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Case study: the Google strategy

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  1. Introduction
  2. Understanding the business identity and culture
    1. The general policy of the company
    2. The culture
    3. The moto
  3. Strategic segmentation
    1. Competitive edge
    2. Key success factors
    3. Competencies that the company can gain to experience in segments
    4. The grouping
    5. Value chain
  4. Conclusion

Founded in 1998 by Larry Page and Sergey Brin "Google" is a mathematical term which means "1 followed by 100 zero". This number can symbolize the incredible number of web pages listed on Google.

By 2005, Google was considered by many to be the most powerful search engine available on the Internet and is greatly appreciated for its quick search and sobriety. Indeed the will of the creators of Google has always been to organize information in the universe to make it accessible to all, without artifice or hinder parasite from the Internet in the search.

Thus, one year after its IPO turbulent and being innovative once again, it is interesting to understand the evolution of this young start up company that has established itself in the market for search engines and develops new concepts, which its many competitors will envy. In this context, this report will first analyze the structure of the sector of e-service, and then attention will be given more specifically to the situation of Google to judge its future sustainability and make possible recommendations.

Google is one of the five most popular websites in the world. In USA it is the fourth most visited site after Yahoo, AOL, MSN, and Microsoft and before e-Bay. In France its reputation is even greater because it is third behind Microsoft and Wanadoo and but ahead of Free.

The operating principle of Google, which made its success revolves around an innovation of its creators: the page rank. When a document is pointed to by many links, and if the page rank increases it has more chances of being displayed in the first search results. This system therefore provides an indication of the popularity of the document from other documents on the Web.

This revolutionary invention was immediately patented by its inventors at the creation of start-up and has been so successful it was quickly licensed to several other portals.

Google uses a system of adwords (advertising word) to pay.This system is based on a value per word depending on its application and more the word will be asked, the more expensive it is and will be paid per click.

Thus, one year after its turbulent IPO and innovative once again, it is interesting to understand the evolution of this young start-up that has established itself in the market for search engines and develop new concepts that its many competitors envy.

Strategic segmentation is the first step in any business strategy.Indeed, today, companies are generally multi producer: they had a lot of growth operations, including operations diversification. They can not manage the same way all the products / services of their range because they do not apply the same strategy.

The environment of e-service has seen its market significantly increase not only due to an increase in the number of Internet users, but also, correspondingly, due to the increased use and demand for more services that are more specific.

If the focus is on the market for search engines, it was observed that 330 million queries are made daily by the U.S. population alone, 50% of them have an end market and represent 20% of transactions.
To follow this evolution, the industry serves several innovations, including upstream of search engines, browsers and IE browsers.

Tags: Google, case study, company strategy

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