Google business strategy

Google business strategy

Abstract

In this very competitive environment, any business company will only survive and flourish if just it’s capable of discovering new products since creativity and performance is inseparable. Greater levels of creativity lead to much innovation. Growing an organizational culture that ignites and promotes creativity and innovation is essential for organizations which are in quest of competitive advantage. Organizations should develop a culture to use it as a unique competitive advantage. Organizational culture triggers innovations, hence producing better products and services. Organizational culture balances the internal and external operations, enabling the organization to realize new and profitable business arenas. For an organization to effectively utilize its culture corporately, the organization should research and study to understand its culture. This paper evaluates and analyses Google corporate culture regarding its corporate strategy and vision.

Google business strategy

Introduction

What is Google’s corporate strategy?

Google formed a unique working environment that attracts, motivates and retains the best employees in the company. Google offers the best paying package ever in the world compared to other corporation. Maintaining their workers happy is a value they never take for granted. Previously it was rated as the number one best place to work by the Fortune magazine. Its corporate strategy is focused on the use of teamwork. Both stakeholders, employees and top authorities of Google Company are involved in decision making. They outsource workers from different ethnic background and culture to bring diversity

Google Corporation is the world’s leader in technology targeted on advancing and boosting the way the society integrate with information. Their biggest dream is producing products and service which can improve the lives of billions of people all the world. Their organizational goal and mission are to maintain the massive world’s data in such a way that is secure and accessible for use by the people. Their numerous research on web analysis and marketing has resulted in a popular internet property which is known globally

Does Google have a clear vision of what it wants to become? 

The customer view is a vital part actually to all corporations and industries, and Google is no exception. The customer view facilitates Google to evaluate and analyses how customers feel about them as well as how they anticipate being viewed by the customers. The primary performance targets for Google is to meet customer’s satisfaction, achieve company’s general feel, and. Maintain an innovative culture is they grow globally. Google works very hard to maintain customer satisfaction since they believe that, without customers, there is no organizational growth.

The internal operation perspective of Google is focused on maintaining and advancing its innovative culture while increasing its creativity. The increase of creativity and innovation attracts more customer as the esteemed loyal existing customers are maintained. The incorporation of cloud computing to Google services and products has dramatically improved the management of data, information and software products. Cloud computing is an internet web based computerization which involves the storage of pictures, videos, documents, software and information in numerous different locations. Google is also targeting to be rated as the best search engine globally regarding user-friendliness, speed, and relevance (Gozgor et al, 2015, pg.215)

Google business strategy is entirely different from other business strategies. The typical strategy found in different companies depicts how the organization integrates their assets for manufacturing products. However, Google Corporation does not sell physical products hence it treats its website users as a source of raw material. Google search engine is designed in a way that it is impossible for the competitors to imitate its complex structure. Google website is designed uniquely which is a feature which has remained Google’s strategic value. Google has enacted a global strategy which is incomparable to its competitors. Recently good has innovated a program known as Google shared spaces

1. b) Analyze the mobile phone business unit strategy using Porters Generic strategy or Bowman’s Strategy Clock

Bowman’s strategic clock

According to bowman’s strategic clock customers have a wide range of choice on which company they can purchase goods and services because we have an open market. Each company has to maintain its competitive capability as well as dominating in the market segmentation.

Market segmentation

Segmentation approach can be applied in threes aspects which include, geographically, demographically and psychographic

Geographic; vivo company should choose a market segmentation which will allow a share in rural and urban areas in united states and foreign countries. According to resourceful information extracted from different respondents, it can be depicted that, a large number of users were young men aged 15 to 30 years. American customers love to buy smartphones from mobile showrooms while few of others buy their phones products online over the internet on various trading websites. The company should also establish some other plants in different foreign countries with the sole purpose of expanding the business.

Designing unique brands

Google mobile sector should translate the list of core products advantages into a product that consumers will buy. Since many mobile technology companies have a similar brand to competitors such as Apple and Microsoft windows offering the same product with similar features. To remain competitive, Google should design a product which is more competitive by deciding on the quality level, model, branding, and features and after-sales services. For any company to be a smartphone market leader, it should incorporate all the features of their competitor smartphones and brand them through increasing the quality level and also moderate the pricing. After doing this, it’s no doubt that people will camp outside their retail stores to have their latest smartphone products and services, hence outdoing all the other brands (Bharadwaj et al, 2015, pg.99)

Augmented product branding

            This involves deciding the additional non-tangible benefits that a product can deliver. Google Company should remain competitive through offering after sales services. Developing a customer relationship system, issuance of product warrant which gives customers peace of mind and makes sure that Google has faith in the quality of product it produces

Justification of positioning strategy

The company should use a very different strategy to facilitate its growth to a more significant global player. Google Company should keep on branding itself in the separate geographical area. Various retail shops and malls should be branded with Google phone products. Similarly, by doing this, Apple has mostly left a significant influence and impact on the global mobile industry. However, its market share is not more significant as the others, with time and following customer satisfaction and the company’s adjustment to these will reveal the importance of the strategy used. Google should blend the various techniques of targeting and positioning in the market such as low pricing and developing great end features positioning the more significant market to award greater profits to the investors. The companies should also decide whether to increase or decrease the lifecycle of their products to reduce or increase the unit costing with time regarding economies of scales (Bharadwaj et al, 2015, pg.100)

Marketing strategies

Premium pricing

By using premium pricing, Google should increase their pricing system. A higher pricing system is most effective in the initial stages of a product’s introduction to market, and most appropriate for retail stores that sell unique products like iPhone from Apple. Since customers tend to identify products as being valuable the greater the cost, Google should strive relentlessly to visualize quality perception to the customers

Market penetration through pricing

Google should embrace Penetrating technique with the primary aim of attracting customers by setting cheap costs on their mobile technologies. Although various young companies practice this method to shift attention away from their rivalry, penetration costing results to company losses in terms of profitability and customer retaining level.

