Management Strategy Of Samsung

Company has established an effective relationship with its stakeholders and treating everyone through diverse techniques. Samsung is periodically meeting the demands of its shareholders where significant judgments are made and problems are discussed. For instance, strengthened compliance management organization has started and operated a healthcare study center. Company has a direct connection with their consumers and employees through making client satisfaction surveys to make a healthier costumer relation service. It also is creating employee surveys that made the company to improve the work shift system to reduce work ours. Samsung has also contributed in government policy formulation, which assisted to make an Energy management system that decreases its energy consumption by 10% (Samsung.com (3), 2015).

Samsung served as the manufacturing industry and international company analyzed. Samsung has been in business for over 70 years and manufactures products for diverse markets, including: digital media, high -tech electronics, home appliances, information technology and telecommunication. Samsung's motto is to "inspire the world and create the future" by leveraging three key strengths: new technology, innovative products and creative solutions.

There are many competing brands of smart phones and Samsung has reported a decline of profits in 2014. Information from GSM arena shows than Samsung released 54 new phone models in 2014 , compared with 24 by HTC , 11 Motorola and 2 by Apple, leading to increased production costs and lack focus on a specific customer segments thereby losing some of its competitive advantage (GSM Arena , 2015).The lack of popularity of its own OS (Tizen ) and dependence on Google’s Android platform makes it vulnerable on google to develop an “ecosystem”. There are component integration issues as well as loss revenue from potential App sales (Strategic Mangement insight , 2015). Negative publicity from litigation due to patents are likely to continue as technology patents are vague and Samsung with is large portfolio is likely to infringe on some of the patents (Tibken, 2014).

• Samsung is very scattered; it controls and operates different products while its competitors use their resources and effort on one segment only. Diversification takes a lot of effort and attention.

In the modern world of technology, many different companies are attempting to secure their own ground in a particular market. Many companies work in many tech fields & some company focus on software, some on mobile phones, others on television but one of the most recognizable names in the technology field is that of Samsung.

Samsung, Name that people often heard, the business conglomerate that help the advancement of technology to the current day, their product can be found almost everywhere, home, street, offices, schools, it also can be found inside some peoples pocket. According to the recent report by Kristin Stoller (2017) Samsung has achieved 2nd in “The World's Largest Tech Companies 2017” surpassed by their technology rivals Apple. However, Samsung did not get their ‘Business conglomerate’ title from Information technology, in fact they started as trading company with a budget of 30.000 KRW up to now, they currently know with their huge role in the mobile phone race with their rival Apple. Their growth is proving of successful marketing strategy that leads them to become a business tycoon.

Samsung products range from mobile devices, TV, audio and video, home appliances, cameras, PC and peripherals and print solutions (Samsung 2014). This essay will predominantly look closely at Samsung’s mobile phones market.

Today Samsung has evolved into a group of companies unmatched by others in its range of industries and performance. It is now globally focused and responsive to the needs of each market, and more committed than ever to true innovation. The group’s three core business sectors are electronics, finance and trade and services.

The purpose of this essay is to discuss the extent of how effective management and managing has evolved in a contemporary organisational context such as Samsung and discuss the relevance of these perspectives of management.

This figure shows the international sales of Samsung compared to apple, in the last few quarters Samsung is ahead. (FOSS Patents 2012)

Samsung puts its money mostly in research arena. Also it employees a lot of researchers every year.

Company Background: Samsung is a South Korean multinational company those starting its business as a small trading company and right now becoming world largest corporation. The company deals with its business in several sectors such as advance technology, finance, petrochemical, semiconductors, plant construction, skyscraper, medicine, fashion, hotels, chemical and others. The company was established in 1969 in Suwon, South Korea and known globally for its electronic products (Kelly, 2011). The company is manufacturing several latest technologies, electronic appliances such as mobile phones, tablets, laptops, TVs, refrigerators, air conditioners, washers and other products. The company runs its operations and sales its products in 61 countries with approx 160,000 employees in all over the world (SAMSUNG, 2014). Moreover, the company acquired the position of the world biggest IT maker in 2009 by beating the Hewlett-Packard (HP) previous leader. Its sales revenue in the segment of LCD and LED is the highest in the world. Furthermore, Samsung also becomes world leader in the segment of tablets, mobile phones and gadgets.

Samsung Electronics Corp. is one of the world’s major semiconductor manufacturers and is the largest information technology company in the world. SEC manufactures almost all kinds of consumer devices, which include mobile phones, tablets, DVD players, digital TVs, digital still cameras; computers. It also manufactures color monitors, LCD panels, printers; semiconductors such as DRAMs, static RAMs and flash memories. The company, which is the flagship of Samsung Group is also into making display drivers & communication devices ranging from wireless handsets and Smart-phones to networking gear.

In my conclusion, I would like to emphasize that SAMSUNG has a quite distinctive way to carry on its business. From the part of visible aspects, it has a different way to build up its image by emphasizing the blue color, while other competitors such as SONY and APPLE focus on the shape of logos to do the same thing. From another aspect of organizational culture, the invisible aspects, we can find its effort to be adjusting well to a society where the organization affects. It tries to contribute its profit to the society by offering an educational service, a welfare service and even some public performances and so on. Although, it has been obvious that such a large co-operation company like SAMSUNG has a responsibility to contribute its profit to make the society better, SAMSUNG`s profit contribution policy is very well-organized so, it can be a very own aspect that SAMSUNG has. Lastly, its managerial structure has an incredibly unique way to communicate to each other and get a new idea from people. It has a very strict hierarchical structure that is carried out by people in the organization all the time, but

Samsung is one of the world’s premium electronics manufactures. The estimated value of Samsung brand had risen from US$6.37 billion in 2001 to US$10.85 billion in 2003. A major factor behind this impressive growth had been Samsung’s effort to redefine itself as a vendor of cutting-edge, “gee-whiz” consumer technology. Samsung believed that repositioning the brand is a vital to the company’s future success.