Case study on Google’s innovation and entrepreneurship

Topics: Entrepreneurship, Innovation, Joseph Schumpeter Pages: 8 (1855 words) Published: March 12, 2014
BU035 Innovation and entrepreneurship


Case study on Google’s innovation and entrepreneurship, and compare with the Academic theory

Tutor: Dr, Jaime O.Umali
Name :
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Words: 1764

1, Background/Introduction

With the development of economy, innovation and entrepreneurship has become a pervasive subject. There are many definitions of entrepreneurship from deferent scholar. According to Venkataraman, S, we define the field of entrepreneurship as the scholarly examination of how, by whom and with what effects opportunities to create future goods and services are discovered, evaluated, and exploited (Venkataraman, 1997). Innovation is the creation of new ideas, methods, or things. They are interacting each other between Innovation and entrepreneurship. In a successful case of entrepreneurship, the innovation always throughout all stages which include discovery of opportunity, analysis of opportunity, making decision to exploit the opportunity, and mode of exploitation of opportunity. They influence each other and inseparable.

Google is one of the most well-known successful organizations in the world. which was established by Larry Page and Sergey Brin in September 1998 in a car barn. Followed by a series innovation and entrepreneurial behavior, Google progressed rapidly. It is a very good example to illustrate and contrast with the theory above. I will undertake research on Google and examine examples or incidents that Googles’ approach and identify examples that illustrate the following five concepts;

2, Analyse the process of opportunity discovery at Google.

Discovery of opportunity is the first stage of entrepreneurial innovation. When the opportunity emerged, some people see the opportunity and others do not. The reason of the difference is that, people have different individual factors and different background thus they may have different hunches or intuition. So, some people can see the opportunity and others can not.

With the development of internet technology, there were many people need software or systems to help them to search information quickly. The opportunity of Google was emerged in 1996 with BackRub(a search system), which was a experimental project of Larry Page and Sergey Brin when they were in the PHD course in Stanford University. One day, they was amazed to find that thousands of people using BackRub system to search information every day despite there were only few tutors knew the system before. That means people like to use the system to search information. There was a market waiting for the system which helps people to search information quickly. So they discovered the opportunity of search engine.

Discovery of opportunities and creation of opportunities throughout the whole development process of Google. Entrepreneur use various methods to encourage the staff to improve the ability of discovering opportunities and to create opportunities. For example, employees have 20 percent work time with their own projects, company provide free foods and drinks, medicinal services, entertainment facilities, even you may come with children. All this aim to encourage the creativity of employees. So Google’s innovation ability is very famous. For example they found opportunity from people search habits, and then they improved the technology of search engine. They found opportunity from people search target description, and then they realized the targeted advertising promotion.

3, analyse the process of opportunity exploitation at Google.

The exploitation of opportunity is the second stage of entrepreneurial innovation. Following the discovery of opportunity, the entrepreneur need to analyze the opportunity, evaluate the opportunity. Find out whether the opportunity has market value, and analyze the target market. This process depends on nature of...

Klie,Shannon, 2010. Google’s innovation imperative. Canadian HR Reporter, (September 20, 2010), 14, 16.
Scott, Shane; Venkataraman, S. Academy of Management. The Academy of Management Review 25.1 (Jan 2000): 217-226.
Venkataraman, S.1997.The distinctive domain of entrepreneurship research; An editor’s perspective. In J.Katz &R.Brockhaus(Eds). Advances in entrepreneurship,firm emergence, and growth, vol.3.119-138.Greenwich, CT;JAI Press.
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