Refers Google, everyone must familiar with, because in the last decades, it influenced or changed people life and created a miracle in media industry. “ Do you Google today?” I promise most of you will say yes. Google, already become a verb rather than a noun; Google already become a necessity in people’s life. It was estimated, when American men meeting troubles, more than 60 percent of them would like to choose Google for help, and Google will give answerers within three seconds. In
Summary of < GOOGLED-The End of the World as We Know It>
Page and Brin are the founders of Google, who are all graduated from Stanford University, and are all computer experts. So the when they meet together; they began to discuss the entire network and want to find an effective way for search on the computer. After the search engine created in 1998, they received four different investors’ sponsor check for 25 million dollars. However, Page and Brin worked in a very bad environment at that time, which located in their friends’ garage and two spare rooms. Based on this working atmosphere, Google search engine already amounted to 10, 000 times a day in 1998, although Google was still on the experimental stage.
Google has developed rapidly. In the early 1999, the number of users for Google’s search engine has reached half a million a day. As a result, Page and Brin need more computing experts for help. They moved to a 5, 000 square feet of the office, in order to put more desks. However at the end of 2000, investors began to complain about Page and Brin and the hired CEO. No doubt that the investors’ purpose is to earn money, rather than engineers’ thinking—created Google to change the world. There is no CEO and no professional managers in Google in 1999, because Page and Brin had no plans to make money by Google.
In the period of 2001 and 2002, Google was becoming the largest search engine in all over the world, but still not earn much money. Investors keep encouraging Page and Brin hiring a CEO to run the company. Finally, Page and Brin find their partner Eric Schmidt, and announced their current slogan “ Do not be evil.” Under the leadership of Eric Schmidt, Google started its own unique way to advertise. They refused advertising interrupt the entire page of Google. As a result, Page and Brin’s strategy is to use the AdWords program through the sale. Via Adwords program, some ads can appear on the right of Google page, which the contents associated with the users search key words. Moreover, Google utilized a very reasonable charge system to advertisers, which based on the number of clicks by viewers. After Adword, Google has created AdSense that used primarily for e-mail in Gmail, which can send the word and advertisers select the keywords match, thereby allowing a small amount of text ads appear immediately. In 2001, Google earned $ 7, 000, 000 because of these two unique forms of advertising. The Google’s unique advertising system need more exploration, I will talk about in the last part.
According to the statistics, in May 2002, Google searches has reached 1. 5 billion views a day, but Google team of still trying to do more and earn more. Thus, AOL and Google signed a deal– provide AOL for searching, the client paid advertising for every $ 1, 85 cents go AOL, and guarantee the minimum payment is $ 150, 000, 000 per year in advertising revenue. Virtually, for Google and AOL, this cooperation brings a huge income for each company. With the increase income, Google began to expand their services and features. But Google’s expanding plan seems not easy. Firstly, Google launched Gmail, which owns huge storage; users can never delete e-mail. But recently, a lot of Gmail users are starting to fear their privacy. After the Gmail, Page created a book scanner, which can print each book by digitization program. However, Page and Brin met litigation for copyright issues. Moreover, when Google launched Google News, many of the traditional newspaper companies complain Google steal their content. However, Google is still in rapid developing; and its status in media industry is more and more stable and reliable.
In order to continue growth, Google needs more investment capital, so Google team decided listed. Google’s founders rejected the conventional way of preparing for listing, Google team set up their own solutions, which including founders set their own prices, and allows anyone to bid a minimum of 5 shares online. They only pay 3% to the Wall Street underwriters, rather than the usual 7%. Google term will achieve two-stage stock; and the company’s core values will be maintained. When they finally released their financial statements, everyone is surprised that the used small company has made millions benefit, and still increase at an alarming rate.
In the new evil empire, Google is facing new challenges. Google’s digitization books are still a controversial topic, so Google cannot provide a lot of free books. However, they are allowed to display “ fragment” according to copyright law. In addition, with Google’s more and more powerful status, many traditional media have been threatened, particularly in advertising revenue aspect, which Google’s advertising revenues are soaring, while the traditional media’s advertising revenue has been decreased. Therefore, Google became an unpopular company in the business world, as the thing happened in China. The Chinese government wants to control citizens’ search contents. So Google’s executives had to reject some search, and need make a choice between Chinese citizens and Chinese government. But finally, Google exited to Chinese market.
