Premium Essay

Porter's 5 Point Analysis on Web Search Engines

In:

Submitted By Skag55
Words 1445
Pages 6
Competition from Substitutes: High * Google may have a competitive advantage over the rest of the search engines, however being so easy to select a different search engine and with Microsoft trying to forward its own product through its operating system, might change the figures in the future.
Threat of Entry: Medium-high * New search providers might concentrate on localized search and succeed into getting a niche in that area, however when it comes to global search there is a high entry barrier due to the large scale of information and infrastructure already acquired by the biggest companies.
Rivalry between Established Competitors: Medium * Currently the four biggest search engines are Google, Microsoft’s Bing, Yahoo, and AOL. However, Google has the largest piece of the market and seems to be ahead of the others with Bing being on the rise and the rest three very close to each other. Smaller ones such as Altavista, Lycos and Excite do not seem to pose a direct threat to any of the biggest four.
Bargaining Power of Buyers: Low * Advertisers recognize that the biggest providers together concentrate the largest number of searches, around 95% of the total. Therefore there is no room for negotiating advertisement prices. Also, even if a few users change search engine, it is unlikely to have any effect.
Bargaining power of Suppliers: Low * The essence behind the search engines is their computer infrastructure. The biggest companies have such wealth that they can keep acquiring as much infrastructure as they want.
Sources http://valuationacademy.com/porters-five-forces-in-action-sample-analysis-of-coca-cola/ http://www.smartinsights.com/marketing-planning/marketing-models/use-porters-5-forces/ http://searchengineland.com/market-share-bing-continues-small-gains-yahoo-stabilized-google-flat-162915
Competition from Substitutes: High *

Similar Documents

Premium Essay

Google

...and successful in internet search engine, as well as one of the most popular companies that people are highly desired to be employed. As a global technology leading company, Google is always improving their wed search engine and advertising. This report is aimed to evaluate and analysis how Google address the internal and external environment, by using SWOT analysis and Porters five forces to examination how Google viable and achieve within the environment. Moreover, in this report will be analysing how Google organising its resources and capabilities. Economic During the period of recession, many of companies had a significant impact on consumer demand. However, the company likes Google it seems to be no effect and still managing to make some profit. In fact, according to Schiffman (2008) says that company like Google focus on highly targeted looks particularly well-positioned to the recession. Compare with other businesses in same market, Google’s measurable advertising makes it more resistant during the recession. Grant (2010) add up, in order for Google to minimize the lost advertising revenue, Google should focus their strategy on a “clear recognition” from the recent recession. Political and Legal factors Over the years, Google holds mass amount of data from their internet, as lack of notification to both user and third party website owner, Google has been suspected of concern the copyright policy (BBC, 2006). Likewise, the search terms from Google were been...

Words: 1641 - Pages: 7

Free Essay

Corporate Web Communication - Ryanair.Com

...in International Business, Intake 7 London Corporate Web Communications http://www.ryanair.com Martin Sentis 11 Martin Sentis MIB 7 – Group B Table of content INTRODUCTION ................................................................................................................................. 3 BUSINESS OBJECTIVES AND BUSINESS MODELS ............................................................................... 3 Presence ........................................................................................................................................ 3 Pricing ........................................................................................................................................... 3 Revenue......................................................................................................................................... 3 Exchange type ............................................................................................................................... 4 How does the Internet add value? ................................................................................................ 4 Rappa’s business model ................................................................................................................ 4 AUDIENCE PROFILE ........................................................................................................................... 5 WEB EVALUATION...............................................

