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Google Case Analysis

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Submitted By miguelsantana
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1. Using competitor intelligence from the case material, assess the levels of market commonality and resource similarity that Google has with three key industry competitors. How will they influence competitive behavior and the intensity of rivalry?

Market Commonality refers to the number of different markets two or more direct competitors are involved in. For instance Sony and Samsung are direct competitors and are involved in number of different markets which includes Smartphones, Televisions, and Hi Fi Systems and so on. Market commonality also pertains to the degree of importance each competitors give to their each market. For instance, Sony and Samsung may give more importance to their Television line of products because it either maybe their most popular products of all or it may be due to their anticipated future market of that product. Multimarket competitors are less likely to attack each other aggressively, but will respond aggressively when they’re being attacked. For instance Airlines industry is a multi-market industry wherein the prices are similar, but if the competitors comes up with a promotion, others would swiftly respond.
Resource similarity on the other hand, refers to how the each of the firms’ resources both tangible and intangible can be compared. For instance, Sony and Samsung both are market leaders in LCD and LED manufacturing. Both have exceptional intangible resources in terms of designing products and their level of knowhow and technological expertise are strikingly similar. Since, Samsung and Sony have similar type of tangible and intangible resources, they would tend to have similar weaknesses, strengths and strategies.

Now given the case study, Google has three direct competitors Yahoo Inc., Microsoft Corp and Apple Inc.

Google is involved in different markets, different geographic locations and with different products...

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