Analysis of Goggle
Larry and Brinn founded this entity in the 1990s. However, the entity had a different name, Back Rub. The founders of the entity were undergraduates at Stanford University. The two students developed a search engine that could rate website relevance via examination of back links.
The above innovation would support the undertakings of countless entities in the Information technology (IT) sector. The founders later registered the entity in California. The entity generated its income only as search engines. Nonetheless, the entity currently has diversified its operations into an assortment of subsectors in the computer industry (Clay & Esparza, 2012).
What is going on?
In the previous decade, Goggle has made some shrewd acquisitions. The acquisitions have entailed entities that would complement Goggle’s operations. Additionally, the acquired entities would enable diversification and creation of new products. Goggle’s income originates predominately from advertisements despite the entity dealing in mobile phone software and other merchandise.
The entity also sells search appliances. In 2010, Goggle was the favourite search device. This denotes the entity’s domination of the market. In America, the entity serves over sixty percent of the search requests. The trend is similar internationally. Goggle also has an enormous workforce that executes its daily operations.
The entity’s management of the work force has culminated in innovations like YouTube, a music search engine. Such a project has earned the entity enormous returns. The entity has developed numerous data centres. The data centres will facilitate penetration into lucrative markets in Asia. Additionally, they have revealed Goggle’s commitment towards a clean environment. Generally, innovations and product creation have facilitated expansion in Goggle.
SWOT Analysis
Strengths
The entity has managed its personnel in a shrewd manner allowing the entity to benefit from their expertise. Projects like You Tube have emanated from the creativity of its employees.
However, the entity has earned phenomenal revenues from such innovations. Additionally, the global community is utilizing the internet greatly. Consequently, there is a sustainable demand for Goggle’s products globally. Google has diversified its products reducing its risk as an entity. Therefore, failure of a product would have minimal implication on the entities fortunes.
Weaknesses
The entity loses income through counterfeiting of its products. This is common practice especially in relation to application product. Therefore, Goggle should petition authorities to enforce counterfeit legislation to minimize its losses.
Opportunities
Innovations are critical to the survival of this entity. Therefore, Goggle has to provide the clientele with better products always hence, winning more clientele. Additionally, there are lucrative markets in the emerging economies that the entity can harness.
Threats
The entity operates in an exceedingly competitive market. Therefore, Goggle has to ensure that it is at par with its rivals. It should ensure that it improves its products persistently. Google is predominantly dependent on proceeds emanating from advertising. Accordingly, fluctuation in such incomes would affect the firm considerably.
PEST Analysis
Strengths
Advancement in technology will affect this entity positively. Technological progression will have considerable impacts in the emerging markets that are lagging behind technologically. Such advancements will create demand for Goggle’s products. Its personnel management strategy is unique hence, allowing the entity to utilize the creativity of its employees rather than issuing repetitive duties that do not support career growth.
Weaknesses
Google operates in an industry which changes rapidly. Consequently, the entity requires sustained research on product improvement. Failure to do so will allow its rival’s products to surpass its own. This would be detrimental since the clientele always opt for the best products.
References
Clay, B. & Esparza, S. (2012). Search engine optimization all in one for dummies. California, CA: Wiley publication.