In 2006, Google spend 1. 65 billion acquire YouTube. Through the acquisition of YouTube, Google wants to apply effective sales of advertising on YouTube. It will be like the U. S. CBS network in 1927. However, copyright issues have been around Google. Viacom requires YouTube remove more than 100, 000 copyrighted clips. Google said YouTube would remove any clips which required by Viacom. On the other hand, Google has started to worry about Facebook will be the next competitor. Therefore, Google cost 3. 1 billion acquired DoubleClick, which ensure its market share and position in media industy. DoubleClick is an advertising platform that can provide a lot of advertising and tap potential customers. But with the collaboration of DoubleClick, Google striped privacy issue again, because in order to make a personalized data search, consumers need provide more detail personal information. Google and DoubleClick need collected as much as consumers’ data– The more information you provided, the better the answer you will find. So this issue should see how people make their choices.
In 2007, Google spent more energy in the YouTube, in order to get more profit. In addition Google ready to develop new mobile phone operating system software, called Android, which objective is to improve all mobile phone’s searching functions.
With the decline of traditional media, Google is facing many new opportunities and challenges. In September 2008, Google celebrated its 10th birthday. In the last decade, Google has grown from just a search engine service extended to other service areas, such as offering Gmail, Google Earth, Google Maps, Google Scholar, Google Finance, Google Product Search, Google Calendar, Google Desktop, Google Docs and other services. Furthermore, Google set up its own Web browser to host these above applications, which is Chrome browser, designed to provide people with more convenient and smoother online experiences. Google’s next big thing is the Android operating system project, through the phone company to give people a new platform for other services, will provide people a more convenient using experience with mobile phones and making interactions with Google.
Google has a bright future. It is difficult to say what Google already created and what Google will innovate. But one thing can be sure of Google created valuable and meaningful resources until now. Moreover, Google will not easily be attacked because Google is free for anything, expect advertising. Consequently, I expect Google can contribute more to the media industry and make more meaningful things to people.
What I learned from < GOOGLED-The End of the World as We Know It>
3. 1 Technology Part—Advertising System
In order to satisfy with various advertisers, Google create a unique and innovative advertising system, which worth people to learn. Google divided advertising system into two parts, including Adword and Adsense. As mentioned before, Google AdWords is the best ads persuader for potential customers, which provide cost-effective advertising. With strong technical background and Google, AdWords has many advantages compare with similar products, such as more accurate aims to consumers, easier to operation, and reasonable payment for advertisers. Moreover, Google adsense allow a certain amount of scale to access the website publishers to display their site with Google ads relevant to site content and traffic into revenue. For the pervious advertisement, the strategies are bombing different pages and high-frequency to grab consumers’ eye sight, regardless of the users of the ad content is not interested in. The AdSense by analyzing the web content, which provide some relevant text ads, which make ads to useful information, satisfy both consumers and advertisers needs.
Google AdWords-AdSense Block Diagram:
3. 2 Management Part
3. 2. 1 Keep an Innovative Mind
Google started with a search engine, but nowadays Google already expand their services to other new fields, such as finance, geography and electronics. The cell phone system “ Android” is a good example. Android is the open source Linux-based mobile system platform by the operating system, middleware, and user interface and application software. In early 2011, Android becomes the world’s most popular Smart phone platform. Virtually, Google cannot got such success just based and relied on one search engine, all the sub-systems, which based on search engine give Google a large number of supports. So as a manager, he/she could not satisfy with the current status and benefits, he/she must keep innovation in mind. Make a sustainable strategic management and maintain innovation, the product will create more core competences, and will not afraid of competitions in the media field.
3. 2. 2 Google’s Culture
Differ from the garage working space; Google has a unique working atmosphere nowadays. Someone says Google’s working environment making people lazy, because there are some many soft sofas and entertainment facilities such pool tables and TVs fill with the whole office. Moreover, funny animations and pictures cover the office’s wall. It is like an entertainment space rather than an office. A lot of people concern about can people work hard and make their all efforts on work? Look at the rapid development of Google; I believe the advantages are greater than disadvantages. As a result, as a manager, he/she much take release working environment into account, because it can help employees relax their minds. In addition, Google also allows engineers utilize 20% of the working time for their favorite projects, which encourage employees to develop new products. Thanks to this 20% free working time, Google Map successfully got launched and android system got so many consumers supports. Furthermore, over the past decade, Google’s payment rate in Silicon Valley can created a miracle, because Google spend a huge of money on employee. For the staff, Google has a more comprehensive welfare system, including free meals, free medical care, laundry services, tourism, and skiing. What is more, Google also provide subsidies to individual training for staff. As a result, for a manager, kindly treat to your employees is equal to treat your company’s future. Give employees more free spaces; they may create a surprise to you.
In a word, based on Google’s current advertising system and kindly employee management, Google’s future will be brighter and brighter.
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