...The Great Moderation—Dead or Alive? Yolanda Rivera MBA6008 Global Economic Environment Abstract The purpose of this paper is to analyze and critique the Harvard Business Review article, “The Great Moderation” written by Diego Comin. I will discuss its causes and effects as well as the end of an economic cycle. Additionally, the information gathered can be used to better understand how and why “The Great Moderation” is no longer a valid method of the business cycle. According to Diego Comin, (2012), the Great Moderation can be defined as “a decline in aggregate volatility”. If a business cycle or quickly engineered spending policies are implemented revolving around political motives we can realize an increase in the margin of error (Hammond, J.D., 2011). The volatility of today’s global markets is growing at an alarming rate, even more so than during the great depression suffered by America in early 1930s. Beginning in 2007, the United States began seeing the effects of the end of a business cycle or “The Great Moderation coming to a close. For years, we have seen prominent growth cycles with limited down turns which reached a climax into a very strong world market. Todd Clark, (2011) explains that, “most recently, the severity of the recession that started in late 2007 has led some observers to conclude the Great Moderation is over.” There were many contributing factors revolving around the 2007 recession in America. For example, the growth of the housing bubble; the...
Words: 1461 - Pages: 6
...Environmental Scan Paper MGT/498 July 22, 2015 Environmental Scan Paper The evaluating, monitoring, and disseminating of information from internal and external environments to key people within the corporation is called environmental scanning. (Wheelen and Hunger. 2010) Environmental scanning helps an organization identify relevant factors and use those factors to obtain a competitive advantage within the environment. The author will discuss how an organization creates value and sustains a competitive advantage through strategies. How an organization measures success to identify the effectiveness of a strategy. The author will identify the strategies of various companies and identify tactics that make the company successful. Competitive Advantage An organization that has a strategic advantage over its competitors that enables the organization to have greater sales and retain more customers is believed to have a competitive advantage. Many organizations have a competitive advantage within technological industries to include: Google, Apple, and Amazon. Each organization creates value in its products and services to stay ahead of the competition. Google is considered the industry leader when it comes to search and has 65% of the search market, according to Hit Wise. The company maintains its competitive advantage by developing a diversified infrastructure that gives them the ability to provide high-speed searches and branch out into other industries. Goggles infrastructure...
Words: 1539 - Pages: 7
...Current Market Conditions Competitive Analysis ECO/365 Professor Alan Beideck Gregg Mooney, Doris Barlow, Dianne Gaynor, Cherry Hla-Htay November 29, 2015 Current Market Conditions Competitive Analysis Technology has been a big part of today society. Most technologies have been implemented into everyday life. There are different factors, which impact the demand within the market. The constant changes are reflected on the amount of consumer, the number of supply and demand for the product. There is also a focus on the price elasticity and also the constant development of the product based on the demands of the consumers. With the higher end technology always in production and the constant completion arising consumer has expectation for the products. One of the expectations is that there will be declines in prices as the new technology develops. This is a constant struggle for companies such as Google, Apple etc. With constant competitors knocking at the doorstep, it becomes more challenging for Google. Even as the time change, Google has been constantly shifting to other areas of the market and dominating the expectation of its consumers. Google has been widely known for the search engine and as the technology advance; Google has expanded its market to providing Android software to products such as smart phones and tablets. Google started its journey in within late 1995 and had the domain resisted by September 1997...
Words: 915 - Pages: 4
...The aim of this paper is the analysis the strategic and operational plans of our Fortune 500 companies Google Inc. Based on the SWOT analysis we can achieve business goals ones who can affect the internal or external stakeholders. Strategic Plan The strategic plan focuses on those goals that affect the entire organization as we mentioned already. It can related to external stakeholders who in an SWOT analysis are opportunities and threats. Based on the strategic company plan for Google Inc. one goal is to succeed on and off the web. Succeed on and off the web Google is not limited to be the best web search in the planet. They are expanded his territories in different fields. They found an opportunity in growing number of mobile internet users. They partner with HTC to create a mobile phone that can compete with Apple Inc and Samsung Inc. They enter the tablet market with his Nexus tablet. These markets can help in getting more global revenues and achieved strategic plan goal as they reach other markets. These opportunities bring Google Inc a wide range area. These goals had a positive direct impact on the external stakeholders like customers and supplier because the demand rises as well as offers rises. The customer will have the chances of getting the Google product in different markets. Threats Google competition with other companies in the industry is getting more heated. Apple has been showing anti-google behavior by removing YouTube and Google Maps as standards...
