BUSN 118 Business Project (Part 3)

Clayton Bowman Terrance Tyson Tyler Disley Rene Gonzalez March 29

Julie Lane

Spring 2012

Tyler Disley

Explain and give an example for each of the following external variables that affect the business: Economic forces Social, cultural, demographic & environmental forces Political, governmental & legal forces Technological forces Competitive forces

Economic forces include rate of inflation, level of employment, demographic changes, and fiscal and monetary policies. Google has seemed to buck the trend by finding success even in a poor economy. In fact, they have actually created more jobs, growing by 1,114 employees from September 30, 2011 to December 21, 2011. Google has also expanded its brand by acquisitions and partnerships. A few of the companies they have acquired or joined forces with since 2004 are Keyhole, Inc., DoubleClick, GrandCentral, Aardvark, NASA Ames Research Center, and YouTube, among others. Social, cultural, demographic, and environmental forces include factors such as customs, lifestyle, language, attitudes, interests, and population shifts. Google has interpreted the market and assessed its competitors to either stand ahead of the curve and trends, or at least stay competitive in different markets. Google is accessible globally because it supports many different languages and tailors its product to diverse demographics. A 25 year old male in the United States will have just as many relevant advertisements on Googles web pages as a 50 year old woman in Hong Kong would.

Tyler Disley

Recently Google has run into some issues dealing with political, governmental and legal forces, which includes laws, regulations, and the political climate. Google has long been deemed as Hostile to Privacy, according to Privacy International. Even CEO Eric Schmidt in 2009 said, If you have something that you don't want anyone to know, maybe you shouldn't be doing it in the first place. If you really need that kind of privacy, the reality is that search engines including Google do retain this information for some time and it's important, for example, that we are all subject in the United States to the Patriot Act and it is possible that all that information could be made available to the authorities." There are political watchdog companies created for the sole purpose of looking into Google privacy issues. On March 1st of 2012, Google updated its privacy policy to give them even more control of the data they collect, and how they collect it, which may lead to future government regulations and scrutiny. Technological forces have been the hallmark of Google since its inception. Creating and revolutionizing technology that captures the minds of its consumers has led to growth and great notoriety. Google wasnt the first search engine, but they built one that far surpassed anything else on the market. Acquiring companies has led to even further expansion of Googles technological prowess, which gives the company a foot in the door to current trends and potential market shifts. Competitive forces, or the examination of the dynamic competitive environment, are probably what Google is best known for being an industry leader in. Google isnt always the first to come out with new products. In fact, they are known to assess current competitors products and try to make them better with their own spin on them. Google Chrome was released after Microsoft Internet Explorer and Mozilla Firefox, but

Tyler Disley

yet millions of people use it. The Android system was released in response to Apples iPhone, tweaking it in such a way to make it open source and more accessible to a greater number of consumers. Google has proven that being a leader doesnt always mean leading by example, but learning from others mistakes and improving upon them.

Tyler Disley

Explain what the business says about its view of social responsibility and what it is doing to be socially responsible.

Googles mission is to create awareness about climate change, global public health, and global poverty. In fact, one of their philosophies is You can make money without doing evil. However they have been criticized for copyright infringement with their Google Books program and censorship issues with China. Many believe they shouldnt adhere to Chinas strict censorship regulations. On the flip side though, they have developed a hybrid vehicle than can potentially reach 100 miles to the gallon, and has invested millions in a renewable energy project.

Tyler Disley

Works Cited Google gets the message, launches gmail. N.p., 2004. Web. 16 Feb 2012. http://www.google.com/press/pressrel/gmail.html Scan This Book! N.p., n.d. Web. 16 Feb 2012. http://www.nytimes.com/2006/05/14/magazine/14publishing.html?_r=1&oref=slogin&pa gewanted=all Google Maps API Family N.p., n.d. Web. 16 Feb 2012. http://code.google.com/apis/maps/ "Google Acquires Keyhole Corp News from Google." Google Acquires Keyhole Corp News from Google. Web. 14 Mar. 2012. <http://www.google.com/press/pressrel/keyhole.html>. Monica, Paul R. La. "Google Buying YouTube." CNNMoney. Cable News Network, 09 Oct. 2006. Web. 14 Mar. 2012. <http://money.cnn.com/2006/10/09/technology/googleyoutube_deal/index.htm?cnn=yes >. "Online Marketing Trends." Google's Products Life Cycle : Past,Present and Future. Web. 14 Mar. 2012. <http://www.onlinemarketing-trends.com/2011/09/googlesproducts-life-cycle-pastpresent.html>. "Company." Google. Web. 14 Mar. 2012. <http://www.google.com/intl/en/about/company/>.

