Search engines usually earn money through running advertisements related to search along with organic search. The search engine companies make money whenever someone clicks on these advertisements. The technique of earning revenue is known as pay per click (PPC). Advertisers usually bid or pay for right placements of their preferred keywords in the search results. Whenever a user clicks on the advertisement present in the search results, it will cost the advertiser (Adams 2013). This mode of payment is occurred directly to the companies of search engine. Apart from using the technique of pay per click, search engine optimizers have valid reason to maintain organic search results of high quality. If a company has better organic search quality, then the possibility of advertiser of choosing that company for paid advertisement will be more. The user will also return to that search engine company. A search engine company must have a huge company base that will attract more users to the search engine company. Larger audience will help the company to generate more revenue. The responsibility of search engines is to provide best services to their clients. It will lead to best user experience of the visitors of the advertisement (Zilincan 2015). The better user experience results users to search more in the site. The user will click repeatedly on the advertisement. However, the pricing model at the beginning may be harsh in some points but ultimately the situation becomes beneficial for the parties involved in it. There is another situation where many companies do not opt for pay per click campaign. They simply choose organic search results for enlisting themselves in the search engine. These companies run the search results by formulating a campaign for search engine optimization. Hence, it will enhance user experience and quality results. The interface provides high rated channels of marketing through advertising via pay-per-click.
Google is the most popular company related to search engine optimization. Search engine companies for instance Google uses technology of PageRank while displaying results. The technology not only considers keywords that are present inside various web pages, but also it gauges significance of different search results that are based on popularity and number of other websites. The other websites must have linkage to the web page mentioned above. Unlike regular search results, paid results are displayed in another section. The business model of these companies is comprised of AdWords. It allowed various companies in purchasing required keywords that will serve their purpose. The main purpose is advertising on online platforms. However, an internet user when search those keywords are redirected with two results. The results are known as sponsored links and unsponsored links. Sponsored links include paid advertisements of the company (Seo et al. 2014). On the other hand, unsponsored links include organic search results of those chosen keyword of the user. The search engine giant, Google introduced many strategies in the field of search engine to expand their reach in new untapped global markets. In the year of 2007, internet users throughout the world could use search interface of Google in 120 available languages that was available in 160 local domains all over the world.
The exportability of the technology used by search engine companies and its business model are very important for the growth of the enterprises in the market. Proper implementation of techniques in the business model as well as in different fields of operations enhances the exportability of the company. In the competitive business world, companies must use advanced technologies to compete with the other firms in the marketplace. Companies of search engine should change their business model in order to comply with the regulations of a particular country along with the cultural values. Cultural factor is a vital aspect that every company must follow to sustain in that country. Business models should be improved which is possible on performing competitor analysis in the market. Use of modern technologies and platform will definitely help search engines to earn sufficient revenue from the market.
Governments of many countries are threatened by the working procedure of Google as a leading search engine company. Google is a company headquartered in United States of America. Business model of Google is unique. Many countries that are not developed in terms of technology do not understand the business model of Google. According to those countries, United States is trying to dominate over the country via Google. Search engine optimization of Google contains information stored in them. It is the reason of threat faced by many countries. Many developed countries like Japan, France, Germany, etc. feared about the policies of Google in their country (Shih 2013). The European market was a booming market for Google. It expanded its operations in different countries of Europe and faced problems in its operations. Many governments claimed that the search results of Google could create dominance in the local cultures of the country. The countries were about to take actions that would ban actions of Google in those countries. When Google entered France, government of France along with French people thought that Google was trying to change the outlook of Anglo-Saxon culture in France. According to them, Google was also trying to keep information about the culture, heritage and history of France in its search engine. Many French and German companies assumed that business model of Google in displaying sponsored links in the online platform. It results in trademark counterfeiting. Many of the advertisers of France use Google in terms of gaining online presence through Google (Berman and Katona 2013). However, the French courts took decision in favor of the French companies and the copyright holders. The ruling of French court had questioned about the legality of the search engine system of Google. The judgment of court would state the ways of finding solutions about blocking advertisements generated by the third parties. These third party companies had no right to these copyrighted trademarks. This results to chaos in Google while running business operations in France (Ledford 2015). In France, for countering the activities of French government against Google, they began to start the search engine of their own. The name of the newly built search engine is known as Quaero. The new search engine provided many facilities to the users as well as to the companies (Killoran 2013). Digital French books are obtained from this specific search engine platform.
