External environment are the forces and events outside a company that have the potential to influence or affect it. Google Inc. is an American multintional corporation secializing in internet – related services and products. These include search, cloud computing, software and online advertising technologies. Most profits are derived from Adwards.(Google ,2010)
Although the US is currently in a period of recession, Google Inc. is affected lightly because search and advertisment based on internet have become a staple to the world society and economy. ” Look particularly well – positioned to weather the downturn. Google’s focus on highly targeted, measurable advertising makes it more recession – proof than many other businesses in tech.” (Schiffman, 2008)
As we all know, internet technology and technological development bring opportunities to Google Inc. to enter the market. It provides a powerful website search platform for the public which creates countless wealth for Google Inc. However, the dual nature of technological factors also bring new problem: with the changing needs and the internet technology updates, more and more potential competitors and alternatives appear, Google Inc. must identify future trends and new market segments it could exploit, so that it can operate more effectively in the technological environment.
As for socio – cultural environment, Google seems to become an indispensable part of life. 500 years ago, Gutenberg invented the modern movable type printing machine, since then, books and science books greatly reduced prices, to enter the ordinary families. Today, Google gives the public the power to change the way people obtain information. This change is more profound than the change that any other kind of new inventions brought. By google search interface, google respond hundreds of millions of search requests quickly and accurately which revolutionized the way people access information and keep abreast of the latest information on the way. Every day, millions of people in 100 different languages using the Google, for them, Google is equivalent to the Internet. Via the Google search network on a computer or mobile phone, people can instantly get information about anything and every piece of an information. Men, women and children have a sense of dependence on Google, people can not imagine what life would be like without Google.
Other than that, Google Inc. is also affected by legal environment. As its online activities develop, Google was sued because it was likely to violate copyright and privacy. Therefore, Google Inc. is recommended that takes steps to respond quickly to copryright or privacy complaints so that it may positively enhance its brand image in matter of this regard.
Reference list
B.Morrow (2008)., Google’s Success., Retrieved from http://zh.scribd.com/doc/16062744/Googles-Success
tkkfc 