Analysis of Samsung

In: Business and Management

Submitted By leddow
Words 5649
Pages 23
Samsung Case Analysis

Lindsay Eddow
Luxchmi Gill
Jonathan Lee
Carol Lin
GBA 652: Marketing Seminar
Professor Kevin Moncrief
Fall 2014
California Polytechnic University Pomona
Table of Contents I. Company Background 4 Values & Philosophy 4 Vision 5 Performance 5 History 5 The Samsung Philosophy 5 Samsung Electronics Co., LTD 6 Operations 6 Products 7 Design 7 Environmental Record 7 II. Issues / Problems 9 III. Company Goals, Objectives, or Drivers 14 IV. Constraints 17 Firm Specific 17 Industry Wide 19 V. SWOT Analysis 23 VI. Findings 27 GAPS 27 SHARED S/W 27 VII. Solution Options 28 1. Proposed Solution to Promotion Issue 28 2. Proposed Solution to Product Issue 28 3. Proposed Solution to Pricing Issue 28 VIII. Recommended Solution Option 30 Gantt Chart for Proposed Solution 31 References 32

I. Company Background
Samsung Group is a South Korean multinational conglomerate company headquartered in Samsung Town, Seoul. For over 70 years, Samsung has been dedicated to making a better world through diverse businesses that today span advanced technology, semiconductors, skyscraper and plant construction, petrochemicals, fashion, medicine, finance, hotels, and more. It comprises numerous subsidiaries and affiliated businesses, most of them united under the Samsung brand, and is the largest South Korean chaebol (business conglomerate). Samsung was founded by Lee Byung-chul in 1938 as a trading company. Over the next three decades, the group diversified into areas including food processing, textiles, insurance, securities and retail. Samsung entered the electronics industry in the late 1960s and the construction and shipbuilding industries in the mid-1970s; these areas would drive its subsequent growth. Since 1990s, Samsung has increasingly globalized its activities, and electronics, particularly mobile…...

Similar Documents

Samsung Analysis

...Samsung Case Analysis: Key points Q1: How attractive is the DRAM industry? The DRAM industry is unattractive and will be increasingly unattractive for incumbents going forward. The average industry profitability has been going down over the years and most incumbents have left the industry or have been acquired after a string of heavy losses. Profit potential in the industry will increasingly be under pressure due to on‐going fierce industry rivalry as high fixed costs and excess capacity leads to price cutting and incumbents cannot shield themselves from price competition because product differentiation is difficult on standard products. Future investments in Fab capacity will disrupt industry supply and demand further and will ultimately lead to further price cutting which will put significant pressure on industry profitability. Incumbents will face further pressure from the rising relative bargaining power of suppliers who will pass on increasing R&D costs to incumbents. At the same time, entry barriers that have shield incumbents before from entry will be ineffective at stopping large scale entry from Chinese companies seeking a strategic foothold in the semiconductor industry and will use their large access to cheap financing and relatively cheap but skilled labour to seek a low cost competitive position which will depress prices further. Whilst there are few effective substitutes, developments in ‘hot’ areas such as flash memory are displacing DRAMS in......

Words: 1548 - Pages: 7

Samsung Company Analysis

...Samsung Company Analysis Samsung, one of the leading brands around the world. It sells wide range of electronic appliances and technology such as television, personal computer and mobile phone. It accounted for more than 220,000 employees across the globe with it headquartered in Seoul, South Korea (Datamonitor360). Byung-Chull Lee started his business from selling dried Korean fish with 30,000 won in 1938 under the name Samsung. According to the company record (2012), Samsung has assets value of more than 430,000 billion won recorded and net income over 20,000 billion won. With fierce competitors such as Apple, Sony and Nokia, Samsung must perform it best to secure its future. Further in this essay will be focusing on Samsung keys development to its success and SWOT analysis of this company. There are a number of key factors that drive Samsung to this stage. Firstly, In 1969 Samsung-Sanyo Electronics was established and Samsung’s first black and white TV was manufactured. This was a significant change to the company as TV was new to the market and its future profit was uncertain. Later in 1972, Samsung try domestic production of black and white TV and it reached its 4 millionth TV in 1978. Second factor is the diversification of its product throughout 1980s. Samsung manufacture many new appliances such as air-conditions and microwaves. In the 1990s, Samsung claim to be ‘copycat’ in electronic market (Kotler and Armstrong, 2012). Even with that claim, Samsung still......

