Managing the Nation

The Real Cost of Google's Sellout to China

Published by: Thomas Lipscomb

http://www.editorandpublisher.com/eandp/columns/shoptalk_display.jsp?vnu_content_id=1001918977

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Applying Michael Porter's analysis to the article "The Real Cost of Google's Sellout to China" I believe this article should be criticized by the bargaining power of Suppliers. As Google is the second largest technological firm acquiring almost $80 billion of market capitalization and operating on a worldwide basis including China we've got to know the firm isn't facing a market entry barrier. In my opinion it's a well established firm that's facing a bargaining power from suppliers or in other words from the Chinese government. On one hand Google is being opposed by vast regulations imposed by the dictatorial rule in China, which limits its operations towards one of the largest populations in the world, and at the same time allowing substitutes like Yahoo and MSN to operate liberally, acting on increasing Google's costs and expenses on operations in China. On the other hand Google is permissible to act freely within the democratic statute in the U.S, in which this government "Supplier" exerts equal power on all competitors; forcing Google to act on an ethical basis by rejecting all appeals requested by the U.S government to use surveillance, enabling it to track every U.S citizen surfing the net, and in turn threatening their anonymity.

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posted by Managing_the_Nation @ 3:06 AM