Analyzing Resources and Capabilities Essay Example | Topics and Well Written Essays - 250 words

Analyzing Resources and Capabilities - Essay Example The estimated Google’s Brand equity was 25.6 in 2008, a 96% increase compared to 2007. Google’s set of available resources and capabilities enables it to build a strategy focused on company’s internal environment rather than following market trends. According to Robert Grant, â€Å" When the external environment is in a state of flux, the firm itself, in terms of its bundle of resources and capabilities, may be a much more stable basis on which to define its identity†. The company is developing its advertising resources and generates around 99% of the revenue through advertising. The prime resources and capabilities of Google Inc. include search engine differentiation, brand value, qualified workforce, innovative technology, culture, advertising, cost and speed, huge user-base and concentric diversification. Strategic partnerships and agreements with leading businesses allow Google to enhance active use of its resources and capabilities. The firm values its employees with a number of benefits, performance rewards and is also considering wide expansion to its current human resource. As Grant notes, â€Å"The resources and capabilities of the firm form the foundation for building competitive edge†, Google is giving tough competition to its market rivals. However, there still exists a lot of room for improvement in Google’s common set of resources and capabilities as its revenue depends almost entirely on advertising and it also lacks a better understanding of the China