In Germany, behavior of Google is threatening. Aggressive and unfaithful ways of business operations are found in Germany. German people and German government do not understand the working module of the company. Services of Google initially in Germany did not work well. Services like Gmail do not function well in the country. Instead of Gmail, Google has changed it into Google mail (Van Looy 2016). To counter different services provided by Google in Germany, companies of Germany has created another search engine known as Theseus. German search engine Theseus provides tough competition to Google in Germany. The aim of formulating this search engine platform by Google is to improve the technology and communication platform of the country in a top position. Apart from that, with the invention of Theseus in Germany, the power of innovation of the country was revived. The platform of search engine not only helped Germany to develop in the field of information and technology but also it helped the continent of Europe to develop its ability to compete with top companies of information and technology.
Along with the European expansion of Google, the company had also put their feet in Asia pacific region. Japan is the country targeted by Google for their business development. However, in Japan Google wanted to blend the advanced technologies in the field of mobile phone services and broadband services with the varied levels of services of Google in the area of corporate affairs. To counter this activity of Google in Japan, the Japanese government in the year of 2007 had launched a project against the dominance of Yahoo and Google in Japan. The project is consisted of 10 partnerships that are linked with the next generation search engine optimization techniques (Baye 2016). The project of founding new search engine is known as Grand Voyage Project”.
The threat faced by the company is real. The government sponsored search engine in the countries of Europe and Asia provided tough competition to Google in those countries. The governments of those countries are not aware of different business policies of Google. They were not only stressed about the invention of new search engine platform of their own but also they were aware of the dominance of United States in the field of technology and information (Joint 2014). At that time, presence of Google in every country monopolized the market of United States in this search engine business throughout the world. Apart from Google, there are different search engine companies that are dominant in many countries. However, Google was the most advanced company in this genre (Thomas and Peterson 2014). Strategies of Google was improved and developed to capture number one position in the market. However, business strategies and technologies of Google are far more developed than other companies of this industry that helps it to capture the topmost position worldwide (Chanlat et al. 2013). There was a big problem in the organizational culture of Google that is the reason of facing problem when the company enters into a new country. The problem is also prevalent in the strategy of business of Google. The problem recognized in this scenario is cross-cultural communication and management (Kapur and Janakiram 2015).
Whenever a company adopts the process of globalization, culture is the first thing the enterprise should take into consideration. There are many instances are there which explains that failure of adapting a countries’ culture will create a negative impact on the profitability of that business in that particular country. Culture of an organization must align with the culture of the operating country. In the competitive market, every company is trying to sustain in the market by adopting many policies related to the culture of the place (Søderberg 2014). Cross-cultural communication is the only way of sustaining companies in a nation in terms of cultural aspects. There are different practices and modules of cross-cultural communication that companies practice as the part of organization culture. Google must adopt the culture of the target country whenever it targets a new country for business expansion. Adoption of a nation’s culture will help Google in gaining trust and confidence of the people in that particular nation. The employees are the vital resource of a company. Lack of communication will result to decreased profitability of the company. It will also results in bad employee relations. The organizational culture of the company will be hampered that can be a negative aspect of Google. The human resource department of the company would formulate training and development program for the employees that would enhance the employees in maintaining communication among the organization (Kinloch and Metge 2014). There are many theories of cross-cultural management that Google can apply in the organizational level. A change in the organizational culture must be incorporated in the offices of Google at different locations of the world. The managers of Google can also follow situation based leadership strategies according to the cultural perspective of the operating nation of the company. Implication of theoretical model in the organizational level will definitely help Google in adopting cultures of the operating nation (Asante et al. 2013). Adoption of a nation’s culture will also help Google in bringing a positive change in the organizational culture. It will also enhance the company to increase the profitability in terms of revenue generation. The pace of expansion is also increased if Google follows culture of the new target country.
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