Google Station)
• Google Glass
Goggle glass, Self Driven Car, Space elevator !!!

How Google explores this risky opportunities ?

• Googles Core business produces ample profit and free cash flow. The advertising market captured by google is very high.
Search engine advertising has proven an effective way to sell all manner of goods and services and the advertisers keep
coming back.

• The 70/20/10 rule, where all the engineers dedicated 10% of their time on the fundamentally new business.

• No, Short term earning pressure. So they invest in High risk High reward project.
History !!
The need of Search engine grew as the World Wide Web expanded.
Earliest Search engine services was Yahoo. Searchable index of the page content was done on the basis of frequency of
words used in the page. The Website developers exploited this algorithm and spammed by using the keywords multiple
times on their page.
In 1998, Brin and Larry tackled the problem by developing a algorithm to rand the pages on the basis of counting the
relevant links on the page and weighting them.
Google Vs Overture (Paid Listings)
• New Models Emerged to monetize the search.
• Sponsored link appeared adjacent to the search engines.
• Paid listing where on CPC model, advertisers don’t have to pay unless user clicks on the add.
• Advertisers bid for keywords and the bid determined the top to bottom ordering of adds. Overture made a forntune
out of this by supplying ads to the 3 largest portals YAHOO, MSN and AOL.
• In 1999, Google introduced its first paid listing which it sold on CPI basis (Cost per impression).

• Google calculated the actual number of clicks by calculating the CTR percentage.
AdSense:

• It is a google product in which Ads Popup which is directly corelated to the content of webpage the user is viewing.

• Personalized Search based on the previous searches.

Corporate Governance:

• Dual – Class equity.


• CLASS A Stock – gave 10 votes per share to share holders.
CLASS B Stock – gave 1 votes per share to share holders.
A corporate structure designed for stability over long time horizons.
• Search Engine and ad Business (90%) • Add Sense (25.95%)
• Gmail (26%)
• YouTube
• Android
• Google Docs, Google Sheets, and Google Slides

• Duo, Hangouts
• Google Keep
• Google Home
• Chrome OS
• Mobile Devices
Strengths
• Continuous Innovation
• Undisputed leader in search engine
• Revenue from advertising and display
• Strong Corporate Values
• Open source platform

Weakness
• Over reliance on search engine
• Lack of visibility in social media industry
• Antitrust Violation and anti-competitive practices

Opportunities
• Further expansion of Android OS
• Diversification into new domain - Videos and books
• Cloud computing

Threats
• Competition from Microsoft, Apple,
Amazon etc.
• Lawsuits and complaints from advertisers,
online publishers, Privacy breach issues.
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Inflation rate, Regulations on Sustainable


Dealing with Measures to Research and
economic privacy, business
political issues protect the innovation,
growth, tax Regulations on model,
due to rules and safety of automation,
regulation, intellectual protection
regulation of the social group AI
exchange property rights from
country
rates internet
hazards
VALUABLE: Google is the third most valuable brand, its assets are its financial resources, thrust for innovation,
global penetration, Human Resources and Product mix.

RARE: • Strong financial resources are only possessed by a few companies in the industry.
• Patents of Google
• Employees are highly trained and skilled, which is not the case with employees in other firms.

IMITABLE: • The patents of Google are very difficult to imitate


• The distribution network of Google is also very costly to imitate

ORGANISATION: Google has a distinctive governance structure and values along with a cross-functional
organizational structure to capitalise and organise the entire firm as a single entity.

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