Google Vs Government Of China
Name: Anvesh Shetty (109) ( PG Marketing)
Aditya Chauhan (118) ( PG Marketing)
Q. 1
Issue Google Government of China
Issue 1: Central purpose of Priority: 1 Priority: 2
Negotiation
Position: Focus on profit and Position: Technological and
brand management Economic Gains
Interest: A population of 1.3 Interest: It wants Google to
billion along with a growing provide its citizens and
economy makes Chinese companies with access to the
market extremely important best technologies, eventually
for Google to enter gaining technological parity
with the US. Also, China knows
the nation’s economy will be
improved by internet access
and use.
Issue 2: Level of Censorship Priority: 2 Priority: 1
Position: Google doesn’t want Position: Requires Google to
to comply with the level of comply with the level of
censorship required by China censorship
Interests: The image of Google Interests: China’s leaders want
in the media and among to improve their nation’s
investors will be seriously economy while preserving
damaged if it acts opposite to political stability. They want to
its philosophy of “Don’t’ be censor political discussions to
evil”. It might negatively affect prevent “westernization” of
the future of the company. China.
Issue 3: Acquiring a “.cn” Priority: 3 Priority: 3
domain
Position: Google wants to Position: China wants internet
acquire a “.cn” domain as soon businesses to comply with its
as possible objectives and directives.
Allowing Google to have a
Chinese domain name and set
up a research and support
facility site in China would give
Interest: Google wants to some Chinese engineers access
enhance company’s legitimacy to Google’s proprietary
with Chinese users. The sooner research technology.
Google could acquire a “.cn”
domain name, the sooner it Interest: As head of a
could distance itself from its hierarchical culture that valued
American roots. status, the Chinese
government sought to
promote China as a powerful
and independent actor in
world forums.
Issue 4: User Privacy Priority: 4 Priority: 4
Position: Restrict privacy if it
Position: Protect User Privacy threatens political stability
at all costs
Interest: China values
Interest: Failure to protect collective interest over
user privacy can lead to loss of individual rights.
confidence and trust and lead
to loss of users
BATNA Instead of acquiring Chinese BATNA for China would be to
domain, Google could just continue to rely on local
lobby China for access to a search engine alternatives
larger stake in Baidu, maintain such as Baidu. Baidu is already
its philosophical integrity. one of the most visited sites in
However, Google will lose the world with increasing
market share of Chinese users market share, and very similar
due to user frustration coming to Google in substance and
from still slow access, and style. By just choosing its
Google’s revenue from China BATNA, China may lose some
would be seriously limited of potential economic and
because it will not be able to technological advantages, but
have a complete control over will have much fewer domestic
Baidu whatsoever. repercussions.
Reservation Price Offer services to China through Google self-censors its
google.com domain searches
Q.2
Priorities for Google:
1. Google had financial goals when it came to entering market share in China. Management
wanted to enhance the company's legitimacy with Chinese users and acquire a larger market
share in the Chinese market thus enhancing its profit.
2. Google is not willing to acquiesce to the Chinese government's demands for censored search
results. The company's primary goal was to satisfy users' preferences for “instant
gratification” of their information needs, it opposed any interference that might slow down
or restrict a user's ability to retrieve information. Google viewed Censorship as being
opposite to its famous principle ‘Don’t be Evil”.
3. It wanted to acquire .cn domain. The sooner Google could acquire a “.cn” domain name, the
sooner it could distance itself from its American roots. Only then would it become a member
of the “in-group.” This in turn could lead to greater revenue streams from advertising to
Chinese users.
4. Google wants to protect User Privacy at all costs. Failure to protect user privacy can lead to
loss of confidence and trust and lead to loss of users
Priorities for Chinese Government:
1. Censorship is the top priority of Chinese government given their nationalistic culture. The
Chinese leaders are determined to control the flow of information to ensure that that there
is no content against the Chinese government available on the internet.
2. Next is their goal of establishing the country as a technology leader. It wants to provide its
citizens and companies with access to best technologies eventually gaining technical parity
with the US.
3. China wants internet businesses to comply with its objectives and directives. Allowing
Google to have a Chinese domain name and set up a research and support facility site in
China would give some Chinese engineers access to Google's proprietary research
technology thus encouraging Chinese engineers to stay back in the country.
4. China wants to restrict privacy if it threatens political stability since China values collective
interest over individual rights.
BATNA FOR CHINA
BATNA for China would be to continue to rely on local search engine alternatives such as Baidu.
Baidu is already one of the most visited sites in the world (number 4) with increasing market share,
and very similar to Google in substance and style. By just choosing its BATNA, China may lose some
of potential economic and technological advantages, but will have much fewer domestic
repercussions.
BATNA FOR GOOGLE
On the other hand, BATNA for Google is far less attractive. Instead of acquiring Chinese domain,
Google could just lobby China for access to a larger stake in Baidu, maintain its philosophical
integrity. However, Google will lose market share of Chinese users due to user frustration coming
from still slow access, and Google’s revenue from China would be seriously limited because it will
not be able to have a complete control over Baidu whatsoever.