Words: 1371 - Pages: 6

Samsung Strategic Analysis

...Management Summary Samsung wants to introduce a new line of mp4 players. This plan is a detailed analysis on how Samsung can best introduce this product in The Netherlands as well as in Germany. First there is internal analysis of Samsung than external analysis will follow, which will focus on the Netherlands and Germany. Samsung wants to introduce this product in an already very competitive market, the MID market (Mobile internet device). One of the main competitors of Samsung, Apple, is already active in this market and Samsung wants to know how they will be able to compete. Samsung has always been a very innovative and technical company. Right now their technical and innovative strengths are there main competitive advantage. Samsung has a global product structure, with its main focus on their different product lines. Samsung has a geocentric predisposition, with subsidiaries all over the world. Table of Contents Preface 2 Management Summary 3 Internal analysis 7 Organizational Structure 7 Innovations 8 Technical superiority 10 New product possibilities and opportunities 10 Patents 11 Technologies 11 Finance 11 Quality of top and middle management 12 Company culture 12 Strategic goals/Strategies 12 Company values of Samsung 13 Core values 13 Business principles of Samsung 13 Entrepreneurship 13 Planning 14 Management of workforce 14 Personnel 14 Attitude and Motivation 14 Marketing 14 Product......

Words: 10006 - Pages: 41

Corporate Scandal Analysis – Samsung Group

...Re: Corporate Scandal Analysis – Samsung Group Introduction This report examines Samsung’s corporate scandal using three elements of the fiasco: unethical practices, poor internal controls, and the dysfunctional behaviours of corporate managers. The report includes recommendations on what counter measures should be in place to prevent future fiascos of Samsung Group. About Samsung Group The Samsung Group is the Korean’s largest conglomerate. The $160 billion Samsung Group is a source of Korea’s pride, accounting for 16.5% of the country’s total exports (1). Samsung Electronics, the world’s largest maker of memory chips, liquid-crystal-display panels and TVs, and the largest cell-phone maker. Samsung’s corporate scandal in Year 2008 Lee Kun Hee, Chairman of Samsung Group, stepped down after being charged with tax evasion and breach of fiduciary trust in April, 2008 (2). Assessing unethical practices Lee Kun Hee, Chairman of Samsung Group, owned $4.5 billion worth of stock in Samsung Life and Samsung Electronics that were hidden in 1,200 brokerage accounts in the name of former and current executives (3). Such holdings were kept secret to avoid paying hefty taxes. This example of unethical practice is related to conflict of interest that is one of the four related sources of unethical decision making (Mahzarin R. BanajiMax, 2003). Assessing poor internal control The powerful Samsung’s Strategic Planning Office (SPO) arranged an illegal transaction to...

Words: 510 - Pages: 3

Swot Analysis Samsung

...SWOT Analysis SWOT analysis is a tool which enables the organization to understand its position in the market. Therefore, here are the SWOT Analysis of Samsung to that give an idea of how the company is operating in currently. Strengths * Samsung is very advanced technologically. It has heavy assets of technology. It is known for its technologically advanced products such as mobile phone, tablet, TV/audio/video, camera, camcorder, home appliance, pc, peripherals, printer, memory cards and other accessories. * Samsung heavily invest in technology, product design and human resource. This is because human resource plays a major role for the success of every organization. If without human resource, there will be no product can be produced. Therefore, Samsung gives more important to the human resource. * Samsung is the best in terms of design features and technology. It was the first to introduced dual screen mobiles , 65k TFT/LCD colour phone, first phone with polyphonic ringtones, phones with rotating lens, thinnest and lightest note pad etc. * Samsung always makes innovations and tries to improve their products to attract more customers and seek more market share. It attracts customers by offering new and innovative design through understanding the customers by considering the types of designs which are suitable to customers and what they want or asked about. Weaknesses * Samsung does not charge high price for its products. Therefore, people often relate......

