Competitive Strategies Case Study

Google vs Baidu.com (B): Google's Country Experiences

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Abstract:

At the heart of Google's worldwide success is its PageRank technology and its online advertising model. After success in its home country, the US, Google has expanded to international markets including countries in Europe and the Asia-Pacific. Has Google been successful in all the countries it entered? What has been Google's experience in these countries? What are the key insights? This case, the second in the series, Google vs Baidu.com, looks at Google's meteoric rise worldwide and the reasons for its global success. The focus is on Google's operations in France, Germany and Japan. Google's foray into these countries though successful is also marked by the threat of impending competition from a new adversary - the government sponsored national search engines. The case details the reasons for and the initiatives of the respective governments to challenge Google's stronghold and market dominance. What are the ramifications of the government initiatives succeeding for Google and what does it need to do to ensure its continued dominance? The case questions whether there is a serious challenge or is it only a passing phase in the search giant's growth.

Pedagogical Objectives:

The case is structured to let the students analyse and understand:
• A search engine's business model in general and that of Google in particular
• Should a business model be adapted, when entering a foreign market?
• How should Google respond to competition from the governments in France, Germany and Japan?

Keywords : Google; Baidu.com; China's Search Engine Market; Business Model; Globalisation and Localisation; CAGE Frame Work; Alliance Strategies; Acquisitions and Partnerships; Chinese Google; Government Business Environment; Internet Censorship; Online Advertising; Market Entry Strategies Case Study; International Business; Legal Environment and Regulations

Contents : 
Google France
Google Germany
Google Japan
Google: Understanding the Competition