Should the entry of google need to be encouraged or discouraged?
Google is considered one of the powerful and successful companies in the world who challenged Microsoft. It started as Search Engine Company which over the period of time evolved to provide various other services like email, blogging, chatting and social networking to name a few.
Its decision to enter in cell phone/mobile phone segment created big news around 2009. The product Google was planning to launch was “Nexus One”.
Several Pros and Cons had been proposed with the entry of Google in this market. The advantages are:
• Giving stiff competition to existing players cutting mobile phones cost.
• Mobile products will be more user-friendly and advanced.
Disadvantages in short term don’t seem evident, but in long term disadvantages are that strong competition may risk the elimination of existing players, which may lead to market monopoly. Though, it may not be true as Orkut failed when Facebook came. It will be like mouse singing like bird but then it will always remain a mouse. One should be cautious in making decision while supporting any giant player’s entry into new market as it may create several problems in future.