Its main source of revenue is through online advertising that enhance user experience. It has also expanded its business activities by producing and marketing its products like Nexus 7 tablets and Motorola mobiles with which it had forged alliances.
Google’s international activities have considerably increased. It now provides its products and services in more than 50 countries and in more than 100 languages worldwide. Nearly 53% of its revenue comes from its international business activities. Its advertisers and business partners come from different countries and region. Working in highly competitive environment of online business, it faces huge competition. Its major rivals in online search engine are Microsoft Bing and Yahoo. Amazon.com, eBay, Monster.com, WebMD etc. are its key rivals in e-commerce area (ar, 2012). Google’s social networking sites like Youtube and Google+ compete intensely with Facebook and twitter. Its Android platform is giving competition to traditional mobile based system. Its advertising field directly competes with other formats of advertising vis-à-vis television, radio, magazines etc.
The company’s global format uses international suppliers as per the demands from its ecommerce sites. It has developed wide network of business associates to provide products and services to its users and clients. It has recently entered in the area of mobile technology through its own in-house product, Nexus7, a tablet that would provide unique user experience to mobile users. Moreover, Motorola has manufacturing units in China, Taiwan and Brazil. The suppliers of raw materials for production of mobiles form critical linkages and therefore become very important issue for maintaining competitive advantage.