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Company Background and Current Performance
Google is a global corporation that operates in the field of information organization and presents various products to the market. Among the most prominent of them, one may note Google Search, Google AdWords, Google Now, et cetera. The company employs approximately 55,000 all around the world and acquires $45 billion of profit annually (Clark, n.d.). The mission of Goggle is to make information accessible to everyone by organizing it in a useful way. In this regard, the search engine used by the company is developed continuously with a focus on integrity and trustworthiness. This paper aims at analyzing Google’s external and internal environments based on the given case study and SWOT analysis as well as further strategic recommendations to consider both strengths and weaknesses of the company.
Examining the External Environment
The external environment is composed of factors that are not controlled by a company, to which it should be adjusted. For Google, there is a range of macro-environmental factors having a particular impact. The political situation in the world affects Google while changing legislation has long been considered one of the most serious stumbling blocks in developing strategies. The socio-cultural situation is another aspect that should be considered. It should also be stressed that a modern person cannot imagine his or her life without the Internet. In this regard, people constantly need a purposeful, fast, and systematic search for information. Now, the global network is an integral part of the culture, and while it is such, this factor may either contribute to or impede the development of the company.
Physical and geographical conditions seem to affect Google’s performance since it is a multinational corporation with many branches around the world. Such a territorial scope allows more fully inquire about the desires and specifics of customers. At the same time, the mentioned factor may cause additional disputes and controversial situations, as it is shown in the case study on the example of Mr. Gonzalez. In terms of scientific and technological development, one of the values of the company is the belief that the possibilities to satisfy the most diverse needs for information are unlimited. Scientific and technological developments compile the factor that helps the corporation, thanks to the amazing ability to keep track of innovative inventions, to keep pace with the times, and amaze its consumers by guessing its desires. Carrying out its activities around the world, the company follows the international situation carefully as the success of Google lies in its widespread prevalence in the world. Therefore, the company should not lose its partners in other countries because of possible international conflicts and any other global issues.
Speaking of the microenvironment, it is possible to note such essential actors as customers, the state, and local communities. The company works for an audience of all ages and levels of prosperity to meet their expectations. It is rather difficult to meet the requirements of all customers and states where Google conducts its activities. Due to the specifics of the product offered by the company, unforeseen situations that may lead to legal proceedings are possible. As for the local communities, Google is an online giant that has no barriers, yet it should comply with the local regulations. Otherwise, serious problems may occur with customers who find irrelevant information on the Internet by using Google’s search engine.
Based on the abovementioned analysis, it can be noted that having achieved success, Google develops further and has the following opportunities:
- Increase the number of Internet users in the world;
- Increase the share of the international market;
- Improve compliance with legal regulations and clarify this field.
Similarly, a list of threats may be presented:
- More personalized and detailed search leading to even greater problems with the law;
- The scale of Google can create problems when updating or integrating new search technologies;
- Google may get stuck in the lawsuits regarding the system information being found (see Table 1 for details).
Analyzing the Internal Environment
The assessment of the internal environment is a managerial survey of a company’s functional areas to determine its strengths and weaknesses. To fully analyze the internal environment of Google, it is important to explore three functional areas, including structure, resources, and organizational culture. Examining the organizational structure of the company, one may conclude that it corresponds to the existing corporate mission. Departments interact with each other due to people occupying leading positions, who also manage personnel in their field. Google appreciates its employees and customers as it pays attention to their requests and provides feedback promptly. Thus, the key strengths revealed in the given case are great attention to customers’ requests, compliance with the local authorities’ issues, and evident intention to enhance the existing information privacy regulations (see Table 2). The following weak points may be highlighted: a lack of representation in social networks, a strong dependence on advertising, and relatively low compliance with the local and national laws while performing searches.
Key Strategic Factors
Initially, Google declared that the requirements for editing data lead to censorship. Earlier, representatives of Google indicated that they cannot control the search system on the Internet and are not responsible for obtaining personal data available in free access. This meant that the responsibility for finding information upon request is borne by the owner of the website on which it is located, and the company only provides a link. After losing in this case, to execute the court decision under the pressure of European regulators, Google took the necessary measures to minimize lawsuits – launched on its website a special online form through which a user can request to remove private information from the search engine delivery (Clark, n.d.). The above decision changed the strategy of Google. In particular, it required the determination of the legal status of the search system and the implementation of a pan-European practice of the application of the right to oblivion in domestic legislation. Also, the company increased the level of legal mechanisms to protect the honor, dignity, and business reputation of users.
Given the discussed Google analysis, it is possible to note that the main task of the company is to improve and expand its Legal Service. It should be accomplished to meet the customers’ expectations and provide the best device possible. At the same time, multiple lawsuits may restrain the overall operation of Google. One may recommend adopting a more precise focus on customers’ concerns. Even though the question with personal information disclosure is rather complicated, it is still possible to establish some rulers according to which the search engine should be adjusted.
Currently, Google is developing dynamically and considering the implementation of innovations. In this regard, one may recommend the company to employ leading experts in their fields to enhance the search and its services. The results of such work seem to be rather beneficial. Google is one of the first large companies, which abandoned long-term planning in favor of the rapid response to market changes. However, in recent years, world law enforcement practice tends to the fact that search engines should remove information from search results not only in the national domain but also in domains around the world. Google, in this regard, should determine its attitude to the given issue. The situation is complicated by the fact that no country should impose its rules on citizens of other countries, especially when it concerns the legal content. The mechanism of the application of the right to oblivion should be developed in detail. It is necessary to assess the situation based on the criterion of public significance, the protection of the right to freedom of speech, and the nature and nature of the contentious information.
To conclude, it is essential to emphasize that Google SWOT analysis was conducted, which helped to identify the strengths and weaknesses of this company as well as to determine its opportunities and threats. An integrated matrix was developed to help determine the importance of external and internal factors. Due to the provision of tables, it was possible to successfully formulate problems and specify an alternative strategy in the direction of which the company should move further.
Clark, C. E. (n.d.). Google and the right to be forgotten. PDF file.
|Increase the number of Internet users in the world||0,10||2,50||0,25||Well Established|
|Increase the share of the international market||0,15||3,75||0,56||Increase in Services|
|Improve compliance with legal regulations and clarify this field||0,20||4,00||0,80||In Progress|
|Problems with law||0,15||3,00||0,45||Slowing improving|
|Integration of new search technologies||0,15||3,20||0,48||Questionable|
|Lawsuits requesting information elimination||0,25||2,75||0,28|
Table 1. External Factor Analysis Summary (EFAS Table): Google.
|Great attention to customers’ requests||0,20||2,50||0,25||Well Established|
|Compliance with the local authorities’ issues||0,20||3,75||0,61||Increase in Services|
|Evident intention to enhance the existing information privacy regulations||0,20||4,00||0,87||In Progress|
|Lack of representation in social networks||0,15||3,00||0,45||Questionable|
|Dependence on advertising||0,15||3,20||0,48||Strong|
|Relatively low compliance with the local and national laws||0,10||2,75||0,28|
Table 2. Internal Factor Analysis Summary (IFAS Table): Google.