Google Communications: Reputation And Brand Strategy

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Register to read the introduction… Reputation and brand name
A company named Grand Central had a great product/service to provide one common phone number that consolidated all your personal/business phones. Not many had heard about this offer until it became Google Voice. Google bought grand central and the user base for this service has increased significantly. Brand name and the company’s rapport will always carry a lot of weight in a standards war.

The above mentioned key assets are only general concepts that could assist while waging a standard war. Different assets might come in handy depending on the industry and the competition over which the war is being waged. Some of the above assets could also cause negative effects. E.g. If a company invests heavily on a technology that they think has the potential to become an industry de facto and loses to its competition. Toshiba reportedly lost around $3.5 billion USD out of its HD-DVD product when it lost the war to Sony’s Blu-ray. Toshiba is shipping its laptop’s with its competitor’s Blu-ray players installed as they would have lost significant market share in laptops if they did not include the same. Similarly, control over an installed user base of a legacy technology might not be of any help if the technology did not keep up to speed of current market requirements. Sony and Philips controlled CDs but could not make the same impact with DVD
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Conversion of data from another program is a type of adapter. Open Office is a free open source alternative to expensive word processing software available off the shelf today. This adapter enables even the Linux users not only import Microsoft’s word documents but also export or save files in Microsoft’s word document format.

Survival Pricing

Survival pricing is a strategy to reduce the price to a level that will allow a company to only stay in business by covering operational costs without worrying about making profit. It has been proven this strategy would not work in most cases even for a shorter duration of time. This strategy signals weakness. This should not be mistaken to penetration pricing strategy. Microsoft seems to understand it very well that survival pricing is never going to help. In spite of losing the portable media player war big time to apple, they never brought down the price for their Zune. Instead they came back with a HD version of it with more innovation that offers some of iPod’s missing features. However, by the time Zune HD came out Apple had already won that war. It would be interesting to watch the big giants compete if Microsoft comes out with their heavily rumored Zune/Pink phone to get back in this

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