The values that Google creates for its customers are: (1) a search engine with over 4 billion indexed webpages, (2) a search engine so popular most major web portals (including Yahoo and AOL) were using Google's search technology, and (3) some 75 percent of Internet searches are made using Google. Coming from a consumer standpoint it would make one think that Google is one the (if not THE) best search engine there is on the market.
The value that Google creates for its advertisers is that they sell the advertisers the words that people put in when they search for something on the Web via an auction. To make the deal more appealing, the sponsor only has to pay Google if the user clicks through to it from a Google-generated link. I think it is a fantastic idea because the sponsors do not have to pay Google for the amount of time the advertisement runs like most types of advertisements. This also is a very fair and clever condition because it will keep sponsors at their knees begging Google to use their advertisement, which essentially translates into higher revenues and profits. It is a win/win situation all around as long as you are the sponsor that bids the highest.
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Question #2- Google's competitive advantage is that they were the first to organize such a huge search engine and put it to use. Google also found a way to make money by selling advertising space.
The competitors such as Yahoo and Microsoft are trying to catch up with Google, but they just do not have the edge that Google has. Google is a household name; any time someone wants to know something the first thing they say is "I'll Google it!"
To keep competitors at bay Google must continue to improve their service by listening to the users and giving them the attention that they need.
Charles Handy questions #3
I dont think that competetors have capabilities that google doesnt have because most of these competetors copy the way google works. people like yahoo started useing the same technolgy as google. and mircosoft works hand in hand with google, so when you get a new computer it comes with a google tool bar.
this is because google it unquie and smart. they run there business more advance then any other company.
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