Содержание

Table of Contents

1. Introduction 2

2. Going Global- Means, Motivations and Mentalities 3

3. Building Competitive Advantage – The Key To Success in Global Markets 6

4. The Mind Set of Google and Microsoft 8

5. Innovation 10

6. Conclusion- The Future and Global Role of Google and Microsoft 12

7. References- Group Part 13

8. Individual part

Выдержка из текста

In every business, expanding the boundaries and bringing organization to the

global level is an important step in the future development of the company.

Market seeking and access to the low-cost production factors are the two main

traditional motivations for companies to go international (Bartlett and Beamish,

2011).

4

Google versus Microsoft

Microsoft was highly competitive and extremely successful in all of their five

product divisions on the market of the operation systems building. Due to

the US market saturation, Microsoft felt the need to expand globally, being

motivated by the low-cost development cost and risk absorption. However,

Google’s motivation was pro-active, because a company like Google and services

it provides were initially meant to be global, since their products are mostly

related to the Internet.

The situation on the market was very favorable for them and most of their

competitors were too ‘young’ to expand — that motivated Google to expand their

boundaries.

Looking into the entry modes and international strategies of Microsoft and

Google, it can be seen that there were different approaches used when going

global. Microsoft initially followed licensing and strategic agreements, which

has brought forward both advantages and disadvantages. It allowed Microsoft

to lower their risk and cost of development, but involved the possibility of

the ‘licensee imitating technology and product to their own use’ (Vijayan, 2009)

along with the US government put restrictions on the licensing. As for Google, it

followed acquisition and partnership types of internationalization. For instance,

they sign a contract with Universo Online and became the largest search engine

in Latin America (Bellis, 2014). Following this strategy

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14

Google versus Microsoft

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[Accessed at 23rd

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Apr. 2014

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