Strengths and competitive assets

Googles text-matching techniques and PageRank technology provides highly relevant search results
by searching billions of web pages to examine how many sites point to other sites
Googles search functionality allows users to search stock quotes, street maps, telephone numbers,
flight information, perform web page translations, and track overnight parcels
Extensive list of services and tools
Liquid assets of more than $24billion as of December 31, 2009
63.7% market share in Internet searches from computers
60-plus percent market share in mobile search
Search based ads were translated in 51 different languages
About one-half of Googles traffic was generated from United States
23% annual increase in revenues from the United Kingdom and 47.2% annual increase revenues other
countries outside the United States between 2006 and 2009
Policy of separating paid ads from search results is admired by consumers
Cost-per-click (CPC) sales model is appealing to advertisers
Bidding process allowsadvertisers with high click-through rates to offer lower minimum bids
CPC bidding process that ensured advertisers paid only 1 cent more than the next highest bid,
regardless of the actual amount of the bid
Wide network of AdSense partners has allowed revenue from Google Network web sites to increase
from $628.6 million in 2003 to more than $7.1 billion in 2009
Google Checkout provided revenues from sales at participating e-retailer websites
Specialized marketing services for large advertisers
Googles acquisition of DoubleClick allowed it to provide advertisers with banner ads in addition to
search ads
Googles Android operating system allowed it to shape how mobile phones and PDAs would access
Internet content
Androids U.S. smartphone platform market share had grown from 2.5% in September 2009 to 13.0%
in May 2010
Google Apps provides businesses with a low-cost productivity software alternative to Microsoft
Office
Google TV search capabilities
Googles Chrome browser helped the company defend against attempts by Microsoft to limit Googles
ability to deliver relevant search based ads to Internet users.

Weaknesses and competitive deficiencies

Only $761million of Googles 2009 revenues of approximately $23.7 billion were generated Search
Appliance licensing fees
Googles site was not as diversified as those of web portals such as Yahoo
Googles 31% share of local search-based ads in China was a distant second to Baidus 64% share of
search ads originating from China
Googles Street View data collection approaches were seen as privacy violations in some countries
Googles Chrome browser held only a 7% market share in June 2010
The companys involvement in government relations seemed to be in possible violation of its
founding principles
Google generated no revenues from auctions
Market opportunities
Development of relationships with content providers that would allow Google to provide links to
proprietary information sources
Development of relationships with paid-access content providers such as Lexis-Nexis or The Wall
Street Journal Online that would allow users to access information on a fee per visit basis
Development of semantic search capabilities
Further development cloud computing software applications that would extend Googles revenues
beyond advertising
Development of Wi-Fi service that utilizes unused television frequencies
Increased presence in country markets experiencing rapid growth in Internet usage (e.g., China, India,
and other countries experiencing rapid economic growth)
External threats
Prominent Internet companies will make acquisitions or develop technology that allows them to avoid
use of Googles search engine
Microsofts Bing could be integrated into Microsoft Windows, Explorer, Outlook, and Office products
and would eliminate the need to visit www.google.com or use a Google browser-based search tool
Integration of search functionality into cloud computing applications could eliminate the need for a
stand-alone search tool
Microsofts Azure cloud computing initiative may attract loyal Office users preferring cloud
applications
Entrepreneurial computer programmers may develop a semantic search engine superior to Googles
text matching techniques and Page Rank
Wireless device manufacturers may internally develop search capabilities for their products

Strategy Options:
Viable semantic search engine
Integrate search based ads and banner ads into YouTube and develop an
advertising auctioning program that allows advertisers to bid for both
search-based ads and banner ads served by DoubleClick.
Collaborate with wireless phone providers to make its Android mobile
phone operating system available on a wider range of phones provided by a
larger number of wireless providers.
Google TV initiative