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Jan
26

What will Google do

This week, Jeff Jarvis‘ new book What Would Google Do, is to be released in which Mr Jarvis attempts to define and de-construct Google’s business model in order to apply it to other businesses.

Mr Jarvis argues that companies, in order to prosper in the future, will have to adapt to the Google way of doing business. Else, decline and, eventually, grand fail may be lurking around the corner.

Evolve or die, so to speak.

Now, Google may not only be the fastest growing company in the history of man, it may also be the most important business driver ever.

Althought Google isn’t the frame work that constitutes the backbone of the web, it is without doubt a great business facilitator.

Search engine optimization aligned with Googles directives and search engine marketing is two of the most efficient marketing actions a company can perform.

Being such a central enabler of business I take it the possible sequel ”What Will Google Do” could be even more interesting to read.

The greatness in Googles business model is that it includes everyone and that everyone can make money while supporting Google’s vision – to ”organize the world’s information and make it universally accessible and useful”.

Accordingly to the vision it lies in Google’s interest that the world’s information shall be:

1) vast
2) difficult to navigate.

While many other companies may struggle with distribution problems, Google has solved the distribution problem in an nothing less than ingenious way, by delegating distribution to site owners. In addition Google offer a strong incentive since site owners are given a percentage of the ad revenues.

By providing numerous free services Google is able to collect user data which may be used for data mining purposes. This enables Google to extract both implict and explicit preferences from it’s users.

In order to secure continuous growth in the distribution chain it lies in Google’s interest to stimulate creation of new content that can be indexed. Blogger is one service that supports that strategy. The purchase of YouTube does also support the pursuit of owning online ad distribution.

Continuously growing, Google could, for better or for worse, eventually become the machine that Kevin Kelly talks about in his lecture below. It would be aligned with Googles overall strategy to pursuit such a goal and the corporation may very well be able to muster the resources to realize it.

I see no reason that Google wouldn’t continue to be one of the most important elements for conducting business online. On the contrary I believe Google’s importance will continue to grow and accordingly I believe that it may be a competive advantage for businesses trying to anticipate new areas that Google is about to challenge in order to get a early bird advantage.

Or put in other words: given that Jeff Jarvis is correct it may not be enough for businesses doing business the Google way of doing business. Businesses may eventually also have to consider Googles business strategies and align their business to Google’s in order to be successful.

For better of or for worse.

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