Words: 5042 - Pages: 21

Premium Essay

Google Company Analysis Paper

...Google Company Analysis Paper Abstract In this paper, I perform business analysis for Google Inc, the leading internet search engine provider in the world. Google Inc., a technology company, maintains index of Web sites and other online content for users, advertisers, Google network members, and other content providers. Its automated search technology helps users to obtain instant access to relevant information from its online index. The company provides targeted advertising and Internet search solutions, as well as hosted applications (Google profile, 2010). Mission, Goals & Objectives Google, the name of the company, reflects the immense volume of information that exists, and the scope of Google's mission: to organize the world's information and make it universally accessible and useful (Google’s corporation information, 2010). Google’s goals and objectives include the following: The company • Wants to have an improved infrastructure to make their engineers more productive. • Wants to be the best in search in the world. • Wants to push their ad system. • Wants to push their communities and content. • Tries to make sure their tools are running everywhere. • Google is always focusing on innovation (Google’s Internal Company Goals, 2010). Overall, Google wants to make the internet searching experience best for its customers and search results more accurate. Overview of the External...

Words: 3693 - Pages: 15

Premium Essay

Cheat Sheet

...Environment Analysis (Threats: Porter’s 5 forces)“Hard to find elsewhere” * Value PropositionPorter’s 5 Forces * Buyer Power –Do your customers have other firms they can purchase from? | Switching Cost, Loyalty Program * Supplier Power – Do you have choices of suppliers? | Select alternative products or suppliers, Reverse auction * Substitutes – what alternative product/service? | Opportunity Costs, Adding Values * Potential Entrants – How easy to enter? | Entry Barrier * Rivalry – how intense is the competition? | Product differentiation * Business GOAL (Value Proposition determines GOAL) * Maximize benefit for customer (= Value proposition) * Tangible: 만질 수 있는 saving * Intangible: 무형의 saving time * Always Increase Sales, and Reduce Cost * * Strategy (How to work your way to the Goal) * Porter’s Three Generic Strategies: Creating Business focus * Strategies that are commonly used by businesses to achieve and maintain competitive advantage| current Narrow Target Differentiation Focus * Firm facing one of Porter’s Five Forces, reduce the threats in […] by […] which will relate achieve goal * * * Use of FB → not differentiating enough → does not support value proposition (which has a differentiation focus) → not strategic. * * Capabilities (WHAT a company should be ABLE to do to execute its business strategy)Strategic Support Capabilities Advantage CapabilitiesBusiness Necessity Capabilities Essential Capabilities *  ENABLE...

Words: 1345 - Pages: 6

Free Essay

Marketing Exam

...“I wish developing great products was as easy as writing a check. If that was the case, Microsoft would have great products.” Steve Jobs, Cnet News. May 10, 2007 1. Patterns in Microsoft’s response to competitive threats and opportunities Standardization and simplification, complementary products, aggressive market penetration strategies (tenacity, deep investments and bundling), aggressive deal making. If I were to quote Microsoft’s best and most genius strategy that allowed them to gain impressive market share and become virtually impregnable in OS and application software market, it would be standardization (=compatibility) and simplification. They made their products easy to use, switch between and upgrade, which saved their clients a good amount of money in training and re-training employees, equipping new sites, etc. They looked past minor competitive losses in favor of bigger gains that would allow them to ultimately win market share, as in the example when they made their Office package available on Mac OS while Lotus and WordPerfect were hesitant to do so, even though Apple had many products competitive to Microsoft offerings. Another winning strategy was to produce complementary products: OS and applications that were perfectly compatible, as well as making these products available for different PCs and operating systems (=Apple) thus making Microsoft products ubiquitous and omnipresent. Impressive profits and large cash account further allowed Microsoft to...

