Strategic Management of Google - Essay Example

Module # Module Strategic Management of Google # November 25, Word Count: 1873 Introduction The approach Google has taken with the corporate strategy and offering products to the marketplace have allowed them to move ahead with demands for technology and the Internet. The approach which has been taken with Google’s strategy is now leading to new challenges with the vast growth of the internal environment and the wide varieties of technologies which Google has placed with the products available. The examination of the Google strategy is one which focuses not only on the prospects for the future, but also with the core issues which are associated with Google and ways in which this can be overcome with the corporation. Re-examining the strategy of the corporation is one which can then change the strategic approaches of the company while allowing them to work toward the necessary alterations to continue to advance with the Internet technologies offered. Overview of Core Issues of Google The concepts which have been applied to Google are based on a diverse work structure and management that offers new innovations to the work space. This is followed by the goals of the company to offer technological innovations that are able to provide more to the market. The beginning structure of Google was able to base this on the unique algorithm used to help websites gain different prestige online followed by alternatives which have been developed with creative endeavors to create more categorization and options to those who are working online. The new technologies and the several portals that Google has created has led to a domination over the online market with search engines, social media and other options that are able to continue expanding with the market. The issues which are following with this include the fast expansion of the core team that requires new management and which can’t be controlled as easily. This is followed by questions of the new applications and technologies which may not carry the same innovations as the Google technology, causing the external environment to question the value of Google. Monitoring and controlling both the internal structure and the products which are resulting then become the main concern for Google (Kutcher 2009). The core issue which Google is facing is based on the strategic management that is now required for the growth and changes which have occurred in the business. The strategy is one which needs to be inclusive of the countries which offices are located with Google. This is combined with the need to have a different approach to the expansion that is occurring so it fits with the needs of Google. The strategic management is based on a sense of consolidation with both the products and the internal management structure that is a part of the corporation. The management designation is one which needs to create a sense of control over the growth of Google and the approach which has been taken with the organization’s values and mission. If there isn’t an alteration with the overall core values and mission and the relationship to the growth of the company, then there won’t be the ability to create a structure which continues to integrate with the options that Google is now creating (Henry, 2011). Competitors of Google The different changes which Google is making have led them into one of the largest groups of developers for search engines. Over 90% of the market share is associated with Google and is a part of the approaches made. Other top competitors include Yahoo, MSN and Bing. The market share is followed by customer satisfaction that is associated with the company, specifically which Google currently holds 92% of the market with. The closest in number is Yahoo at 72% followed by MSN at 57%. Ask Jeeves and Lycos have an average of 30% of the market and are expected to begin growing with new innovations used. While Google is currently dominating the market in terms of market share and competition, there are continuous changes that may be changing the influences over the competition, specifically with new strategies and tactics that are being used to move forward with the search engine and technological relations created online (Johnson, 2005). Prospects for Google The prospects that Google has is one which can continue to take over the market with the unique approach which has been taken with categorizing the information available on the Internet. The approach which Google is required to take is based on strategic innovation. The unique prospects that are outlined with the management and team leadership as well as the open and flat platform which has been created for the business and prospects is one which would need to compliment the new strategies that are required for the business development of the business. The approach taken would be based on continuing with the value systems that have been created through the corporation. Redefining products based on value to consumers and creating more ideologies for the management of the corporation based on heightening value will create controls that will allow Google to combine innovation with the focus on development of the corporation (Afuah, 2009). Porter’s Generic Strategies The concepts that are associated with the innovation of Google are combined with the extra components that are defined with the analysis of Porter’s generic strategies. These show the current advantages which Google has as well as the way in which the expansion of the corporation can continue to provide innovative solutions for those looking at the corporation. Table 1 shows the way in which the generic strategies can combine with the innovations which are required with Google. Table 1: Porter’s Generic Strategies Cost Leadership free tools to set apart from competitors flexible pricing opportunities free and paid inclusion expansion of free tools + paid additions Differentiation patented algorithm to set apart from search engines focus on expansion of tools, including mobile and social media Google brand tools to compliment search engine Cost Focus pay per click advertising to generate revenue Differentiation Focus only recognized search engine with algorithm expansion into video, mobile, dynamic content expansion into social media new technologies and products combined with search engines dominates marketing share and customer satisfaction (Porter, 1998). The advantages which are associated with Google are based on the