Tyler Disley

"OSNews." Google. Web. 28 Mar. 2012. <http://www.osnews.com/story/17928/Google-Dont-Be-Evil>. BBC News. BBC, 06 Nov. 2007. Web. 28 Mar. 2012. <http://news.bbc.co.uk/2/hi/technology/6740075.stm>. Shiels, Maggie. "Google Admits Wi-fi Data Collection Blunder." BBC News. BBC, 15 May 2010. Web. 28 Mar. 2012. <http://news.bbc.co.uk/2/hi/technology/8684110.stm>. "Google Announces Fourth Quarter and Fiscal Year 2011 Results." - Google Investor Relations. Web. 28 Mar. 2012. <http://investor.google.com/earnings/2011/Q4_google_earnings.html>. "Google Privacy Policy Is Subject of Backlash." Washington Post. The Washington Post, 25 Jan. 2012. Web. 28 Mar. 2012. <http://www.washingtonpost.com/business/economy/google-privacy-policy-is-subject-ofbacklash/2012/01/25/gIQAzwZCRQ_story.html>.

Clayton Bowman

How does the future look for the business, and what predictions are they making currently?

Since Googles product range is so diverse, it has a very secure future. If one major product line started to fail, they have plenty others to take its place. Ever since Google started it has continued to grow and grow. They always seem to have some cool new groundbreaking product that gets everyone talking. Everything Google does is done well, and though they have had product failures in the past, for the most part they seem to be able to make new products and services that people love. For this reason I dont think Google will be facing any major crises anytime soon. Googles philosophy is great is never good enough, in other words they are always striving for the best, which in the current world economy is the only way a business will stay alive. Googles founder Larry Page stated that he thinks Google will be just as relevant in 2020 as it is now, and its hard to disagree. Google has their foot in the door of so many different services and products that its hard to see any way they can fail. It seems almost nothing is going against Google, and everything is going for it. Every way you look at it Google is winning in the business industry. Googles stocks have been on a steady rise ever since its start, even after the stock market crisis in 2008. Googles internet services are used by more people than any other internet service (including Facebook, Twitter, etc.). All the facts seem to say that Google will continue to grow just as vigorously as it has ever since it started.

Terrance Tyson

Describe the legal structure/formation of the business and why this formation works best for the business?

The legal structure/formation of the business of Google is a limited liability company (called an "LLC") it is a legal entity that, in the eyes of the law, exists separate and apart from its owners. The owners of the LLC are called "members" (as compared to a corporation, where the owners are referred to as "shareholders"). An LLC is formed by filing with the proper state governmental authority (usually the Secretary of State) articles of organization (or the equivalent under the laws of a particular state) and all filing fees are paid. Some state laws may impose additional pre or post-creation requirements as well. So what makes the creation of an LLC attractive to business owners? The LLC, like a partnership, is given a pass through tax treatment, i.e. profits and losses are reported on each owner/member's individual tax return; The LLC, like a corporation, provides liability protection for the members (assuming that potential debts and obligations are incurred in the name of the LLC and not the members individually), which means that creditors can assert their claims only against LLC and not directly against the members (again, assuming that the LLC is properly operated and the members do not personally guarantee any obligation of the LLC); and The LLC provides flexibility in management (as compared to the relatively rigid corporate structure) and other issues while preserving the 2 advantages listed above. The business will work because with a limited partnership there must be at least one general partner who manages the business and who is fully and personally

Terrance Tyson

responsible for all claims against the partnership business. In addition, there are investors (i.e. the limited partners - known in the past as "silent" partners) who do not engage in the management of the business and whose liability for the business is limited to the extent of their investment into the business. Like a partnership, the liabilities and distribution of profits are based upon the agreement reached by all of the partners. Limited Liability Partnership A limited liability partnership has the same characteristics of a general partnership provided, however, none of the partners can be held personally liable for claims against the business. Under this form of business, each of the partners is generally not liable for the errors or negligence of the other partners unless they themselves are supervising, directing, or involved in the action for which a claim has been filed. As with a general partnership, profits are taxed as personal income for each individual partner. To obtain the benefit of the limit on the liability, this type of partnership must file articles or other appropriate documents with the state - in other words, it requires a formal filing to start this type of business.

Terrance Tyson

Works Cited http://www.entrepreneur.com/article/75118 http://www.free-rental-property-investing-info.com/rental-property-business.html/ http://www.ehow.com/limited-liability-companies/

Rene Gonzalez

Identify the business mission statement. Discuss how the mission statement articulates its essential reason for existence.

