Google after much deliberation entered China in 2006. Before taking the decision of entering China, managers at Google researched the options of doing business in China. They studied the evolution of the Internet industry in China, analysed its possible competitors, their branding, localisation and identity strategy in China and discussed and debated about the consequences of entering China within the context of the role and intervention from the Chinese state. The case touches upon the above issues focusing on the recent developments in the Internet industry, risk of 'balkanisation' of the Internet, Google's technology and business model and how this model could be adapted to the Chinese environment and their entry strategy in China in search of profitable growth. The case raises ethical issues related to doing business in China with strong local censorship regulations that can be changed and intervened by the State. The case tries to highlight Google's dilemma from being an American company, pursuing a vision of freedom of speech and information that now has to adapt itself complying to stringent censorship regulations as advised by the State of China.
