Index IntroductionProblem StatementSituation AnalysisOptions AnalysisAnalysis SummaryRecommendationsReferencesIntroductionGoogle Inc. is an American company specializing in Internet-related products and services (best known for its search engine) . The company has steadily developed into one of the best companies in the world since its creation in 1998. Google Inc. operates in an industry that is unique and unprecedentedly dynamic and has very different characteristics from its counterparts in the business world. The Internet industry is dynamic and is characterized by frequent adaptations of emerging technologies and continuous revolutions. To stay relevant, companies depend on technology-based solutions and exceptional strategies. Google Inc. is currently the best in the industry. This can be attributed to a healthy blend of distinct components and strategies, understanding the external environment and competitors, and pursuing achievable goals and objectives. Executive SummarySay no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get Original Essay Google Inc. was created in 1998 by its talented co-owners Larry Page and Sergey Brin. Initially, Google Inc. focused on providing customers with web-based search services with its Google web search engine. Currently, Google has a market share of more than 65% in the United States. Google enjoys the highest market share of all companies in its industry. Over the course of its existence, Google has made tremendous progress in many ways, designing and offering a range of other Internet-related products and services. These include search tools, communication and publishing tools, advertising services, security tools, development tools, map-related products, statistical tools, mobile and desktop applications, operating systems, cloud platform, and Google Fiber, among others . Problem Statement Google has been extremely assertive, ambitious, innovative and profitable. At first glance there does not appear to be a problem for Google Inc., but all companies must continue to support improvement and evolution in the information technology sector. Google had diversified and advanced so many of its products beyond its infamous search engine that every tech company was aware of it. They find themselves in a decisive position in the development of their company and must find an answer to the question: "What should Google do?". Situational Analysis Porters Five Forces Model: Power of Suppliers: There are content providers and application developers as suppliers to Google. As a key player in its ecosystem, its suppliers don't have much power over Google. Threat of new entrants: There are unlikely to be any new entrants due to high barriers to entry, such as capital and infrastructure requirements. However, there are possible threats from new search technologies. Threat of Substitutes: There is no potential threat of substitutes due to the high dependency of users on Internet technologies. Degree of Competition: Strong competitors among a few competitors like Microsoft and Yahoo!, but not as competent in search engines as Google. Option Analysis(1) Stay focused in the search area: Google's search engine is its core business and Google has excellent expertise and position in this area. Google's search algorithms still need to be improved. Instead of letting competitors take credit, Google should develop optimized search solutions while gaining first-mover advantage. Google can tooexpand into the areas of content analytics by providing analytics to businesses as it has done for its advertisers. Finally, by staying focused in the search area, you respect Google's mission to make the world's information accessible and usable. Argument against this option: Google has become almost a monopoly in online advertising on the Internet and has therefore attracted the attention of authorities regarding antitrust issues that could limit Google's freedom in transactions such as the collaboration with Yahoo!. Relying solely on the winning formula of the past would be risky for an organization like Google that operates in the technology sector. Finally, the research sector will be mature in the near future, therefore it has limited growth potential. (2) Become a developed portal: This option would allow Google to expand its coverage in different areas, which would also help its search engine and advertising. A developed portal would offer customers value added services as a portal could increase customer loyalty. Finally, Google already has some experience in this area thanks to the development of products such as Gmail and Google Docs, which implies that it is relatively less risky. Arguments against this option: Competition in the market is intense with giant competitors like Yahoo! and MSN. Customers of these competitors would not easily switch to them. Secondly, it is difficult to differentiate yourself in the portal business because all portals have very similar characteristics. Finally, according to Google CEO Schimdt, it is not in line with Google's mission. (3) Venturing into desktop apps: Desktop applications are a potentially large market. PC applications can integrate with its cloud computing services adding value to those customers who need mobility. Arguments against this option: This option would be very difficult for Google Inc. to compete with Microsoft. Although Google has developed web-based applications through Google Docs, it is not as experienced and well-known in this area as Microsoft. Its Web-based applications aren't as comprehensive as Microsoft's. It would be reasonable to assume that Customers will not leave Microsoft due to high switching costs and new skill requirements. Finally, once again this is not in line with Google's mission. (4) Provision of e-commerce services: The e-commerce market is also another growing market, especially in emerging economies. With its offices around the world and its search interface available in more than 110 languages, Google can expand its e-commerce in those economies. With its own Google Checkout payment system, Google can compete with eBay's Paypal service. Google search techniques such as custom search can be a tool for providing highly relevant links between buyers and sellers, which can be an advantage over eBay. Argument against this option: Google has no experience in the e-commerce industry, in areas such as customer relationship management and marketing, compared to eBay, an established e-commerce intermediary with millions of customers in the United States. Analysis Summary As Schmidt said, Google does better in “Search.” It has gained a competitive advantage in the search engine industry by improving its search technologies, such as personalized search. Advertisers are attracted to Google because its network provides more search traffic and has a unique cost-per-click rate. Furthermore, the search engine industry is currently in a phase of rapid growth which creates opportunities for Google. However, there are competitors such as Microsoft and Yahoo! compete with Google. Although in 2005