Google Business Ethics Essay example

2127 Words Dec 1st, 2007 9 Pages
Introduction

Google's mission is to organize the world's information and make it universally accessible and useful.
As a first step to fulfilling that mission, Google's founders Larry Page and Sergey Brin developed a new approach to online search that took root in a Stanford University dorm room and quickly spread to information seekers around the globe. The company was first incorporated as a privately held company on September 7, 1998. Google's initial public offering took place on August 19, 2004, raising $1.67 billion, making it worth $23 billion. Google is now widely recognized as the world's largest search engine -- an easy-to-use free service that usually returns relevant results in a fraction of a second.

The world's
…show more content…
Google has also been amazingly honest with its shareholders. In February of 2006, Google's CFO made a public statement saying that the kind of growth that Google had seen recently leading to its stock value quadrupling from the initial $85, might not continue at the same pace owing to the law of diminishing returns. This caused a sharp decline in the share prices in late February 2006.

Its commitment to users, innovation and creating shareholder's value has inspired Google to probe into new business sectors, including telecom, entertainment, publishing, enterprise applications, e-payments and next-generation advertising. This coupled with other growth factors and favourable predictions led to Google stock prices reaching an all time high of $747 in November 2007 [5].
Trend Analysis – Google v/s NASDAQ

Figure 2

Ever since it went public, Google has always outperformed the NASDAQ by a huge margin. The above graph shows the trends of growth in Google and NASDAQ. To put it in perspective, the following graph presents the growth trend of Microsoft compared to NASDAQ and Google:

Figure 3
Microsoft shares have not shown the kind of growth that Google has shown over the past years and has, in fact, underperformed the NASDAQ. Microsoft has not been able to demonstrate the kind of innovation trends that Google has shown.
Other trends – Sales, Profits, EPS

Net Profit
(In Millions of USD) Sales

Related Documents