Like most companies Google has a mission statement, a statement with the purpose of defining them and painting a picture of what kind of company they aspire to be. Although brief it gets straight to the point Googles says Googles mission is to organize the worlds information and make it universally accessible and useful.(Google). Since the launch of Google the web browser in 1998 it has more than lived up to its mission statement. Within its first year of existence Google was recognized by PC Magazine which reported that Google has an uncanny knack for returning extremely relevant results.(PC Magazine). Although Google has expanded more than tenfold in services and size, its original investment the search engine still stands strong and far ahead of any competitor. In 14 years Google has become the go to place for the majority in need of research, information or any random want for knowledge. Googles data base is so diverse and for lack of a better word ginormous that the minutest topic of interest will yield pages upon pages of resources from either fellow researchers findings or random blogs pertaining to your topic. But I guess that is what you can expect from the worlds leading search engine who is backed by more the 3 facilities worldwide and literally hundreds of researchers finding, sorting and compiling data day in and day out. In Googles mission statement ends with universally accessible and useful and this has stayed true from day one for people in all stages of life to include corporate executives, college students, stay at home parents and even down the little ones working on grade school papers. Google offers Google Docs and live video chat two services that can

Rene Gonzalez

make communication and revising important documents fast and efficient although many can benefit from this people in the corporate world can save tons of time and money daily. Googles live video chat makes expanding your business or establishing contacts globally easier and more personable then a phone conversation. Google Scholar is a free service for searching scholarly literature such as peer-reviewed papers, theses, books, preprints, abstracts and technical reports. This can be extremely useful for college students when writing reports and researching, since finding creditable resources among the vast internet can be tedious. What about stay at home parents you might ask? Nothing is worse than sick child on a holiday or Sunday when your family doctor office is closed hospital if over packed with an easy 5 hour stay in your future. But wait have no fear Google is hear, simply type in home remedies or symptoms and here comes thousands or site and forums to help stabilize, cure or relieve the illness. While this is not substitute for a doctor, it can help you eliminate some speculation in some cases give you a go to cure for the years to come. And then theres that science project little Timmy has due in a week and well lets just say science is not your forte. With a simple search thousands of projects and ideals in detail will be at your disposal. So hands down I think that Google superseded its original intentions and in fact I think they went above and beyond what anyone thought they could accomplish to include the founders.

Rene Gonzalez

Discuss the business purpose, values, and core goals that provide the framework for its existence.

Google like all companies was founded on set of beliefs or values. But unlike most companies the ever growing Google continuously revisits theirs in attempt o remain as true as possible to its original formation. These beliefs are labeled by Google as Ten things we know to be true.(Google). 1) Focus on the user and the rest will follow. The founders of Google went out of their way to make the customer satisfied with their service. And it has worked, with Google ranked among the top in customer service I would say that the founders have met this goal, but they didnt stop there. Not only does Google take care of you they build its service for you. The founders made sure to implement that the original search engine and any service to follow be simple enough for the everyday user yet up to speed for the technical prodigy. 2) Its best to do one thing really, really well. Ultimately goggle is the search engine of choice for many. But it didnt start there, in fact before Google even attempted to offer another product it was already well out of reach of its competitors. Google dedicates hundreds of employees whose only purpose is to continuously expand its data base and solve problems that are not yet solved. And although it does now offer more products they are either tied to search engine or advertise for the search engine.

Rene Gonzalez

3) Fast is better than slow. Basically this means that your time is valuable and Google understands that, they are dedicated to getting your information as fast and accurate as possible. 4) Democracy on the web works. When you search for something not only do you get websites and blogs but you get what others in your position have voted what worked best for them. Ever wonder what decides whats on page 1 and page 100? Well you do and every other person who is willing to let Google know which site you deem valid. 5) You dont need to be at your desk to need an answer. With the world evolving nonstop and smart phones and tablets on the rise why not make the largest search engine accessible from any mobile device? Cant think of a reason well neither could Google and now you can solve the most random and irrelevant dispute where ever you are. 6) You can make money without doing evil. Google is dedicated to providing us with quality services and not scams, not to be mistaken with scams found on the internet which Google has no control of. 7) Theres always more information out there. Once again Google has dedicated many, many, many brilliant minds who constantly search for more. 8) The need for information crosses all borders. Not only can you find what you need in English but you can find it in over 25 other languages to include Klingon (The official Star Trek language) which technically is not a language but could be used by those who took the time to learn it.

Rene Gonzalez

9) You can be serious without a suit. Although Google was once named the best place to work due to its casual atmosphere, they would assure you that they are purely business orientated when it comes to generating revenue and innovating new ideals. 10) Great just isnt good enough. Being recognized is awesome but maintaining that level of expectation and even striving to give the customers more is what Google is all about. It would have been easy and still very profitable to simply just maintain the search engine. Google didnt stop there in fact they continue to grow and produce more and more outstanding products and acquire new business that are on the verge of dissolution. In my opinion Google has set forth a promising set of goals/values and as long as they continue to uphold them, they will remain a successful business for years to come.

Rene Gonzalez

Works cited

" Company Google ." Google. N.p., n.d. Web. 29 Mar. 2012. <http://www.google.com/about/company/>.

" Ten things we know to be true Company Google ." Google. N.p., n.d. Web. 29 Mar. 2012. <http://www.google.com/about/company