Words: 2468 - Pages: 10

Samsung Analysis

...survive and it is its core competitiveness. I think that global Digitall is distinguished competitor feature to Samsung. I advocate that Samsung should run this campaign. Let its customers more deep to understand its corporate logo, culture, and mission. Why am I in favor of Samsung to perform global advertising campaign rather than spend money on R&D. Let me give you a fact of heartache. In the latest ranking world five hundred competitions which saw China's position stand higher and higher, increasing the proportion of total Chinese. World five hundred companies inside Chinese company accounted for 43 places. However another ranking, a hundred brands in the world where very sad to see that the United States 53, Europe 31, Japan 7, South Korea 4, China did not. China's economy surpassed Japan to become the world's No. 2. Volume is large, but China just economic big country, but definitely not an economic power country, because we do not have an international brand. “Chinese manufacturers” flooded the world, but we found the world has also increased degree of distrust for Chinese goods. Why? I think that first is quality, second is advertisement. At first aspect, Samsung is successful. However, we also know that different countries for its product have different level of perceive. This is why Samsung need to perform a global advertising campaign. When Samsung succeeded in making all the consumers subconscious feel its product represents the high-quality products.......

Words: 348 - Pages: 2

Samsung Analysis

...Table of Contents TABLE OC CONTENT 1.Introduction ……………………1 2.Current performance …………1 3.Market share………………………2and 3 4.Ansoff's Matrix - Planning for Growth…..4 5.PEST ANALYSIS………………………………………4 6.Marketing MIX………………………….6 7.Porter’s Five Forces…………………….7 8.Swot Analysis ……………………………9 9.Conclusion …. .………………………………..11 10.Recommandations………………………..11 11. References………………………………….12 The purpose of this paper The purpose of this paper is to outline the Samsung’s current situation, addressing where and how they currently operate, both in the home market and globally. Detailing such information as market share, product ranges, pricing strategies, competitor analysis, plus other key issues that are relevant to the company and products we are reviewing. We will present issues that will have an impact on the company’s future global strategy. 1.Introduction . Samsung electronics is South Korean global company, a part of the Samsung group established in 1938,employing approximately 206000 people in 197 offices across the 72 countries. The company sales is $ 143.1 billon in 2011 considerably 13% more than previous year(annual report of Samsung 2012).Samsung operates in intense competition from growing number of competitors .All of them have strong brand equity such as LG electronics ,Whirlpool ,Nokia ,Apple and Sony. Among its several products single galaxy s devises has been huge success for Samsung.It announces that it had sold 20 million units Galaxy......

Words: 2459 - Pages: 10

Samsung Apple Analysis

...MANAGEMENT STUDIES (SVIMS), PUNE REPORT ON ENTERPRISE ANALYSIS: DESK RESEARCH COURSE (COURSE CODE 115) OF FIRMS M/s. Apple Inc. And M/s. Samsung Electronics Ltd. SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS OF THE MBA DEGREE PROGRAMME OF THE UNIVERSITY OF PUNE OCTOBER, 2013 SUBMITTED BY Komal Singh ROLL NO. 13216 (BATCH - 2013-14) SADHU VASWANI INSTITUTE OF MANAGEMENT STUDIES KOREGAON ROAD, PUNE 411006 DATE: 15th October 2013 This is to certify that Miss KOMAL SINGH, Roll No. 13216, is a bona fide student of this Institute, currently pursuing her Semester-I of the MBA Programme. She has successfully completed the report on Enterprise Analysis Desk Research course (Course Code 115 ) as a generic elective and submitted the same for further evaluation. (Dr. Prof. Mahesh Halale) (Dr. Prof. B.H. Nanwani) Subject Facilitator Director APPLE INC. Table of Content TOPICS Page No. Company 1 - Apple Inc. 1. Enterprise history & background 1 2. Organization 5 3.Markets 8 4. Financial 11 5.Governance 15 6. Summary 17 7. Learning’s 18 8. Bibliography 19 Samsung Electronics Ltd. Table of Content Company 2- Samsung Electronics Ltd. Topics ......

