Strategic Management





Strategic Management

            Google, according to market share and personal mobile searches, was the top internet search company in the year 2013. 67% of the market share and 97% of mobile searches heralded the success of Google. Formed by two university student graduates from Stanford, the company was founded in 1996. The firm’s initial public offering in 2004 signified its potential value and worth within the corporate world. Google’s Porter five forces analysis shows that its main competencies are contained in three availabilities. The threat of new entrants has not diminished the company’s influence of the global market share, although significant drops have been witnessed. The treat of substitute search firms has not materialized despite the increase in developed ones. The bargaining power of customer is of uttermost importance to the company as they are responsible for the huge turnover from the revenue returns.

                The core competencies of Google include the relative user interface in its search engine, software engineering, context indexing as well as maintenance of scalable hardware infrastructure for the users. Its main strengths are brand image, reliability and market share while its weakness is in lack of diversity on hardware transfigurations to devices. Opportunities lie in developing of new applications for preferential customer-use, while the main threats are emergence of rival search companies and user-generated innovations. The company’s financial returns witnessed a 31% growth in revenue over the year 2013 while revenues from advertisements, operating incomes and net deliveries were also on positive inclination. The strategic priorities of Google rest in expansion towards mobile search platforms as well as Smartphone, improvement of its plus and pushing for cloud computing as new technology. The company is recommended to pursue the availability of Smartphone requirements and applications demand to boost its relativity with the growing markets.

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