foundational product of the search engine that is unmatched with others. This is combined with the various levels of cost effectiveness with the products, ranging from free to paid alternatives for the search engine tools. These advantages are helping Google to have higher ranking than other search engines that don’t have as much flexibility. The concept of having the ‘power of free’ and the combined additions of products and continuous categorization are setting Google apart from other search engines and technology sectors. However, there is also a disadvantage with the cost focus, specifically with not as many ways to continue expanding the revenue which is a part of the Google products because of the way the power of free is leveraged (Geelan, 2008). Combining Strategy with Competition The approach that Google has with the competitive advantage can be combined with the strategic innovations that can be used for the product and management control which Google now has to look into. The main ideology is to create a sense of competitive advantage that is a part of the internal structure and the way in which the products are being released. By looking at the theories of strategic management with competitive advantage, there is the ability to build a stronger basis within the company while continuing to move forward with the expectations that are a part of the corporation (Barney, Hesterly, 2005). For Google, this means combining the strong products with the leverage of free that is a part of the corporation. Managing the products and continuing to maintain these to create different approaches to the available products will help to strengthen the market which already exists while helping to control both the products and the management within the corporation. The ability to combine the competitive advantage with the strategic innovations is furthered with the understanding of what already exists with the Google Corporation to help with strategic advantage. Strategy is one which is often referred to as a design that is inclusive of the content and context which the operations fall under. This is followed by the daily operations that are managed and continue to offer more approaches to the growth of the corporation (De Wit, Meyer, 2010). For Google, there is an understanding that the strategy of the company already has a strong basis. Expanding on the flat form of the organization, offering more with the cost associations and the basis with the unmatched products can help to further the strategic innovations of the corporation. By piecing these together with stronger expansions of the main foundation of Google, there will be the ability to have a better basis with the products and services which are provided through the corporation. Even though Google has this specific approach with the foundation of the corporation, there is also the need to expand within this for more strategic management which is now a challenge to the core functions of Google, specifically with the control of management and of the products which are offered. The multi – perspective approach is one which shows that the foundation of the organization isn’t enough to build on the competitive advantage and the strategic management. The basis of an organization is one which is dynamic in form and which creates several needs in transforming and maintaining needs within the environment. This is inclusive of economics, transactions, individual roles, leadership and perspectives that pertain to the environment. The requirement is to have a specific association with the foundation of the corporation and to combine this with the strategies that are already in place with the corporation (Jenkins, Ambrosini, 2007). For Google, this means that there needs to be an analysis of the leadership which is currently used and the expansion of management that is required. Combining these two strategies with the foundation of the company and considering how this will help with the implementation and regulation of products can help with the strategies required for the corporation. Dynamics of Strategy Even though there is a specific approach which is required with the strategic management, there is also the concept of dynamics that are related to strategy. Google has the ability to regulate and manage both products and the internal organization with leadership and development of specific regulations with leaders and individuals. However, there is also a sense of continuous change and dynamics that are within an organization. The learning of an organization is based on the dynamic changes that are made within the organization and responses from trends in the market as well as from the internal environment. This builds even more dimensions that are used with the strategies developed while creating new responses to leverage a stronger organization which can be used while growing a business. This forms an integrated model of both the internal and external environment while establishing different approaches to perspectives and fluctuations which are in a company (Dibella, Nevis, 2007). Conclusion The concepts that Google has integrated into the foundation of their organization is one which has provided new opportunities and has leveraged a monopoly with the Internet search engines. This is now expanding into a large organization known internationally, combined with products that are continuing to move forward in the market and compete with some of the strongest competitors that are known in the technological sector. The approaches which Google has taken is combined with the organizational components that are associated with strategies and approaches which are now required for more functioning with the business. This is combined with the dynamics and processes which Google is required to examine. The organizational functions and products both pose a threat because of the vast expansion of the company. Creating strategies for management and control of both areas is essential to the continuous success of the corporation. Combining this with the processes involved with the strategic management, specifically associated with the foundation and competitive advantage of Google, can help them to continue to remain ahead of the competitors and the market. References Afuah, Allan. (2009). Strategic Innovation: New Game Strategies for Competitive Advantage. New York: Routledge. Balogun, J., & Hope Hailey, V. (2008). Exploring Strategic Change. 3rd ed. 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