Apple. Facebook, Google and Amazon Harvard Case Solution & Analysis

Introduction

Four countries rules the four sectors of marketing. Online marketing is dominated by Google, online retailing is dominated by Amazon, social engagement by Facebook while Apple has set the standards for the interface devices that were being called the remote controls for many people’s digital lives. These companies have used internet to establish themselves in the market and find themselves continuous competing to establish the dominant design for all of online marketing.

Answer 1

Amazon

Amazon began as an online book store in 1995. In 2002, it launched a suite of cloud-computing services whereby manufacturers were able to reach Amazon market place. However, it also expanded this facility to those firms which were not part of retail supply chain hosting information technology services for Dropbox, Reddit and the New York Times. It also expanded the products and services available on its website. It also markets and advertises on behalf of its suppliers. For instance,a collaborative filtering tool would tell customers,” customers who bought X also bought Y”. By 2011, it also launched an advertising network.

It has one of the biggest collection of products available through its family of websites which are sold at the lowest costs at a small profit.It has maintained its status a destination website and does not have to maintain inventor for slower moving goods allowing it to expand the availability of products without the increase in overhead costs. As it allows other manufacturers to sell their products on Amazon, it acts as a revenue stream for the company. It also enjoys economies of scale as it buys products on the large scale(Osterwalder, 2010).

Google

          The Google began as a search engine which it licensed to companies. One of the first companies which Google as its search engine was Yahoo. In November 2000, it began the service Ad Words whereby advertisers paid according to the frequency of their ads appearing in the search results. It also acquired Youtube and provided premium content channels. It also launched the Android mobile-phone operating system and acquired Motorola Mobility to sell mobiles with the operating system. Further products include Google play, Google Wallet, Google+. It has followed massive acquisition strategy and acquired Youtube, Double Click, AdMob and Motorola Mobility(Jarvis, (2011)).

            The product mix of Google allows the company to achieve its mission that is to organize the world’s information and make it universally accessible and useful. The quality of products is excellent ranging from search facilities to premium content on youtube. It is one of the most profitable companies in the world. It has access to 79% of the world’s desktop search market users and 89% of the world’s mobile search market users(Jarvis, (2011)).

In 2012, it had 1151 patents and was the 21stbusiness worldwide in terms of number of patents.Google products are integrated with each other forming anetwork that enriches customers experience and encourages the use of more products and services. Moreover, the products can be used on any device without a trouble or can be integrated with other companies’ applications. It results in a competitive advantage for the company. Finally, Innovation is the strategy followed by Google. According to Boston Consulting Group (BCG),it is the 2nd most innovative business in the world(Jarvis, (2011)).

However, the business is mainly dependent on advertising for its revenues. Approximately, 97% of Google’s $43 billion revenue comes from advertising and 69% from ads on Google’s own websites.It has many products and services that add little value for the business and make only losses, thus decreasing firm’s profits(Jarvis, (2011)).

Apple. Facebook, Google and Amazon Case Solution

Facebook

Facebook earns most of its revenue from advertising. Whenever, any persons clicks the “like” button on any brand, the advertiser are charged for it. In 2013, 153 million visited facebook at least once per month. People spend more time on facebook as compared to Google or an email. It has a Hugh fan base and people are transferring from other networks such as Orkut. Moreover, the integration of facebook apps with all the mobile applications and websites also make it stronger.

However, despite being a leading site of social engagement, it has not been able to surpass Google in online advertisement. In 2012, it had no presence in the $16 billion U.S paid-search market, where Google earned $12 billion.Authentication of users is a real problem with respect to Facebook. There are more fake users in Facebook and the fact that users must be aware of managing his/her contents from hackers. Cyber-crimes are of serious threats to the user as well as it might decrease its popularity(Ellison, . (2007).)................

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