Words: 5558 - Pages: 23

Free Essay

Fresh Direct Case Study

...ASSIGNMENT: Please read the Fresh Direct (C 19) case analysis carefully and produce a case analysis report following the instructions that are given in the Case Analysis report document in Doc Sharing. COMPANY NAME/WEBSITE/ INDUSTRY Fresh Direct/Freshdirect.com/Food and Grocery BACKGROUND/HISTORY Cofounder and former chief executive officer Joseph Fedele was able to bring a wealth of experience in New York City’s food industry to FreshDirect. FreshDirect offers online grocery shopping and delivery service to more than 300 zip codes in Manhattan, Queens, Brooklyn, Nassau County, Riverdale, Westchester, select areas of Staten Island, New Jersey, and parts of Connecticut. Fresh Direct is a company that allows you to order your food online and get next day delivery, their moto is “Our Food is fresh, our customers are spoiled….. Order on the web today and get next-day delivery of the best food at the best price, exactly the way you want it with 100% satisfaction guaranteed.” The primary business is to allow customers to order their food online and avoid going to a grocery store they can buy anything they want online and you can have it delivered to you house. Key players would be the people who launched the business in 2001 Joseph Fedele and Jason Ackerman. Many companies have fallen online with the grocery service and they boldly stated they were the “greatest way to shop for food” this again was a bold statement in many of these chains have fallen. Company launched in...

Words: 1182 - Pages: 5

Premium Essay

The Brodway Cafe

...“Bringing the Broadway Café into the 21st Century” Date: December 09, 2011 K B Loumon TABLE OF CONTENTS Contents Abstract 3 Part 1: Porter’s Five-Force Analysis 4 Part 2: Developing an E-Business Strategy 5 Part 3: M-Coupon Systems in Mobile Marketing and Wireless 7 Telecommunication Network 7 Part 4: Second Life for Customer Relationship Management 10 Part 5: Outsourcing Systems Development 12 Conclusion 15 References 16 Abstract The Broadway Café opened in 1952 and is conveniently located downtown Silver Spring, Maryland. A hotspot for many years, it never ceased to attract the same clientele. Its menu is diverse and includes specialized coffees, teas, full service bakery, sandwiches, homemade soups and salads. But the business is declining because the Café never upgrade its business practices. Without a website and any computers in the store, ordering, inventory and payroll are done manually. The Cafe is currently very lackluster in its processes and could not stand out in today’s fast growing environment. In order to enhance our business operations, increase revenue and most importantly, keep the Café’s competitive advantage, we will look over the state of the business, define a new business strategy and implement a new IT system. Through Michael Porter’s Five Forces Model, we will analyze the environment of the industry in which the Café operates. We will develop an e-Business strategy that will determine the ideal blueprint for generating...

Words: 4259 - Pages: 18

Premium Essay

Marketing Plan

... Table of Contents Marketing Situation 4 SWOT Analysis 5 Objectives and Issues 6 Marketing Strategy 7 Value Proposition 7 Segmentation 7 Targeting 7 Positioning 8 Actions 9 Website 9 Outbound Media Messaging 9 Social Media Promotion 9 Specific Initiatives 9 Budgets, Assumptions, & Risks 10 Controls 11 Appendices 12 References 14 Introduction The Marketing Plan to launch the new Gerrarrom service to new users, is summarised below for January to June 2014. UK based early adopter academics at three specific universities, fit the high knowledge, heavy digital usage profile most likely to value a cutting edge internet experience given their collaborative digital enterprise, and likelihood to rapidly grow usage. Viral marketing is used to secure digital word-of-mouth recommendations from the targeted influencers by competing for attention, referals, and useage activity. The service is positioned for digitally productive academics needing a superior layer of compartmentalised internet, a less intrusive interface and an evolved content feed that provides the one stop shop for all public and private Social Media (SM) productivity. The plan covers the logical flow of considerations, goals and actions defined by Armstrong and Kotler (2012), for creation, definition and communication of value to the target segment. Marketing Situation Gerraroom will drive adoption via unforeseen modes of web interaction but launches to existing SM users, so...

