7 - Wealth creation—analysis of Google

Abstract

Google is an American multinational technology company which specializes in internet related services and products. The products and services offered by Google include online advertising technologies, search, cloud computing, and software. Google’s ownership structure consists of 95% equity and 5% debt. Google’s board of directors have authorized three classes of stock—Class A, Class B common stock, and Class C capital stock. The continuing shift from an offline to online world has contributed to the growth of Google’s business. Google generate revenue primarily by delivering both performance advertising and brand advertising. Google have many competitors in different industries, including general purpose search engines and information services, vertical search engines and e-commerce websites, social networks, providers of online products and services, other forms of advertising. Acquisition is an important strategy of growth for Google. Google has emerged as the one of the biggest and most successful acquirers in the technology industry. Google went public on August 19, 2004.