Essay about Google Case

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1. Discuss competition in the search industry. Which of the five competitive forces seem strongest? Weakest? What is your assessment of overall industry attractiveness?
Search engine industry is built on search and also advertising. It seems like there are only five major competitors in this industry competing with Google. I think the competition is tight because most of them are target the same market and conducting the similar business and technologies. The five major companies are Yahoo!, MSN, Baidu, Ask, and AOL. * Bargaining power of buyers- in both 2007 and 2008, 97% of Google’s revenues came from advertising business. The rest 3% of its revenues were made by other businesses. The advertisement customers have power to bargain
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have the financial clout to afford large acquisitions, or to invest significant financial resources in a R&D.) * Globalization with good reputations

4. Describe Google’s customer value proposition, profit formula, and key resources linked to its business model. What strategies has Google relied upon to build competitive advantage in the industry?
Google business model generates revenues by providing advertisers with an opportunity to deliver online advertising. Google business model is based on three elements, AdWords, search appliance, and AdSense. The strengths of Google business model are reliable pricing system, scalable architecture, disruptive business model, and efficient ad system and relevant ads.
In order to support further growth of Google, their strategies include * Differentiate its quality of service with others (relevant results, innovative services) * Focus on user experience and anticipate user needs * Develop personalized user products and services *

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