-personalization needs - low switching cost -local needs
How the share of search business will be
Search business will never be a winner-take-all business. But why？
•Being committed to leveraging leading-edge technology: invent new search algorithms. •Bettered Overture’s policy of ranking paid listing solely on CPC by also considering listing relevancy(CTR) •Managing innovation—Google’s ten golden rules. •Pay attention to cooperation both outside and inside.
1999
Sequoia Capital
and Kleiner Perkins Caufield & Byers
2000 2002 2003
Yahoo use
Google search technol
ogy
Google Google AdWords. AdSense.
The content in here
Corporate Values
Technolo gy
Managing innovation
Cooperation
Key Factors of Google’s Success
• Google believes in its Corporate Values
Don’t be evil
we make our own rules
-new markets : mobile search -personalization: general search engine is evolving to vertical search , for example, RSS、Job Search -customization : it can meet demands of some specific customers-LIJIT -pecs: politics、culture、economics、society -technology: it will be a disaster for one company to offer all kinds of technology
➢ Multi-homing cost
-time: or both sides，it will spend much more time to get what they want -money:almost free for users ,more expensive for advertiser
Development process
year inmail ;
Yahoo ;The stock
exchange
2005
Google set up r&d center in china
2006
Google purchase
the YouTube
2007
Android
-switching cost : the switching cost seems to be nothing and may be lowest for online service.
How the share of search business will be
➢It can not meet all demands of the business
year in here
1995 1996 1997 1998
Larry and Sergey meet at
Stanford.
A search engine called BackRub.
The
Google
search company
engine was set
needs a
up
new name.
Market niche and Duopoly will coexist in the future market
➢Duopoly market
-cost advantages
-products advantages -Technology Mature & Quik Update
➢Market niche
How the share of search business will be
As the two pictures show below,the search business is to become more concentrated .
How the share of search business will be
Catalog
Development Process Key Factors of Google’s Success How the Share of Search Business Will Be Where Should Google Do Return to China
Development process
2008
Google Earth .
2010
Google Instant; Google
withdraw from the Chinese market
The content in here
Key Factors of Google’s Success
Business model
Bettering Overture’ s policy
Insert text here
➢ Network effects are positive and strong
-for companies: the value of the network will increase through attracting more users
-for users: more companies can add values to the network by offering more information.
Technology mattes
Corporate Values
The philosophy
• Improve the business model of Google
“contextual” paid listings
move into new search domains
Key Factors of Google’s Success