Monday, October 15, 2007
Google Question #1 - Sean Doherty
The value that google creates for its customers is faster and more accurate search results through their search engine. The value that google creates for its advertisers is more hits on their website that was brought up through googles search engine. These values translate into high revenues and profits by google selling advertisers words that people search for and ditinguishing between websites that are independent and website that are sponsered. Google uses a bidding process knock as a Vickery second price auction which determines the price to charge advertisers for words that people would search for.
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Google Question #2- Evan Gaffny
Google's sources for competitive advantage were having met former students from Stanford such as David Filo a founder of Yahoo! and also Andy Bechtolsheim a founder of Sun Microsystems. This helped Google to gain competitive advantage because they were egged on by these men to create Google and once Google was created and running they had their foot in the door for their search engine to be used on Yahoo.com. Google's advantages are not too secret to stop imitation from other websites. In order for Google to remain on top they need to create customer loyalty and also need to keep innovating so that the competitors can not keep with their technology.
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