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A Comparison of Business Models and Financial Managemenr of Google and Microsoft

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A Comparison of Business Models and Financial Management of Google and Microsoft
Anitra Williams-Bender
Jackson State University

Abstract
Google and Microsoft are two of the world’s leading providers for technological services and products. Both companies offer superior services such as search engines, e-mail, and other services designed to connect users with the rest of the world. Although these organizations may have similar products and services, there are limitless factors that set them apart from one another. The business models and financial management strategies for Google and Microsoft differ, directly correlating with the success of the company. Financial ratios help to indicate the success or failure of a company’s attempt to gain profit by selling products and recruiting investors. Annual reports track the expenditures, assets, and net income for Microsoft and Google. Leadership styles, new products and services, and company goals are influenced by annual reports. The technological competition continues, as both of these companies attempt to increase and retain revenue, beat out their competitors, and attract more and more customers.

The core business of an organization outlines the most important and essential activities to the company. This sector of business activity fulfills the purpose for the organization, and it is needed for the organization to function properly. The core business can be viewed as the foundation for the organization; aspects of the business are built on top of the underlying purpose. Google and Microsoft Bing utilize core business values to remain relevant in the competitive technological market.
According to Beal (2010), Google stated: “Search is our core technology; ads are our central business proposition; and apps are the umbrella over our web-based software that you can access anywhere, anytime.” Google has…...

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