Innovation at Google: How Does It Generate Its Revenues? Coursework

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Basically, Google’s triumph in the current competitive market is ideally based on the effective utilization of the available innovative opportunities, its future business visions, and the knack to exploit the available tools. This makes Google to shine in every aspect of communication. The company has an official blog which is used as a tool by most companies and thousands of individuals. The corporation generates a majority of its revenues through offering measurable, highly relevant, and cost effective advertisements. To generate revenues from advertisement, Google often uses the AdWords program which assists in promoting other companies services and products based on targeted advertising search criteria. Google’s AdSense program is conversely used by various intermediary websites which comprise the Google’s networks to deliver pertinent ads which enhance users’ experiences besides generating revenues (Chaffey, 2009). Furthermore, the comprehensive internet search appliances, and the greatly aimed advertising solutions offered by this company via its well developed and entrepreneurial internet sites helps it to generate lots of revenues.

Google’s future revenue levels based the eminent risk factors

Since Google generally relies on advertising as a source of revenue, the levels of revenue generated via advertisement might significantly fall in the future due to their unpredictable and highly volatile nature. However, owing to lack of any meaningful competition in this field, Google still has establishment powers that would eventually help it evade the negative aspects created by the new market entrants. This implies that, as a key player in the advertisement arena, when the cost of advertisement escalates as a result of immense competitions, Google would be forced to lower the service prices. In response, the revenue generated would fall. Nevertheless, high costs of operation will see off many new markets entrants, and this will help Google restore its revenue generation levels. The pricing of this online advertising company might also be driven down by the overwhelming number of abusers who erode the bestowed assurance in the Google’s models (Marks & Lozano, 2009). For instance, the click fraud risks by the programmed software agents would probably distort the future revenue numbers while the low pricing accruing from web traffic would make the overall revenue levels to significantly fall.

Case study-2: New Hype or New-Fangled Architecture?

How SOA may reduce trust on a sole enterprise software source and raise flexibility by setting up new-fangled functionality and applications

Via the utilization of web standards such as the XML, functionality and data may be swapped between various applications from diverse service providers. From the case study, the major precept of the inquiry is ideally whether it would be easier to generate multi-software and hardware vendor solutions. Actually, this will depend on the extent to which SOA is installed.

The case suggests that it should be open stranded, widely adopted, and therefore theory must follow this. Nevertheless, there might be increased outlays in the development of a system which incorporates diverse solutions and at the same it might rather be cost effective to endorse a solitary solution like those illustrated in the case including SAP for the mainstream of functionality application (Chaffey, 2009). Software generated by other vendors should thereafter be best utilized for whiz functionality. This will ensure that costs linked with the movement from a particular functionality source to the other are always switched.

Likewise, adopting novel business practices through software will constantly need proper management and tailoring of the associated changes. It might not necessarily be simple like tapping a switch. In fact, the business software seem not to be straightforward like the play and plug hardware found on windows PC since various functions are requisite even for the simplest applications, hence, it is rather intricate to aptly standardize these. Other applications that can be easily standardized like procurement would get the assistance of SOA. In essence, SOA is deemed as an advancement of the earlier standards which aspired of being software platform and hardware platform neutral. Based on this, it might not enhance flexibility because it is not by any chance considerably different from the earlier approaches, rather it would be dubbed the re-branding of the already existing technologies (Marks & Lozano, 2009). Even though the case mentioned increment in support, software, and hardware costs which are partly caused by the switch to the server or client architecture, it does not imply that SOA might suffer the same fate because it already utilizes an analogous model. In essence, SOA will certainly increase the storage and memory provisions than the already existing solutions.

References

Chaffey, D. (2009). E-Business and E-Commerce Management: Strategy, Implementation and Practice. Upper Saddle River, NJ: FT Prentice Hall

Marks, E., A. & Lozano, B. (2009). Executive’s Guide to Cloud Computing. Hoboken, NJ: John Wiley and Sons

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