Wednesday, May 6, 2020

The Value Chain Analysis

Question: Report on"The Value Chain Analysis". Answer: The Value Chain Analysis: This report studies the value chain of the search technologies are utilize to navigate the Internet and focuses on the other factors related to Internet Technologies. According to Millward Brown Optimizers Brands, Google ranks on the top 10 most powerful band in the contemporary world ("Company Google", 2016). Value chain analysis is a systematic framework that critically analyses and assesses the business processes and activities that can produce value and competitive advantage to the business. Figure: The Value Chain of an organization Google Inc. value chain differs from value chain analysis of traditional business organizations where resources processed into products for trading with a consumer, achieving value in each pace of the process. As Google related to service industry especially online internet services, its value chain analysis is critical. The goal of the organization is to collect organize, manage, and share it on the internet with the users for personal, professional as well as for scholarly purposes. Google gathers all the information of the internet users as available (the resource) by fascinating and inviting them to utilize the available search product with highly significant results delivered swiftly. By this strategic process, Google ensures that more potential buyers are directed through Google to the partners sites. Figure: Describing the Value Chain of Google Inc Google's principal activities in its value chain management are primarily responsible for the support processes of human resources and administration. Google is one of those elite business organizations who give impotence on research and development (R D) and hire the best talent to excel in RD. By globalizing the organizational process, Google is also taking advantage of the human resource diversity to bring effective development and growth in business processes (Osterwalder Pigneur, 2013).. For instance, Google is outsourcing some of the copywriting to India-based organizations effectively using cost-cutting strategy. Google Inc. headquarter in Mountain View, California, United States. It has more than 70 operational offices throughout 40 nations across the globe. Google has internal servers and software for its administrative purposes like operations, allocation, sales, and services. Each of the processes adds value to the process of the firm activities thus increasing revenue profits. The revenue profit of the organization is maximized by the organizations culture and social consciousness and competencies to modify products according to individual and regional demand and necessity (Rothaermel, 2015).. The organization hassustainable competitive advantages as the considerable scores organized in actions of value, uniqueness, and substitutability. Google forums have an influential part regarding assisting clients to deal with technical and other issues ("Company Google," 2016). Thus, Google's success relies on how it treats its internet users how contributes towards the stake of the organization. The founders had a vision, and they are more or less successful in achieving it. Swot Analysis: STRENGTH Strong Brand Unique search engine technology Presence throughout globe Strong RD WEAKNESS Dependent on advertisement for revenue generation Lack of product integration Significant investment in RD Week social media presence OPPORTUNITY Growth of internet usage Increase in online promotions Updated its product line New ventures in Mobile market THREATS Local Competitors Investment in unnecessary product and services Absence in Social Media Lack of long term solution for revenue generation Strength: Google is the most trusted brand and is regarded as the top 10 influential brands. Google has the most effective and informative search engine technology in the internet world today. The organization has more than 70 operational offices throughout the globe. Because of the sustainable revenue profit, Google has the huge source for RD. Weakness: The revenue generation of the organization is solely dependent on the advertisements. There is a lack of product integration as compared to its competitors. The organization invests too much in RD departments and initiatives. Google has comparative week social media presence after the end of Orkut. Opportunities: The consecutive increase in growth of internet usage will give Google the advantage to remain the used search engines. With the increase in internet usage, small as well as large corporate are concentrating on online promotions increasing Google as the most common platform to promote business sites. Google has subsequently updated its product line with new products and services, thus keeping one-step ahead in the market. Google has recently entered into the mobile market and is quite successful until time. Threats: With the increasing use of internet and popularity of online promotions, small enterprises are coming up with comparatively cheap packages and localized promotions. Google has wasted a constant amount of revenue and resources that have failed and is of no use to the organizational process. Due to the low presence in social media, Google lacks in popularity in comparison to its competitors like Facebook, Twitter, etc. Google's revenue collection largely depends on online promotions; the management should find a solution for alternate revenue generating processes. Reference: Osterwalder, A., Pigneur, Y. (2013).Business model generation: a handbook for visionaries, game changers, and challengers. John Wiley Sons. Lv, X., Zhao, S. (2013). Research on Profit Distribution of Software Outsourcing Alliances Based on the Improved Shapley Value Model.Cybernetics and Information Technologies,13(Special Issue), 100-109. Albors-Garrigos, J., de Miguel Molina, B., de Miguel Molina, M. (2014). Positioning in the Global Value Chain as a Sustainable Strategy: A Case Study in a Mature Industry.Administrative Sciences,4(2), 155-172. Rothaermel, F. T. (2015).Strategic management. McGraw-Hill.

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