Should Google Branch Out the Other Areas?
- Submitted by: mjuarez2010
- Views: 915
- Category: Politics: Economics
- Date Submitted: 10/05/2010 08:56 PM
- Pages: 3
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Google
Should Google branch out the other areas such as
a) Build a full-fledged portal like yahoo.
In the words of Google´s CEO, Eric Schmidt: “We´re not in the portal business, we´re in the business of making all the world´s information accessible and useful”. Becoming a themed-content portal like Yahoo! or MSN could be attractive in terms of growth for Google if done successfully; however, the risks implied could be even greater. Google strength relies on being an innovative company and managing that innovation properly, from the bottom-up. Imitating a matured service as a full-fledged portal would be a confrontational step against its valuable resources internally, an editorial and commercial portal that would necessarily incorporate a human intervention would compromise Google´s objectivity and relevancy in terms search results, it would be a non-innovative move that would send a message within the organization of changing their corporate values. As followers, they would lose independency of making their own rules.
Externally the entering barriers are significant, since it is a highly competitive market, which has matured for over 10 years Google would direct itself to an unnecessary intensive competitive war. The user experience would dramatically change, since Google´s the search platform is rather plain, which avoids lingering and distractions, one of the most important attributes of the website. The highest risk would be to lose its well regarded brand image and lose credibility and trust among its users to be perceived as a commercial corporation.
A full fledge portal will lead Google to lose focus on what they do well. Instead of imitating growth, they should focus on their search mission and expand it towards creating an environment around information and content based in technology -algorithms- with their core attribute: user preferences.
b) Targeting Microsoft’s desktop software hegemony
Google’s aligned with its corporate values...
Should Google branch out the other areas such as
a) Build a full-fledged portal like yahoo.
In the words of Google´s CEO, Eric Schmidt: “We´re not in the portal business, we´re in the business of making all the world´s information accessible and useful”. Becoming a themed-content portal like Yahoo! or MSN could be attractive in terms of growth for Google if done successfully; however, the risks implied could be even greater. Google strength relies on being an innovative company and managing that innovation properly, from the bottom-up. Imitating a matured service as a full-fledged portal would be a confrontational step against its valuable resources internally, an editorial and commercial portal that would necessarily incorporate a human intervention would compromise Google´s objectivity and relevancy in terms search results, it would be a non-innovative move that would send a message within the organization of changing their corporate values. As followers, they would lose independency of making their own rules.
Externally the entering barriers are significant, since it is a highly competitive market, which has matured for over 10 years Google would direct itself to an unnecessary intensive competitive war. The user experience would dramatically change, since Google´s the search platform is rather plain, which avoids lingering and distractions, one of the most important attributes of the website. The highest risk would be to lose its well regarded brand image and lose credibility and trust among its users to be perceived as a commercial corporation.
A full fledge portal will lead Google to lose focus on what they do well. Instead of imitating growth, they should focus on their search mission and expand it towards creating an environment around information and content based in technology -algorithms- with their core attribute: user preferences.
b) Targeting Microsoft’s desktop software hegemony
Google’s aligned with its corporate values...