Google has announced that, over the holidays, they will be opening 6 retail stores promoting their relatively new range of tangle products. The stores, which will be titled “Winter Wonderlab”, will sell tablets and computers as well as other Google branded technology. This will mark Google’s first attempt of penetrating the world of retail, an endeavor that could alter the foundation of Google’s business plan. If continued, this would add another retail sales to the list of Google’s revenue streams, which currently largely consist income from advertising in addition to the money generated from the sale of Google’s joint venture devices (such as the Asus made Nexus line of tablets or the Samsung and HP manufactured Chromebooks). This also makes Google a manufacturer and a retailer in the same supply chain, a move that would require a sophisticated operational system be implemented in order to fully meet the demands of a permanent retail location. Furthermore, this is a large-scale performance management initiative by Google’s head office. In essence, this is a test on behalf of Google to determine whether or not there will be enough consumer interest and logistical support to establishment of an ongoing retail presence.

Article Link: http://www.bloomberg.com/news/2013-11-17/google-opening-showrooms-to-show-off-gadgets-for-holidays.html