Words: 758 - Pages: 4
...management with Microsoft’s, launched Bing. Additionally, I have been asked to analyze Google and Microsoft’s annual reports and financial statement at their websites. 1. Calculate or identify from each company’s most recent annual report the six (6) specific financial ratios listed and provide as an appendix to the paper. • Liquidity measurement ratio: • Current ratio Profitability indicator ratios: • Return on assets Return on equity Debt ratio: • Debt ratio Operating performance ratio: • Fixed asset turnover ratio Cash flow indicator ratio: • Dividend payout ratio Investment valuation ratio: • Price / Earnings ratio 2. Compare and contrast each company’s business model: (1) core business, (2) leading products and/or services, (3) management/leadership style, and (4) innovation track record. 3. Use the financial ratio analysis and explain which company is better able to withstand a major recession. 4. Explain what the profitability ratios can tell about Google and Microsoft’s performance and how that information would influence investing decisions. 5. Identify and explain three (3) primary financial-based guidelines that should be used when selecting which of these two companies to invest in. Analysis 1. Calculate or identify from each company’s most recent annual report the six (6) specific financial ratios listed and provide as an appendix to the paper. In this scenario, I am going to address the above mentioned topic, regarding financial...
Words: 1573 - Pages: 7
...is the way that a company separates itself from their competitors company culture not be made up or faked. . (Schawbel, 2013) In this paper I am going to investigate the corporate culture if Google Incorporated. Google was founded in 1998 by Larry Page and Sergey Brin who met while attending Stanford University in 1995. What is Google’s organizational culture? Google’s culture is represented in several ways which include their managerial structure, the way that the treatment of employees. The culture that Google has developed is one of openness and being a company of progression, which making the employees the center of this progression. . (Schawbel, 2013) The organizational culture at Google can be described to be Google’s main focus is to continue to make progress through employee comfort and satisfaction. Google is a company when the founders still do the work that the lower level employees do. With the company having a flat organizational structure which gives the lower level employee’s the opportunity to make decisions about the direction of the company. (Google Company Website) Google has embodied this culture because they wanted to have their focus be on their employee’s. Google knew that they wanted to be different with their approach in everything that they did. With that they surrounded themselves with the best and the brightest within the field. Within an organization like Google, they require a leader that has a lot of inspiration. Google has an organizational...
Words: 540 - Pages: 3
...performance through looking at Google Inc. David Towers Supervised by Suzana Rodrigues Word count: 7359 Extended Essay 2005-2006 (07 14747 & 07 14748) 0 of 31 Abstract This article examines the relationship that exists between organisational culture and performance, and how these factors influence employee motivation. The issues are discussed at length, firstly through a review of the current literature relating to the topic, and secondly by means of investigating the organisational culture of Google. Through examining the work of Denison (1990) and Truskie (1999) it is shown that some authors believe certain cultural aspects are important for organisational cultures to be successful. The frameworks of Martin (1992) and Goffee and Jones (1996) show that strong cultures exist where employees’ values are aligned to the values of the organisation. Though looking at the empirical evidence of Kotter and Heskett (1992), it is shown that there is indeed a link between strong organisational cultures and performance, but only strategically appropriate cultures are successful. Finally, it is suggested that there has been a trivialisation of organisational culture, (Alvesson, 2002) and culture is a facet of an organisation not an object of an organisation. Consequently, the manifestations of Google’s culture is analysed by evaluating the artefacts at Google (Gagliardi, 1992). Through looking at the various aspects of Google, it is shown that Google has an integrated culture (Martin...
Words: 8730 - Pages: 35
...Macroeconomics Environmental Analysis Macroeconomic Environmental Analysis Google Inc. is the largest and best search engine. Google operates in the Internet industry. “The company primarily focuses on the areas, which include search, advertising, operating systems and platforms and enterprise” (Market Watch, 2011, para.1). Larry Page (CEO) oversees Google Inc. a public operating company. Keyword based advertising is how the business creates the majority of the company’s profits. “Google’s mission is to organize the world‘s information and make it universally accessible and useful” (Google, 2011, para. 1). In this paper, Google’s external environment will be discussed, which includes the industry environment and the operating environment. Industry Analysis The buyer’s hold a great deal of power in the Internet industry. Internet users without any high costs can use search engines. Google is replicable search engine used by the users of Internet industry because the organization is one of the best. Staying power is established by any business that has built a strong reputation. “The framework captures the complexity of power and proves useful for tracing changes in power status over time between value chain members in industrial relationships” (Akpinar & Zettinig, 2008, para. 2). Individuals who can develop new online services, website concepts, and technologies are considered the suppliers of the industry. Internet businesses have...
