Organize the worlds information

and make it universally accessible and useful.

Zaid Haritsyah

Kevin Clay Budimulia

Yohanes Chrisbiyanto

Rexson Tan

Irfan Budipradipta

verb.
Ex. Let me googling it

Agenda
o

Company History

Google Business

Market competition

Product Compare

External environment analysis

Five Force Model Competition

Strength, Weaknesses, Opportunities and Threats

Five Generic Competitive Strategy

Competitive Position

Competing in International Market

Diversification Strategy

CSR

Recommendations

Conclusion

Company History
o The development of Googles search technology began in January
1996 with the founder Larry Page and Sergey Brin.
o At first, Larry Page and Sergey Brin named the search engine
BackRub.
o In 1998, BackRub would be renamed Google
o In August 1998, Google held the investors $100.000 check and at
the end of September the company went on to raise a total of
$1million in venture capital
o By year-end 1998, Pc Magazine had named the company to its list
of Top 100 Web Sites and Search Engines for 1998
o In 2000, the company make innovations with wireless search
technology, search capabilities in 10 languages, and Google
Toolbar
o In 2004, features added like Google News, Google Product Search,
Google Scholar, and Google Local.

Company History
o In 2005 Google maps goes Live add satellite views and direction,
Google also launch Google talk. In 2005 Google also release
Google Analytics for measuring the impact of websites and
marketing
o In 2006 Google launched Google Finance, Google Calendar, Google
Translate
o In 2007 Google got Best Companies To Work For (rank #1 of the
list 3 other years since). Added traffic information for Google
Maps, also launched Street View in 5 U.S Cities ( New York, San
Fransisco, Las vegas, Miami & Denver). And the last 2007 Google
announce Android
o In 2008 Google launched Google Map Maker, and Street view is
available in several cities in Japan and Australia
o In 2009 Google Released google Voice, Google ventures, Google
Chrome OS

Company History
o In 2010 Google via Youtube introduce TrueView
o In 2011 Google Offers kiks off in beta in Portland, ore. Google
bring Offline Access to Gmail, calendar and Docs for people using
Chrome. Google launched Google+ Pages. And also open New
office in Paris
o 2012 Chrome launch on Android, Android market becomes Google
Play. Launched Google Drive. Begin installing Google Fiber.
o 2013 Google Introduces Enchanced campaigns. Google acquired
Waze to help people outsmart Traffic
o 2014 Google introduce the first family of Android One phones in
India. And in 2014 Google launched Android Lollipop.
o 2015 Google just Released Google Android M (Marshmallow) for
now only available on Android Nexus

Google Business
WHAT

HOW

WHO

WEB BASED
ADVERTISING

MONETIZIN
G SEARCH
TRAFFIC

ADVERTISER

CPC
PAID
LISTING

Googlemakes99% of itsrevenuefrom advertisings

7

Google Business

WHAT BOOST THE BUSINESS

Efficient Ads
More
Advertisers
More Revenues

WHAT MAKE SO POWERFUL

No. 1 Search Engine
Diversity of Ads
Support
Relevant Advertising

40% of all web searches have a commercial motivation

8

Google Business

Product Compare

User Experience Compare

10

Market Competition

10%

10%
70%

7.0%

1%

U.S. Search Engine Percent of Market Share 2015

Source: Netmarketshare.com

11

Market Competition

16%

17%
52%

10%

2%

Worldwide Browser Percent of Market Share 2015

Source: http://gs.statcounter.com

12

Market Competition

18.3%

78.0%

0.3%

2.7%

U.S. Smartphone Platform Percent of Market Share 2015

Source: http://www.idc.com/prodserv/smartphone-os-market-share.jsp

13

External Environment
PR like Political and
Regulation factors

E like Economical
factors

Adoption of new
technologies
Local authorities blockage
(censoring)

Stock market
Publishers numbers
Foreign Exchange rate

T like Technological
factors
The evolution of
technologies
Internet
Network & Infrastructures
Mobile phones market

S like Social factors

Numbers of users
Trends
Brand reputation

L like Legal factors

Privacy concerns
Competition law

U.S. Smartphone Platform Percent of Market Share 2015

Source: ComScore.com

14

Five Force Model

Competition
Rivalry

New Entrants

Buyers / Customers

STRONG
Yahoo, Baidu

WEAK
Too Competitive

WEAK
Relative to buyer
demand

Substitutes
WEAK
Not Readily Available
Ex. Artificial
Intelligence

Suppliers
WEAK
There is a surge in the
availability of supply
Ex. Server Provider

15

S.W.O.T. Analysis
STRENGTH

WEAKNESS

OPPORTUNITIES

THREATS

Established brand
name

Marketers dont
control the cost and
position of their
advertisement

Merging with an
established massmarket portal to lock
in large number of
users and
advertisers.

