Google concerns grow
The rise of Google has caught many people by suprise. Founded less than ten years ago, this small dot com start up has grown into a internet giant, emerging as a worth rival to other industry and media giants such as Time Warner and New Corp. (A recent survey by the International Charter showed Google to be one of the most influential media companies in the world). That growth and achievement has come with a terrible price.
Many predicted that Google's IPO would signal the end of the company's laid back culture, and in truth it has. Recently when Google's stock price tumbled by 33% in one day its executives were on the phone to every broker and anyone that would listen, reassuring them about the company's up and coming products and its entry into new markets.
The problem is that many remain unconvinced and deeply concerned about the perofmrance of the company.Google fo the most part is a great company. It treats its employees well and its innovation is econd to none, but the company is naive.
It has come from a world where it called the shots to the harsh reality that Wall Street may love you today, and hate you tomorrow. Brokers are only loyal to their margins.
The company which is used to keep it's progress and new products close to its chest will have to realise that investors and analysts need to see progress, they need to understand the company's direction if they are to have any faith in it. It's not enough to have a great corporate motto "Do no evil", it has to be combined with "Make a profit".