Words: 1066 - Pages: 5
...FINANCIAL MANAGEMENT PAPER Name: Class Time: 3:20PM. Case Study: Google Company Name: Google Inc. Traded As: NASDAQ:GOOG; NASDAQ: GOOGL Industry: Internet, Computer Software, Telecom Equipment Founded on: September 4, 1998 Founders: Larry Page, Sergey Brin Headquarters: Mountain View, California, USA Area Served: Worlwide Revenue: $59.825 billion (2013) Net Income: $12.92billion (2013) Employees: 40, 829 Of the thousands of stocks one can invest in, there is only a handful that you can rely on. Google is one of those companies. Introduction Google is an American Multinational Corporation founded by Larry Page and Sergey Brin. Google has a wide range of products and services including search engines, software, advertising and cloud computing. The company gets most of its profits from a service called ‘ADWords’ which is an online advertising service that places ads on search queries. Google’s total advertising revenues amount upto $42.5 billion which is a significant chunk of the total revenues. Google was initially set up as a private company in in September 1998 and later it went public in August 2004. Even though the company went public and the founder’s only own 14% of the company now however they still control 56% of the stockholder voting power through super voting stocks. Google has grown rapidly since it has been incorporated. Google initially just offered its flagship search engine however a series of mergers and acquisitions...
Words: 1145 - Pages: 5
...Milton Jones Research Proposal Paper STR/581 Strategic Planning and Implementation June 21, 2011 Professor: Joseph Fillar Proposal I intend to validate Google’s vision, mission and values statement by expressing the important message indicated in the mission for the company’s success. Google is a company that continue to grow and development thru the innovative process of change. The company has developed a mission statement designed to motive and encourage future success and longevity. Google’s mission is “to organize the world’s information and make it universally accessible and useful” (Google.com, 2011). The mission statement is positive, motivational and long-term which definitely gives the company a future to strive towards. The mission statement helps develop the company as a resource that would be used by anyone who was doing research or just asking a question in general. The mission statement allows Google to use any means possible to organize information. This means the company is not limited to a certain amount of searches or internet usage. The company goal is to “to organize the world’s information” and become “universally accessible” (Google Website, 2011). This goal gives the mission statement direction and flexibility as it does not specify the means, leaving penalty room to speculate how much the company will produce. However, the worlds information could never be made searchable or categorized because some data is private and other...
Words: 618 - Pages: 3
...Executive Summary In a span of sixteen years Google has become a part of our life. With the vision and management style of its founders Larry page and Sergey Brin, the company has ventured into new avenues and has grown exponentially but the path ahead is challenging. Through a strategic analysis of Google Inc. the paper tries to provide an insight into the company’s core businesses, threats it faces, profitability and the path ahead for Google. Using classroom teachings and frameworks like PEST analysis, the Five force model of competitive forces, core competencies, competitive advantage, and strategy management we better understand the nature and strength of competitive pressures within the internet and technology industry. Google must continuously innovate and remain a differentiator among competitors to maintain the growth trend and retain market share. With the evolution of “search” an individual’s/company’s ability to leverage its capabilities on the internet has been the driving force from the beginning. Google is the leading search firm with nearly ‘67% market share in USA and more than 90% market share in most of the Asian and European countries. For Google to continue its success and remain profitable it has to focus on the key businesses that are still driving hard revenues and to reach into those verticals that are in the company’s best interest, while leaving the losers behind. In the year of 2009 Google captured 67.7% of search in the U.S., with 32.3%...
Words: 292 - Pages: 2
...1.1(b) Finances ……………………………………………………………..2 1.1(c) Organizational Structure …………………………………………...2 2.0 SWOT analysis ……………………………………………….…………….3 3.0 External Analysis (General Environment) 4 3.1 Demographic Trends 4 3.2 Economic Conditions 4 3.3 Political/Legal Forces 4 3.4 Socio-cultural Conditions 5 3.5 Technological Changes 5 4.0 External Analysis (Competitive Environment) 6 4.1 Intensity of Rivalry among Competitors 6 4.2 The Threat of New Entrants 6 4.3 The Threat of Substitutes 6 4.4 Suppliers 7 4.5 Customers 7 5.0 Internal Environment Analysis ………………………………………………8 5.1 Resource Types ……………………………………………………………8 5.2 Firms Capabilities …………………………………………………………8 6.0 Conclusion …………………………………………………………………...9 7.0 Recommendations for Future Action ………………………………………..9 Reference…………………………………………………………………….....10 I. Introduction In 1998, Google Company was established and, over such a short period of time, become an American international corporation specifying in Internet-related services and products. The two first founders of google were Larry Page and Sergey Brin who met each other at Stanford University in 1995. 1.1 Services and Products Google focuses on web advertising technology, search engine, software and other products like Android phone and tablet. 1.1 Finances Most of the company’s profits derive from AdWords, which is Google main advertising product and main source of revenue. Google's total advertising revenues were USD$42.5 billion...
