Google in China
Introduction
Since the statement made by Google, on January 12th, regarding the cyber-attacks it has been no secret that world’s major search engine has faced its fair share of setbacks in China. In 2006 Google launched the Chinese search engine Google.cn in hopes of un-tapping the 105 million growing Chinese internet users that existed at the end of 2005. However, as the Chinese government’s censorship of and policies to the Internet have vastly affected the fundamental principles on which Google’s business has been built. These principles, which guide Google’s actions, have become a basis for how the company has conducted business over the course of its existence. By continually limiting free speech on the internet the Chinese government has challenged Google’s core principles, which in turn challenges the World’s largest search engines integrity as well. Without being able to meet its core principles, Google must reevaluate its approach global approach by first reevaluating the state of the Chinese market.
Situation Analysis
By assessing the current situation with a SWOT analysis we will be able to address Google’s standing conditions that will affect its imminent decisions. Starting with its strengths, Google is one of the world’s most recognizable brands. Google’s worldwide market share for online searches totaled 85%, in early 2004. It has garnered a reputation as a corporation with integrity due to its highly valued and followed principles. Google already has a presence in China as evidenced by the 700 employees in its Chinese offices, Chinese revenues of $300 million (1% of corporate revenues), and that 24%, or 80 million, of the current 338 million Chinese internet users are Google users. If Google does pull out of China fully with the removal of Google.cn it can still have a much smaller presence with its long-running Chinese language search engine. Weaknesses stem from the necessary