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Google case study

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  1. Introduction.
  2. The factors being the Google's early success.
    1. Concerning the corporate values and the corporate culture.
  3. The search business has or not to be concentrated.
  4. Search as Winner-take-all business.
  5. The deal with AOL.
    1. Microsoft, AOL and Google.
    2. Google venturing into new arenas.
    3. Google's distinctive governance structure: Strengths or limitations?
  6. Conclusion.
  7. Sources.

Nowadays, Google is considered more as a daily useful tool than a large worldwide company. This Google website is so essential for all the IT users that we have the tendency to forget the men, the women and the know-how behind this wonderful and rapid search tool. But behind this webpage, a huge company exists. Google is defined by Fortune as the first company where people want to working and of course as well for the results. In less than ten years, Google's results and profits did not stop to increase, to reach $8 billion in 2005 and the share price increased more than six times from the IPO start price. The development of Google inc. comes from different reasons that we will analyze. Firstly, we will see the reasons of the early success, then the concentration strategy assumption, the relation between AOL, Google and Microsoft. To finish with a personal point of view about the future internal policies in a goal to continue the growth.

[...] Over this financial fact, the willing to work for Google is proved by the application forms (1000 application daily).That shows the brand image and identity of the company. In the same time, Google provides for its employees free-foods, a spa, a 6 weeks' vacation each 6 years of experiences and moreover 10% of the employees are millionaires. Concerning the services, Google owns 70% of the internet search traffic. That shows the efficiency of the website and the well-established situation. So we can say that the management skills from the two company's founders are excellent and they were able to see the niche and create this service. [...]


[...] The concentration of a core domain means in this case that Google has to be the only search provider, but of course it is not the case because the internet users can search on the Yahoo, the Microsoft, Ask Jives, Ail or others WebPages. By the way, data coming from a survey (see Exhibit Google supposes to have more than 50% of the share market and the users said that they preferred to use Google as others search website. So the leadership from Google makes it to be the first, of course in a legal and ethical situation or in others terms in a competitive situation Anyway we do not have to forget that in the near future the number of internet users will continue to increase (more and more internet connection in the Asia and Africa, especially countries like China and India).And others cultures means others ways to think and to search on internet. [...]


[...] the know-how to develop this kind of business, Google will not exist. The internal reasons for this success come from the know-how, the corporate values, the innovation and the Research and Development. Concerning the corporate values and the corporate culture The corporate values are very strong and it exists an own Google corporate culture. Google created a search website but in the same time it was and it is still a platform for advertising. It is an indirect advertising because the internet user has to make a research, tip the name of his research and then when he click on the website results the company will pay a certain amount to Google. [...]

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