Words: 3010 - Pages: 13

Premium Essay

Marketing Plan

...Marketing Plan Example http://www.WebSiteMarketingPlan.com Marketing Plan Example Based on methods in the marketing plan and Web promotion guide How Much For Just the Spider? Strategic Website Marketing by Bobette Kyle, ISBN 1-59113-113-8 http://www.HowMuchForSpider.com/TOC.htm Copyright © 2002 - 2005 Bobette Kyle, WebSiteMarketingPlan.com 8050 Watson Road, Suite 315, St. Louis, MO 63119 http://www.websitemarketingplan.com All rights reserved. You may share this document with others as long as you keep the entire document intact. 1 Copyright © 2002 - 2005 Bobette Kyle All rights reserved. Based on methods in How Much For Just the Spider? http://www.HowMuchForSpider.com/TOC.htm Marketing Plan Example http://www.WebSiteMarketingPlan.com This not the kind of sample marketing plan you had in mind? Then take a look at this marketing plan software, with integrated samples to help write your plan: http://www.WebsiteMarketingPlan.com/mplan/software 1 Copyright © 2002 - 2005 Bobette Kyle All rights reserved. Based on methods in How Much For Just the Spider? http://www.HowMuchForSpider.com/TOC.htm Marketing Plan Example http://www.WebSiteMarketingPlan.com A Retail Business Example: Arlington Accessories and More To demonstrate the marketing plan development process detailed in the book, throughout this booklet I develop a sample Web site marketing plan for a fictional retailer. "Arlington Accessories and More" is an independent retail store in Chicago’s Northwest...

Words: 2480 - Pages: 10

Premium Essay

Business

...02 Digital Marketing Strategy What’s inside: An introduction to some key terms and concepts and a guide to understanding strategy. We look at the questions to ask when compiling a digital marketing strategy, and a digital marketing strategy in action. Digital Marketing Strategy › What is marketing? Digital Marketing Strategy › Introduction 2.1 Introduction A strategy indicates the most advantageous direction for an organisation to take over a defined period of time. It also outlines which tactics and means should be used to execute this direction. Originating as a military term, strategy is about using your strengths, as well as the context in which you are operating, to your advantage. In marketing, strategy starts with understanding what the business wants to achieve, or what problem it wants to solve. It then considers the context in which the business and its competitors operates, and outlines key ways in which the business and brand can gain advantage and add value. In this chapter, you will learn: • How to define and distinguish business strategy, marketing strategy and digital strategy • The questions that need to be asked when assembling a digital marketing strategy 2.2 Key terms and concepts Term Definition Application programming interface (API) A particular set of rules and specifications that software programs can abide by when communicating with each other. It serves as an interface between programs and ...

Words: 7307 - Pages: 30

Premium Essay

Maketing Planning of Alipay

...information is applied all over the society, including economy, politics, and daily life. Many companies are going to make the Internet development into their strategic goals. Of course, the common people also get greater convenience from it, such as the apps of Kuaidi and Didi, which are very hot during this time. Not only is booking a taxi easier, it is also cheaper: The two major companies are offering discounts to riders. Taxi drivers also get bonuses for using the apps. Didi was offering 15 RMB per ride in February. On the other hand, it has also led to the big sales of intelligent mobile phone. Of course, when a new thing appears, it will also bring some bad shortages. In this report, as for the two most popular apps, I will make analysis from the market view, use the relevant economic theories, at the same time, for the shortage, and put forward reasonable proposals by the marketing theory. Didi, indicates the beep of a car, is working with Tencent's WeChat, while Kuaidi, meaning to find a taxi swiftly, has joined hands with Alipay as payment methods. WeChat is a mobile comprehensive service platform by Internet giant Tencent offering communication, shopping, payment, and game, etc. Alipay is a mobile payments platform rolled out by e-commerce giant Alibaba. They are now both applying...

