Subject category:
Strategy and General Management
Published by:
IBS Case Development Center
Length: 5 pages
Data source: Published sources
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Abstract
Google, the biggest Internet search engine, has come up with a new offer for e-mail users. On 1 April 2004, Google announced the launch of its ''Gmail'' in which it offered a huge storage space of one gigabyte to its users that was enough for a normal e-mail user to store his mails for a decade. This announcement sent mild tremors to the existing players like Yahoo and MSN who offer a free space of just 4 and 2 megabytes respectively. Furthermore, Google announced that it will tag its mails with only those advertisements that are relevant to the contents of the mail, which is also known as ''contextual advertising''. However, skepticism arose about the privacy of the e-mails. This case highlights the entry strategy of Google in the global e-mail business and the pros and cons of its offer.
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Abstract
Google, the biggest Internet search engine, has come up with a new offer for e-mail users. On 1 April 2004, Google announced the launch of its ''Gmail'' in which it offered a huge storage space of one gigabyte to its users that was enough for a normal e-mail user to store his mails for a decade. This announcement sent mild tremors to the existing players like Yahoo and MSN who offer a free space of just 4 and 2 megabytes respectively. Furthermore, Google announced that it will tag its mails with only those advertisements that are relevant to the contents of the mail, which is also known as ''contextual advertising''. However, skepticism arose about the privacy of the e-mails. This case highlights the entry strategy of Google in the global e-mail business and the pros and cons of its offer.