Price Skimming

Price skimming   facilitates businesses to double their sales of new commodities and services. This technique entails setting the pricing system high during the introduction of the product to the market. The business then drops the costs slowly as competitor products are introduced to the market. Google Company should practice this method to reap more profits.

Google product diversification

Initially, since 1996 the company was offering online research as their only main product to its consumer’s .the company later diversified into different online related services and products. At the moment Google has a range of products and services .these products include productivity software such as Gmail, Google photos and the Google drive. Google Company also offers enterprise services such as online marketing, publishing services (Ad words and AdSense) and other popular services like Google news and Google earth. The diversification of products and services within Google Corporation has facilitated to dominate the market segmentation; Google products are uniquely tailored to meet customer’s preferences and needs. Google products such software are designed with very user-friendly graphical user interfaces for easy use. The company is targeted at producing the best search engines regarding speed, user-friendliness, and relevance. Diversification of products and services has facilitated the company to expand to different geographical regions while retaining their esteemed customers (Usman et al, 2017,pg.23)

1. b) Using the portfolio matrix analyses the positions of these products/services and recommend strategies for any two business units

Using a portfolio matrix

A portfolio matrix is used to evaluate and analyses both development and their respective market segmentation

Cash cows

Products in low growth markets but the broad market segment

Stars

Products in high growth markets with significant market share

Google started its investment over the world in its early days and had continued to invest in many different parts of the world.  In 2000 Google made investments with 15 foreign languages. In 2001 Google made its earliest direct foreign investment to widen its global services by partnering with Universo Online to provide millions of Universo Online users in Brazil and Latin America to access its search services.  In 2007 Google partnered with China Mobile which is the world’s largest mobile telecommunication carrier with a target to provide mobile and internet services in China. Lately, Google has offices forty countries which are a reflection of forty different languages of Google search engines. Recently, Google maps have been developed. AS SUCThis provides users with panoramic views of streets, suburbs, and cities in developed countries and some developing countries. This tool which is available in smartphones proposes new ways to deliver revenue to Google via advertisements (Montgomery et al, 2015.pg 292)

Dogs

These are products with low growth or market share

Google has made a gadget known as Aardvark. This a global strategy for Google which can perform as a platform which connects one to real people with the information one is trying to search. Think of the possibilities where one gets instant confirmation of the credibility of the information he or she is looking for on the internet. Here, one gets connected with a professional who has mastered the type of information one is searching and any other related fields. Aardvark examines information through all the leading social networks and comes up with the keywords that you are looking for. Through these social networks, Aardvark finds and connects one to the user in a similar manner we use Facebook, Instagram and email to connect ourselves to the world. Aardvark connects one with the most qualifies professional to answer the user’s questions.  This is going to be the first time in the whole world where search information can be validated effectively and immediately (Usman et al, 2017,pg.23)

Conclusion

Google should not confine itself to one segmentation strategy which limits it to the youth only. It’s better to develop universal products which are useful to different people at various age sets, hence occupying different segments in the market. By investigating on the potential 4ps strategy used by the competitors, Apple has maintained higher level prices than Google. Vivo can only opt to lower its prices to a minimum to use it as their pricing strategy. Google and Apple use print media, digital media, and the internet to advertise its products. For vivo to have an advantage to its competitors concerning product promotional techniques, it should not dwell in its online advertising strategy and the print media. Google can target the market segments through communication channels to promote its products. The competitors of Google are not aware of building a good relationship with its consumers. Having a good relationship with clients helps companies to learn consumer behaviors and fully satisfy their needs according to their requirements. Building a customer relationship management system is the best deal for this. Google can also predict and prospect about its future performance by analyzing transaction information and customer’s details. This is achieved by using transaction control and inventory processing system at its various outlets in its target market.

References

Bharadwaj, S., 2015. Developing new marketing strategy theory: addressing the limitations of a   singular focus on firm financial performance. AMS review, 5(3-4), pp.98-102.

Gozgor, G. and Can, M., 2016. Effects of the product diversification of exports on income at       different stages of economic development. Eurasian Business Review, 6(2), pp.215-235.

Montgomery, R.T., Ogden, J.A. and Boehmke, B.C., 2018. A quantified Kraljic Portfolio Matrix:            Using decision analysis for strategic purchasing. Journal of Purchasing and Supply           Management, 24(3), pp.192-203.

Usman, M., 2017. Digital Marketing Strategy: An Implementation of online Marketing        Campaign for L’Oreal PARIS Using Google Adwords (Doctoral dissertation, National                         University of Science and Technology, Islamabad).