Words: 2719 - Pages: 11

Premium Essay

Business Strategy

...Managing Strategy 1 Amazon STRATEGIC ANALYSIS OF AMAZON Submitted for: MBA IN MS (MANAGING STRATEGY) TUTOR: PAUL ANDERSON SUBMITTED BY: C0411672 Managing Strategy 2 Amazon CONTENTS Title..................................................................01 Contents....................................................... 02 Introduction.................................................03 Section 1 Current strategic position......................04 Macro environment.................................... 04 Micro environment......................................07 Strategic Capabilities................................10 Section 2 Current and Future strategy..................13 Bowman’s strategy clock.........................13 Section 3 Implementation issues............................... 16 Cultural web................................................16 Kotters 8 step theory................................18 Conclusion....................................................21 Reference list..............................................22 Appendix..........................................................30 Managing Strategy 3 Amazon INTRODUCTION Amazon is an e-commerce platform based organisation established in 1995 by Jeffrey P. Bezos. Amazon.com is based in Washington, United States. Amazon is recognised as customer centric e-commerce organisation giving wide varieties, low price offers and convenience to its customers by offering services virtually. ...

Words: 5866 - Pages: 24

Premium Essay

Online Shopping vs Retail Shopping

...coming from intl. Labour Costs – need to reduce in order to make retail shopping more competitive. Positive * SOCIAL – Better Security – with entering personal banking information for online payments. Work/Life balance – Convenience and time poor. Positive * TECHNOLOGICAL – More efficient. Very dependent on advancing technology. Cost of production is reduced as the “middle man” ie. Retailer is reduced. Positive * ENVIROMENTAL – Logistically – more trucks on the road to make deliveries. Increased Packaging. Negative * LEGAL – Actually changing the legislation – to allow companies to ship to Australia. Positive More positives than negatives – industry will grow at faster than average rates. PG 2.35 Porter’s 5 Forces 1. Threats of new entrants Industry is attractive. No significant barriers to entry. Products available to customers are not much differentiated. 2. Rivalry among existing firms Strong. Industry is growing and products being sold are not very differentiated. Try to differentiate by shopping miles, “see” the...

Words: 1925 - Pages: 8

Premium Essay

Methodologo of Telecom in Bd

...Methodology The project is based on both primary and secondary information retrieved in connection with the theoretical framework. A qualitative approach of research and analysis has been considered to reach the desirable result. Methodology This part will describe the approach to the project. The ambition is to describe the process of the gathering and compiling information for the project work as clearly as possible, in order to enable a critical review of the credibility of the final results. The choice of methodological approach depends upon the nature of the investigation to be carried out, its purpose and problem statement. For this project, the main approach was mainly determined by the guidelines for the task. The problem statement and purpose that was composed for the project in the beginning has guided the work from collection of information to analysis of findings in relation to theory. 2.1 Literature review Telecom industry is one of the fastest growing industries in the world. People are now a day’s considering to have frequent communication among them. So in course of time and with the growth rate of population and also appeal for high standard living, telecom industry is growing in a high pace. This fastest growing industry has already attracted many marketing geniuses, researchers, research companies to explore the opportunities. Researchers are trying to investigate different markets and potentials of those markets. Marketing geniuses...

Words: 3703 - Pages: 15

Premium Essay

Strategies to Achieve Market Leadership: the Example of Amazon

... I Table of Abbreviations.................................................................................... II Table of Figures............................................................................................. III Table of Tables..............................................................................................IV 1 Introduction.................................................................................................. 1 2 Market Leadership as a Strategic Goal in Electronic Commerce ................ 1 2.1 Value Chains and Actors in EC............................................................. 1 2.2 Principles for Success in Electronic Commerce.................................... 3 2.3 Porter’s Branch Structure Analysis applied to EC Markets ................... 4 2.4 Context Factors and Value Creation Potentials in EC Markets ............. 8 2.5 First Mover Advantage and the Role of the Pioneer ............................. 9 3 Amazon.com – The Road to Market Leadership ....................................... 10 3.1 Company Portrait ................................................................................ 10 3.2 Redefining Book Retailing: Amazon vs. Barnes & Noble .................... 11 3.3 Realizing the...

Words: 13437 - Pages: 54