Sample Business Studies Paper on Google Search Engine

Google Search Engine

By 2009, Google Search had taken over the search engine market in America. Google posted a majority 65.6% market share indexing billions of web pages suitable for all users (“Google Financial Analysis with Graphs, Google’s Finances”, 2018). Google users can search for all sort of information by typing the keywords. From its dominant position, Google has intensified their operations with a variety of new products including email, the map application, and Google +. Google search engine has diversified its products over time to include new internet properties. The Alphabet Inc. has been aggressive in developments to keep up in the dynamic market space. Google is the most visited website globally with its affiliate product YouTube in second place. Despite the dominance in the market, there are numerous opportunities for new developers.

Google generic strategy guided by Porter’s model includes differentiation. The broad market scope involves the diversification of products to suit everybody across the globe (Smithson, 2017). However, Google has been keen to develop unique products that stand a competitive edge. The external threat factors influencing Google’s operations include emergence of substitute products as well as the entry of new players in the market. Google is also keen to keep up with competition based on the bargaining power of suppliers as well as consumers. However, these factors bear little significance in the active force competition. 

Under Porter’s model, growing competition is the most significant concern for Google. The organization must focus on warding off competition from Yahoo, Bing, Apple, Comcast, among other search engines (Mercer, 2017). The most recent developments include the Google Fiber, Chrome cast, and Google Glass. The presence of other service providers in the market characterized by low switching charges. Many firms are now providing similar products, increased variety, and cheap charges for switching providers all influence Google’s success level.

The threat of new entrants in Porter’s model refers to the possibility of new developers with similar products threatening to shake the market positions of competitors (Smithson, 2017). Google has come from such a position rising after Yahoo during the 2000s. Flooding the market with new entrants reduces the profit margins. High yielding markets draw lots of competition resulting in intensified competition between existing firms and new developers hoping to cut the space. Consumer preference varies in flooded markets. New entrants envision providing better services for cheaper rates forcing existing firms to consider revising their charges. New entrants in the market threaten the dominance of established companies (Investopedia, 2018). To keep up with the competition, Google has intensified its innovation to gain a competitive edge. Intensifying research and development have helped Google strengthen its position as the most extensive internet content service provider. Google continuously expands the Google free services to the ever-expanding market.

Google operates as a multinational cooperation. As of 2009, over half of its profit came from outside the U.S. Google is venturing new spaces in Europe, Africa, Latin America and Asia. Google has dared to dream with developments in other fields as it seeks to expand its profits. Google continues to invest in another field including automatic driverless Google cars. Google is also hoping to make fortunes in the area of technology with the purchase of Motorola Company. The company has struggled to establish its position in the Chinese market. The company has to diffuse the threats posed by new entrants and increasing niche of service engine products. New products are targeting specific user group migrating from Google’s model of general operations.

However, Google Company can rely on its uniqueness in brand products and a dominant position in the global market. The overall strength of Google Company is itself an advantage for the company. Nevertheless, drawing from experiences ingrained in its path to dominance, Google knows minute, nimble, and amateur companies can outrun bigger and established firms

References

Google Financial Analysis with Graphs, Google’s Finances. (2018). Retrieved from http://thebusinessferret.com/google-financial-analysis/

Investopedia. (2018). Analyzing Google’s Threat of New Entrants | Investopedia. Retrieved from https://www.investopedia.com/university/google-porters-5-forces-analysis/analyzing-googles-threat-new-entrants.asp

Mercer, E. (2017). Google’s Industry Analysis. Retrieved from https://bizfluent.com/info-12184352-googles-industry-analysis.html

Smithson, N. (2017). Google: Five Forces Analysis (Porter’s Model) – Panmore Institute. Retrieved from http://panmore.com/google-five-forces-analysis-porters-model