Entry 1 - "The Real Cost of Google's Sellout to China"

The article “The Real Cost of Google's Sellout to China” talks about the decision made by Google to help the Chinese government. In the US, Google is refusing to help the government enforce online pornography legislation passed by Congress to protect children stating that it is against the right of the people. On the other hand, Google has agreed to help the Chinese government in filtering unwanted material.

In one country, Google has such a control that it is going against the government. On the other hand, the same company is co-operating with the government inorder to get an entry in to the Chinese economy. This shows the dual policy that the company is following. It seems as though the company changes its policy by looking at its own benefit.

According to Porter, one of the six main sources of barriers to entry is the government policy. In the case of Google, they had to help the Chinese Government inorder to survive and compete effectively in the Chinese market. The important question is that was it absolutely necessary for google to enter the Chinese market by going against its own policy that it follows in the US?

In my view, such a decision can be effective in entering the Chinese market. However, such a decision can also cause problems for the company in the US market. The US government will not be pleased to hear that the company has decided to help the Chinese government and has refused to do so with them.

Link to the Article