Example of case study on how does the changing environment for business affect googles ability to communicate

Strategic planning is an important aspect for any business wishing to expand its operations internationally. Organization change aims at improving the performance level of the organization, and adapting to the environmental operation conditions of the organization. In the current century, globalization influences the form of business that organizations engage in. corporations find it quite challenging and enriching to undertake their business operations in different systems, nations and cultures because of the prevailing challenges and changes in businesses environment (Christmann & Taylor, 2011). The search engine giant company Google Inc made a deal with the Republic of China in 2006 to launch Google internet services. It came up with Google. cn, a version of Google search engine that was to be run by a China based company. Launching this search engine required Google Inc to work as the official internet services provider in China. China is one of the developed companies that depend mostly on the internet for its security purposes. Investment in China provided Google Inc with a fast-growing business that was dynamic and created an increased competitive market although it was unable to address problems related to change in environment.
In early 2006, China’s market recorded 105 million users online that represented only about 8% of Chinese population. After the launch of Google. cn in China, some interested parties voiced strong opinions calling for the Chinese government not to sign the deal with Google Inc. These were non-governmental organizations, and other potential competitors. Google Inc faced many challenges in an effort to communicate the following situation that resulted into the company losing much of its revenue. An understanding of social, economic, and technological challenges and their effects on the business environment holds the future of an organization. Irrespective of the area where an organization expands its operations, whether in emerging markets like China or Canada, they have a greater impact on production and sales, and demographical changes. External impacts contributed to the challenges faced by Google in implementing its Google. cn services in China. New competitors and population shift characterize external impacts. The move by non-governmental organizations to stop Google Inc from operating in China created an enormous impact terming the move as a way of promoting evil activities in the country (Tsui-Auch & Möllering, 2009).
Introduction of a Google Inc services in the Chinese market changed consumer’s buying behavior although Google did not have the ability to adapt to the changing situations and turn such threats and weakness into opportunities (Christmann & Taylor, 2011). Every organization aims at maximizing profits with the lowest cost possible. If the business environment seems unfavorable for a given organization to venture into, the management has the duty of looking at the root of the problem and coming up with effective solutions (Standifird & Weinstein, 2010). Google Inc longed at achieving specific business goals and missions by utilizing their core business activities and functions. As such, production and operations act was the key functions that assisted the company in achieving these goals in a cost-effective way coupled by time effective operations and quality services (Tsui-Auch & Möllering, 2009; 29-31). Big companies like Google Inc are used to getting high profits turnouts and when a circumstance comes that brings about losses, the company looks for an immediate action. The action by NGO and new competitors in China made it hard for Google to solve its issues owing to the fact that it operated in a foreign country (Christmann & Taylor, 2011).
The introduction of Google. cn services was argued by haters as a way of accelerating the illegal internet searches even if Chinese users accepted Google. cn terming it as fast and economical. Internal impact form the second factor that made Google Inc fail in addressing its issues in China (Tsui-Auch & Möllering, 2009). Internal influences affected Google’s organization strategic plan especially when the China internet providers sensed competition. China had already established its Internet Service Provider Baidu. com that felt angered by Google’s entry into their market. Movement of a company to new areas has dependence on the level and quality of decisions that the company management makes (Tsui-Auch & Möllering, 2009). However, these decisions need expression in a qualitative, quantitative, measurable, realistic and time-bound manner that Google Inc failed to communicate. Change in business environment made the company fail to identify various measures that it would undertake to achieve the targets. In addition, it had not carried out extensive risk management assessment of the immediate environment. On the other hand, the company should go by the prevailing business laws in the country (Standifird & Weinstein, 2010; Tsui-Auch & Möllering, 2009).
According to Christmann & Taylor (2011), service provision companies have a disadvantage since they are unable to provide error-free services due to the nature of the services offered and the perception of quality. To achieve a competitive advantage in such industry, quality services and customer satisfaction should go hand-in-hand. The above analysis shows that Google Inc never conducted a thorough research on the destination country before signing a deal with Chinese market. Moreover, lack of effective business environmental change management strategies, and the pressure of the non-governmental organizations in China made it hard for Google Inc to communicate this situation. In addition, managers failed to take into consideration certain decisions since some had great impacts in the society and a country at large. The decision to move Google services to China affected their economic stability (Tsui-Auch & Möllering, 2009).

References

Christmann, P., & Taylor, G. (2011). “ Globalization and the Environment: Determinants of Firm
Self-Regulation in China”, Journal of International Business Studies, 32(4), 439-458.
Tsui-Auch, L. S., & Möllering, G. (2009). “ Wary Managers: Unfavorable Environments,
Perceived Vulnerability, and the Development Of Trust In Foreign Enterprises In China”, Journal of International Business Studies, 6(3), 20-45.
Standifird, S., & Weinstein, M. (2010). “ The Transaction Cost Economics Of Market-based
Exchange: The Impact Of Reputation And External Verification Agencies”. International Journal of the Economics of Business, 14(3), 409-431.