Emergence of
many competitors,
or merging of
existing ones

Strong marketing
:word by mouth
publicity is doing the
job
User-friendly
interface with
display of relevant
and clear results
Highly competent
work: PHD
researchers
Innovative products
A worldwide market
share of 70%

Impact of click fraud

practice on the
business
No marketing for
many products
,users are unaware
of their existence

Becoming a massmarket portal like

Yahoo and MSN,
where portals
contain added
attractions for users.
Providing private
search services to
businesses
Targeting the hand
held mobile devices
market
Building the world's
biggest digital
library and online
bookstore

Googles
advertising policy
could disappoint its
advertisers and
start loosing many
of them
Copyright issues
Privacy and
security concerns
Antitrust and
competition laws
Inability to adapt
the infrastructure
to the quick growth

16

Five Generic Competitive Strategy

LOW
COST
PROVIDER

Reduce price of advert

BROAD
DIFFEREN
TIATION

Innovate, more and more technology

FOCUSED
LOW
COST

Create new segment of advertisement, for middlelow level company

17

Five Generic Competitive Strategy

FOCUSED
DIFFEREN
TIATION

Provide company the information about their

website activities

BEST
COST
PROVIDER

Tracking, Counting, and Predicting all the

keywords that related to advertisement

18

Competitive Position
OFFENSIVE
Basis for Competitive Attack

LEAPFROGGING COMPETITORS
Being first to market with next-generation
products

PRODUCT INNOVATION
Pursuing continuous product innovation to
draw sales and market share away from
less innovative rivals

19

Competitive Position
HORIZONTAL MERGER AND AQUISTION STRATEGIES

Extending the companys

business into new
product categories

Gaining quick access to

new technologies or
complementary resources
and capabilities

Leading the
convergences of
industries whose
boundaries are being
blurred by changing
technologies and new
market opportunities

20

Competitive Position
MERGER AND AQUISTION COMPANIES

21

Competing in International Markets

GLOBAL
Think Global, Act Global

22

Competing in International Markets

SERVE
R

SERVE
R

SERVE
R

SERVE
R

Google uses the Global strategy, which in the implementation, standardization in terms of
security and centralized servers into one and all policies issued from one source.

23

Competing in International Markets

ADVANTAGE

DISADVANTAGE

All directed from one

server

Google as a global company could

not be immediately accepted by
the public.

So the output that all parties or

people received will be the same
with the output that has company
gave in accordance with the
policies issued.

So that there should be an

adjustment of the user, and the
worst is like in China where the
engines are highly accepted and
become competitors Google is
Baidu

ADJUSTMENT
Localized Domain
Localized Language

24

Diversification Strategy
Diversity Into Related Business

Mobile Advertising

Security

Double Click, Invite Media

Google Books

Mobile Advertising
Double Click

Photo Editing
Picasa

Image Organizer
Picasa, Blogger

25

Diversification Strategy
Diversity Into Related Business

Restaurants Review
Google Places, Google Map

GPS Navigation Soft.

Google Map

Video Editing
Youtube

Video Sharing
Youtube

Mobile Software
Android

26

CSR
Google Grants is an in-kind donation program awarding free AdWords advertising
to select charitable organizations. Since its inception, we have supported hundreds
of organizations in advocating and promoting their causes, from animal rights and
literacy to abandoned children and HIV education.
Room to Read, which educates children in Vietnam, Nepal, India and Cambodia,
attracted a sponsor who clicked on its AdWords ad. He has donated funds to
support the education of 25 girls for the next 10 years.
The US Fund for UNICEFs e-commerce site, Shop UNICEF, has experienced a 43
percent increase in sales over the previous year.
CoachArt, supporting children with life-threatening illnesses through art and
athletics programs, has seen a 60 to 70 percent increase in volunteers.
In the aftermath of the Sichuan earthquake in China, Google Grants also supported
the China Red Cross, China Charity Federation, China Youth Development
Foundation, China Children and Teenagers Fund and other organizations with free
in-kind advertising of over 6 million RMB. Now, Jet Lis One Foundation and his
umbrella organizations have also started using Google Grants to promote the
cause of corporate philanthropy.

27

Recommendations
ACCURACY

ACCURACY MORE USERS MORE

ADVERTISERS

FIGHT
SPAMMERS

Fight spammers - Impact on search quality

and accuracy

CLICK
FRAUD
ISSUE

Resolve the click fraud issue Impact on

advertising business

PROVIDE
PRIVATE
SEARCH

Provide private search services to companies

using its superior technology
28

Thank You