Words: 11395 - Pages: 46

Samsung Imc Analysis

...Introduction Samsung group is a South Korean multinational conglomerate company headquartered in Samsung Town, Seoul. It comprises numerous subsidiaries and affiliated business, most of them united under the Samsung brand, and is the largest South Korean conglomerate. It was founded in 1938 by Lee byung chul (1910 - 1987). Until today, the small company opened up by Lee become one of the biggest companies in the world and leading in world electronics development, research and sales worldwide. Started just as an instant noodle manufacturer, Samsung now become a leader in various field such as heavy industries, constructions, financial trading company, and many more. After the death of Lee, Samsung was separated into business groups, Samsung Group, Shinsegae Group, CJ Group and Hansol Group. Samsung has a powerful influence on South Korea's economic development, politics, media and culture, and has been a major driving force behind the "Miracle on the Han River". Its affiliate companies produce around a fifth of South Korea's total exports. In 2012,Samsung's revenue was equal to 17% of South Korea's $1,082 billion GDP. Since the 1990s Samsung has increasingly globalized its activities, and electronics, particularly mobile phones and semiconductors, have become its most important source of income. Operation Since Samsung group we known today starting to rise in the early 1990s, I will only wrote about their operation starting from 1990. Starting from 1990, Samsung group......

Words: 2674 - Pages: 11

Analysis of Samsung

...FIN 751 Financial Management Company Analysis for Samsung Jiachao Geng Tianyi Cheng St. Thomas University Feb 23, 2014 “I certify that I am the author of this paper and that any assistance I received in its preparation is fully acknowledged and disclosed herein. I have also cited any sources from which I used data, ideas or words, either quoted directly or paraphrased. I also certify that this paper was prepared by me specifically for this course and is not a replication of a paper submitted for another course.” Name of student:……Jiachao Geng………Tianyi Cheng………… Signature:………………………….………………………… Outline The introduction of Samsung…………….......................………………………….04 Document analysis……………………………....................………………………..05 SWOT analysis of Samsung……………………………...……….......…………….07 Modal analysis………………………..…………………….............................…….12 Conclusion...................................................................................................................16 References…………………………………………………….……………………..17 The introduction of Samsung Samsung has been found since 1938. In the past ten years, Samsung got the perfect grade in market of e-consumer. It arrived a new top in 2005, and Samsung surpassed Sony, LG and MOTO by the 15 billion of market value in the same year. This result made Samsung the twentieth in the word, and it was increased by 186% to the year of 2000. This efficiency also made it become the fastest developed enterprise from......

Words: 2946 - Pages: 12

Pestel Analysis Samsung

...he STEEPLE analysis of the business environment of Samsung is part of the company’s strategic analysis for the medium and long term. The goal of this study is to assess the prospects of Samsung. Samsung is a global company in the consumer appliances and gadgets market. It started as a South Korean family-owned business but has earned acceptance around the globe now. Samsung is not happy with operating in the leading markets only. The recent expansion into new markets shows that it wants to cover as many countries as possible. STEEP analysis provides concentrated information which covers various aspects of the external environment. Like PEST and STEEP, it creates a snapshot of current socio-political reality. It also gives a better idea of the existing trends. The analysis below will give you an outline of Samsung’s overall situation. Samsung would consider all of these factors before taking a decision. The key focus of this article is on the external environmental drivers. The STEEPLE analysis will focus on the following 7 factors: Social, Technological, Economic, Environmental, Political, Legal, and Ethical. The initials for these make up the acronym STEEPLE. S FOR SOCIAL As I mentioned already, Samsung is a South Korean Chaebol. This means it is a family-owned multinational. Despite its global image, the firm still operates as a Korean company from within. For this reason, they change many aspects of global operations according to the local conditions. In......

Words: 996 - Pages: 4

Samsung Case Analysis

...Samsung Case Analysis Ernest Coronado Samsung Case Analysis Ernest Coronado CSUCI – Spring 2015 Prof. Jeffrey Stone - Capstone 499 CSUCI – Spring 2015 Prof. Jeffrey Stone - Capstone 499 Smartphone Industry in 2013: Samsung’s Dilemma (1) In 1938, the Samsung Corporation began in Korea as a trading company selling fish, fruits and vegetables to Asia and eventually expanded to manufacturing, machinery and sales operations. Over several decades, the company diversified and grew to become an international conglomerate, which included Samsung Electronics. Samsung’s Electronic business operates in several areas such as visual displays, appliances, health and medical, mobile communications, memory, etc. that generate revenue close to US$100 billion in 2012, making it the world’s largest technology company based on revenue. Samsung Electronics is one of a few major players in the fast-moving smartphone industry. This industry is parsed into two primary segments, the hardware (handset/phones), and the (OS) operating systems that run them. The key issue facing the company today is whether it should enter the OS market for itself, or keep existing relationships and look for other ways to gain strategic advantages in the market. There are several aspects to the environment that faced the smartphone industry. The social and cultural phenomenon where over the last decade consumers have been using technology that allows them to stay connected and communicate anytime and......