Words: 2318 - Pages: 10
...Introduction………………………………………………………………………..…………4 3.0 Company profile……………………………………………………………………..……….4 3.1 Google………………………………………………………………………..……….4 3.2 Market performance…………………………………………………………..………4 3.3 Yahoo…………………………………………………………………………………5 3.4 Market performance………………………………………………………………..…5 4.0 Financial ratios………………………………………………………………………………..6 5.0 Interpretation of ratios…………………………………………………………………….….7 5.1 Profitability ratio………………………………………………………………...……7 5.1.1 Return on asset…………………………………………………………...…7 5.1.2 Return on equity…………………………………………………………....7 5.2 Efficiency ratio…………………………………………………………………….....8 5.2.1 Gross profit margin………………………………………………………….8 5.2.2 Net profit margin…………………………………………………………….8 5.3 Liquidity ratio…………………………………………………………………………9 5.3.1 Current ratio…………………………………………………………………9 5.3.2 Quick ratio…………………………………………………………………10 5.4 Leverage ratio………………………………………………………………………..10 5.4.1 Debt to equity ratio………………………………………………………...10 5.4.2 Debt ratio………………………………………………………………..…11 5.5 Investment ratio……………………………………………………………………...11 5.5.1 Price/earnings ratio………………………………………………………...11 5.5.2 Price/book value ratio……………………………………………………...12 6.0 Cash flow statement analysis………………………………………………………………...13 6.1 Cash flow data for both companies………………………………………………….13 ...
Words: 4059 - Pages: 17
...DO YOU GOOGLE OR NAH? Nicole Edison American InterContinental University Abstract This paper will intend to provide an in depth look at Google as a company and not just a search engine. This paper will deliver qualitative data from research prepared and analyzed. Introduction In the twenty first century the face or in this case the faces of fortune five hundred companies are becoming younger and younger better known as generation ‘X”. From Facebooks owner Mark Zuckerberg to the two fledgling faces of Google Larry Page and Sergey Brin, what use to look like a three piece suit and loafers now look like khakis, a polo style shirt and Sperry’s. The world is changing and so is the way we bank, date, shop and for the most part find answers to anything we need to know. From BackRub’s To Google Google has become a household name so much so that in two-thousand six, Oxford English Dictionary added the word “Google” as a verb and has become a chosen way of researching almost anything for some as results will show later on in this paper. In nineteen ninety-six two Stanford University college students formed a company called BackRub which was created to find the significance of certain webpages. This search engine was made available to the student body of Stanford University only; and within four months the search engine was receiving over ten thousand searches daily which was a clear indication that there was a great need for a service of this kind and...
Words: 1178 - Pages: 5
...Google Inc. Company Analysis Paper FINA 3301 Wenxin Nie Introduction of Google Inc. Google Inc. is an American multinational corporation and specializing in internet-related services and products. It is in the leading status in the industry and covers almost 70% of market share compared to other searching engine. Google’s major competitors in the industry of Internet information providers are Yahoo and Facebook; as well as two Chinese corporation Baidu.com and Tencent.. In this case, I would discuss the competitors of Yahoo and Facebook in the following ratio analysis. Google Inc. is well known as an internet base searching engine, it also provides an integrated package of content and services, such as news, e-mails, instant messaging, maps, calendars, music downloads, video streaming and more, all in one place in Google. For the type of Google corporation, it generate revenue primarily by attracting very large audiences, charging advertisers for advertising placement, collecting referral fees for steering customers to other sites, and charging for premium service. The online advertising service has evolved into a primary source of revenue of Google. Furthermore, on August 15, 2011, Google announced an agreement to acquire Motorola Mobility, which is a leading company in the industry on mobile innovation and development. The acquisition of Motorola Mobility enables Google into a higher level of technology innovation development as well as generates more revenue and...
Words: 1195 - Pages: 5
