Words: 755 - Pages: 4. There were inquiries into the agreement by the U. . The net profit margin of Google was 27. In June 2000 it became the largest search engine in the world.
«Hide from Christopher Grogan Jeanne Brett Source: Kellogg School of Management 15 pages. Abstract This case is based on the negotiation between Google and the Chinese government to allow access by Chinese citizens to a high-speed Chinese version of the Google search engine. Google use AdWords and AdSense strategy allowing the companies to put their ads on the web page which is easily accessible by the customers. Chapter 4 Case Study: Google In China. Society cannot be a better place if its full of false factors. As a special entity recognized by international treaty, Hong Kong is vested with independent judicial power and not subject to most Chinese laws, including those requiring the restriction of free flow of information and censorship of internet materials Birch, 2010.
Google expanded its portfolio by introducing an array of software and added services. Officials in China have the ability to limit web content that is deemed negative to the government. . But the ultimate purpose is crystal clear, Government needs a smooth flow within country. The search industry is impacted by numerous forces that have strong, moderate and weak impacts on the industry. Google has a very complex collection of technology that must be tailored specifically for use by Chinese customers. The seasoned team had been briefed on Chinese culture throughout the past two weeks by a special consultant retained for the negotiations.
The case describes the circumstances in reviewing Google's strategy in China. Even offering a heavily censored and handicapped version of their search engine, Google's revenue producers AdSense and AdWords could still make billions. A rival firm is a strong force in the search industry. The company had also released an open source web browser, Google Chrome and Google Translate by the end of the same year. Google, Baidu, Sohu, Yahoo and Sina. . .
Words: 1857 - Pages: 8. Google The search industry is one of the largest industries in the world with Google Inc. In summary, the case study of Google in China provides an excellent example of the challenges that are faced by multinational firms. For Google in 2005, from a business perspective, what are the arguments for and against entering China? In an effort to deliver better service to Chinese customers, Google decided to censor the results. The firm has the leading position in online advertising.
. The reasons are many: profits, growing opportunity, a sense that Chinese economic liberty if not political freedom is growing, a reluctance to draw lines about where to do business based on broad geopolitical assessments unless the U. Taking part in China's systematic repression of information from its public is the main ethical argument against doing business with the country. Although this choice goes against their corporate values, it was a necessary step to deliver high quality search results to customers. The responsibility of giving the society lays with the government, but if its harm the system within the country, Government will decide the final outcome. By this, Google means the company will not compromise their Code of Conduct and will provide searchers with information which is current and not biased or censored in any way.
. However, the government is also very inviting to foreign businesses that can help increase the prosperity of the growing economy. . The Chromecast digital media player from Google. To be able to operate in China legally there was a need to employ censorship despite the core beliefs of the company. Allowing censorship of links is one thing; but standing by while personal identities of gmail users are uncovered is another.
. It also make application like google Apps. Google entered China in 2006 with high hopes of taking over the Chinese internet market. This in return helps that the employees try to finish there projects on time. The project was supposed to implement an innovative technology that would analyses webpages and retrieve the most pertinent information for any given query. At what point do ethical considerations outweigh financial ones? Summary of Strategic and Operational Challenges Any global business is bound to face a variety of strategic and operational challenges when expanding into a new foreign market.
Targeted online advertising: Using reciprocity appeals to increase acceptance among users of free web services. Users were diverted to rival Chinese search site, Baidu. Indeed, Google's remarkable statement yesterday will highlight for many corporations--not just in China but in many other difficult business environments around the world Russia? Ethical issues in the evolution of corporate governance in China. The Problem of Internet Accountability. . By 2000 Google users could search contents on the site in 10 different languages. Google needed to weigh in on the benefit of gaining access to a new market by sacrificing the integrity of their service since they needed to conform to government imposed standards of censorship Grogan and Brett, 2006.
One renowned example of Nike marketing strategy is during 2008 Summer Olympics in Beijing. Suddenly, in early September, computer users in China could not access Google. Google realized that they made were revenue from the international market. How does a search engine work and make money? This has been the problem for Google and its relationship with China. Google must invest heavily in developing new technology for the Chinese market and it must maintain positive relations with the host country to ensue long-term success. The company had integrated a culture of competition among all the major industry players on innovation rather than the development of existing products or enhancing revenues.