A corporate vision can be described narrowly or broadly. Googles website describes its

mission/vision as organizing the worlds information and making it universally accessible

and useful. What does this mission statement tell you about what Google believes its core

competence is and what market needs it is targeting? How useful do you find this mission in

setting Googles strategy? (Hint: Discuss the advantages and disadvantages of a broad versus

narrow vision statement for a corporation.) If you were the CEO of Google, what might your

vision for its future be? Explain the rationale for your answer.

2. In the context of M&A, synergy represents the incremental cash flows generated by

combining two businesses. Identify the potential synergies you believe could be realized in

Googles acquisition of Nest that could be achieved by leveraging other Google products and

services. Be specific. Identify synergies Google is not likely to realize by operating the firm as

a wholly owned largely autonomous subsidiary. Speculate as to why Google has chosen to

operate Nest in this manner.

3. Describe Googles investment strategy? What are the factors driving this strategy? How might

shareholders eventually react to this strategy? How might this investment strategy hurt the

firm long term?

4. Describe what you believe to be Googles business strategy? Would you describe their

strategy as cost leadership, differentiation, focus, or a hybrid strategy? Explain your answer.

To what extent do you believe it is driven by changes in the firms external environment? To

what extent have factors internal to the firm driven Googles business strategy?

5. What are the potential threats to Googles current vision and business strategy?