Words: 1626 - Pages: 7

Samsung Vrio Analysis

...------------------------------------------------- Assignment Cover Sheet Question: [Analyze a strategic issue facing Samsung Electronics Company] “This is to certify that the work I am submitting is my own. All external references and sources are clearly acknowledged and identified within the contents. I am aware of the University of Warwick regulation concerning plagiarism and collusion. No substantial part(s) of the work submitted here has also been submitted by me in other assessments for accredited courses of study, and I acknowledge that if this has been done an appropriate reduction in the mark I might otherwise have received will be made.” Introduction Samsung Electronics Company (SEC), Ltd founded in 1969 is a South Korean multinational electronics company and is the flagship subsidiary of the Samsung Group, accounting for 70% of the group's revenue. Since the introduction of monochrome television sets in 1971, it has grown on average 38 percent a year, broadening its product range from simple consumer electronics and home appliances to advanced information and communication equipment, computers and peripherals and semiconductors (Renee, 2007) . It is currently the world's largest manufacturer of mobile and smart phones, LCD Panels and televisions and displaced Apple Inc. as the largest technology company in 2011 (Renee, 2007). Industry boundary Samsung electronics has the following divisions * Consumer electronics (CE) : CTV ,visual display......

Words: 5080 - Pages: 21

Samsung Swot Analysis of them called SWOT analysis. These analyses are based on organization’s strength, weakness, available opportunities and possible threats. Samsung Electronics Co. Ltd is the leading brand in the world. To be a market leader might be easy but to maintain that lead is one of the difficult tasks. (Lee et al. 2015) SWOT analysis on Samsung Electronics would provide insight of the company. Samsung’s biggest strength is its expenditure on the research and development (R&D) department. Innovation is crucial in technology sector, especially, where companies like Apple, Intel, Microsoft, are operating. In 2015, Samsung spent the second largest amount on R&D which was around US$14.1 billion (Jaruzelski, Schwartz and Staack, 2015). Since 2012, Samsung topped the chart of companies having most patents securing approximately 15000 patents. Interbrand (2015) and Forbes (2015) estimated the Samsung’s brand is worth US$45.3 billion and US$37.9 billion, respectively, making it the 7th most valuable brand in the world. Furthermore, Samsung has adopted vertical integration technique for its smart phones production which has resulted in low cost production. It currently operates in more than 80 countries Discussing weaknesses, Samsung does have some gaps, such as; there are too many models of smart phones in the market, considering that, there was a decline of 32% in its operating profits. Reason being, different models incur various costs. In 2015, Samsung released 34 new models......

Words: 613 - Pages: 3

Analysis of the Samsung Galaxy Note Commercial

...RUNNING HEAD: ANALYSIS OF THE SAMSUNG GALAXY NOTE COMMERCIAL Analysis of the Samsung Galaxy Note Commercial BUS 620 Managerial Marketing Dr. Patricia A. Ryan February 20, 2012 Analysis of the Samsung Galaxy Note Commercial Advertising is defined as, “Any paid form of non-personal (i.e. through some medium, such as radio, print, direct mail, or e-mail) presentation and promotion of ideas, goods, or services by an identified sponsor.” (Mullins, Walker, 2010 p. 344) Examples of mediums include print ads, radio, billboard, posters, web pages, and television, such as the television commercial by Samsung for their new Galaxy Note cell phone. They created a commercial which was first aired during the recent Super Bowl football game shown on television. This commercial was very effective and showed off some of the Galaxy Note’s benefits, differentiated the product from a very specific competitor, all while targeting a specific market segment. Communicating the Galaxy Note’s Benefits The commercial Samsung created for its new Samsung Galaxy Note found an effective and creative way of showing off some of the Galaxy Notes benefits. The ad takes place in a street party atmosphere and throughout the commercial it displays some of the Galaxy Note’s features, including the new phone’s larger screen size, an included stylus, camera capabilities (both front and back, video and still), and video conferencing. Differentiating the Galaxy Note from competitors “As firms......

Words: 842 - Pages: 4