Google Company’s 10-K Report for 2012 Fiscal Year

NB: We do not resell your papers. Upon ordering, we do an original paper exclusively for you.

NB: All your data is kept safe from the public.

Table of Contents

Five items about Google strategy from the 10-K report
Find five news or research articles about Google Company
Affirm or disprove the 10-K report of the company
Financial ratios
SWOT analysis
Porter five forces
Works Cited

Five items about Google strategy from the 10-K report

Google Inc. is a global leader that focuses “on improving the ways people connect with information” (Google Inc. Form 10-K, part 1). The five items that the 10-K report highlights about Google constitute the acquisition strategy, which enabled the company to acquire Motorola Company, the use of different digital platforms such as Google play, Google plus, Android and many others to provide efficient surfaces to customers. In addition, the report utilizes a unique selling proposition as a marketing strategy that allows Google to market its products and services in a highly competitive industry. Fourthly, the company has ventured into online television as a strategy for penetration into different markets. Lastly, Google pursues cost-effective online advertising to generate revenues.

Find five news or research articles about Google Company

According to Weiss (Para 2), Google’s current strategy can be analyzed by using seven words: that is, making more people use the internet. According to the author, Google achieves this through online advertising that is cost-effective for marketing its product to an enormous number of online users. The second strategy is discussed by Fox. Fox articulates that Google employs the television strategy in order to ensure that customers get what they want from the internet (par. 2). In addition, Google uses acquisition as a growth strategy to enhance its market position (“Research and Markets: Google Acquisitions and Strategy” par. 3). This is explained by Google acquisition of Motorola Company. The company marketing strategy comprises of mobile advertising through collaborations with social media platforms (“Research and Markets: Google’s Mobile Advertising Strategy” par. 3). Finally, Georgas highlights the last strategy that is employed by Google (166). She illustrates that Google uses a differentiation strategy to provide customized services to internet users. It does this by using different digital platforms.

Affirm or disprove the 10-K report of the company

I affirm the company’s 10-K report because the articles selected provide the same information contained in the 10-K report. For example, the article by Weiss indicates that Google’s strategy is out to make more people use the internet intensively through online advertising. The 10-K report also contains the same information in which Google articulates that it uses online advertising, and its cost-effective online advertising strategy allows it to penetrate a wide online market.

The article by Fox and the 10-K report talk about the use of online TV and music as a strategy of encouraging more people to use the internet. The acquisition strategy as explained by BusinessWire (“Research and Markets: Google’s Mobile Advertising Strategy”) is true when compared with the strategies discussed in Google’s 10-K report. Further mobile advertising, as argued by BusinessWire (“Research and Markets: Google Acquisitions and Strategy”), is consistent with the mobile advertising strategy that is highlighted in the 10-K report. Georgas states that the company employs differentiation strategies to ensure that it meets all the customers’ needs (par. 3).

Financial ratios

Operating Profit Margin (OPM) for Google was 31% in 2011 before reducing to 25% in 2012. This shows that the operating margin is reducing hence loosing competitiveness (Google Company Financials par. 1). The Gross Profit Margin (GPM) was 65% in 2011, but reduced to 59% in 2012. Though it indicates that Google has good financial performance, its potential profitability is declining (Google Company Financials par. 1).

SWOT analysis

The strengths include open product and services sourcing, quality services, a strong financial position, an enormous customer base, a strong patent portfolio and a strong innovation culture. On the other hand, the company’s weaknesses include a single source of income and patent litigation. However, Google can overcome these weaknesses as it leverages its strengths by pursing a number of opportunities. These opportunities include the growing number of internet users, acquisition of patent rights, and investment in driverless fiber cars. However, the company faces a few threats, which include an increase of mobile users, unprofitable products, EU antitrust laws, and competition from Microsoft (Fenwick, Daim, and Gerdsri 1060).

Porter five forces

The analysis of Porter’s five forces of Google details the external environment that affects the company. This involves factors such as supplier power, buyer powers, a competitive barrier, a threat of substitute products or services, and a threat of new market entrants. The supplier power in the industry is low and may continue being low as long as Google maintains its market dominance. On the other hand, buyer power is strong. Buyers can force Google to be more innovative lest they switch to competing companies. There is a high threat of substitute services from other online companies that offer free services just like Google. The competitive rivalry is moderate in the company.

The company has its current competitors, which include Yahoo and MSN (Fenwick, Daim, and Gerdsri 1060). It is one of the most frequently used search engines and the most innovative of all the competitors. The threat of new entry is also moderate. The company has little threat entry because of the prevalence of a high level of the entrance barrier. Entering this market requires high outlay of capital and infrastructure. In addition, gaining customers from a competitor like Google brings more challenges (Fenwick, Daim, and Gerdsri 1060).

The threat of substitution is low. However, there is an increase in internet use, which is the primary source of information. There is also an emergence of development of search engines. Google has positioned itself as the most preferred engine in the world. Currently, there is no threat of substitution for the internet as a source of information (Fenwick, Daim, and Gerdsri 1060).

Works Cited

Fenwick, David, Tugrul U. Daim, and Nathasit Gerdsri. “Value Driven Technology Road Mapping (VTRM) process integrating decision making and marketing tools: Case of Internet security technologies.” Technological Forecasting and Social Change 76.8 (2009): 1055-1077.

Fox, Vanessa. Marketing In The Age Of Google: Your Online Strategy Is Your Business Strategy, Hoboken, New Jersey: John Wiley & Sons, 2010. Print.

Georgas, Helen. “Google Vs. The library: student preferences and perceptions when doing research using Google and a federated search tool.” Portal: Libraries and the academy 13.2 (2013): 165-185. ERIC. Web.

Google Company Financials n. d. Web.

Google Inc. Form 10-K: For the Fiscal Year Ended December 31, 2012. 2013. Web.

“Research and Markets: Google Acquisitions and Strategy.” BusinessWire. 2011. Web.

“Research and Markets: Google’s Mobile Advertising Strategy.” BusinessWire. 2012. Web.

Weiss, Todd R. “Google Opens Glass Availability to Google Music All Access Users.” eWeek. 2014: 10-12. eWeek. Web.

Click Here To Order Now!