Marketing History Of Samsung

Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. (Approved October 2007) http://www.marketingpower.com/aboutama/pages/definitionofmarketing.aspx

The Case –study represents the Samsung’s marketing-mix strategies from 1980’s to 2003 in the attempt to redefine its brand globally namely the product diversification, development and differentiation strategies. It discusses the various Product, Pricing, Distribution and Promotional strategies and activities pursued to attain its objective. This is followed by the detailed market segmentation with the central theme of profit maximization by means of increasing sales volumes. The case – study suggests a means to apply marketing theories in a practical situation, by making critical analysis of the marketing elements. A reflection on the case-study is done at the end of each four question discussed , to aid the decision

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.

Samsung is a well-known and acknowledged industry leader in the digital arena. The digital powerhouse strives to create superior products and services hoping to improve the lives of their customers around the world. Samsung has diversified their company products from consumer electronics, to telecommunications, home appliances and now a smart car. Samsung has shown that the successful diversification that it has been able to integrate into its operations has become an essential element in the company’s strategic plans. Samsung’s technology products include the screen technology, TVs, batteries and chip design. It also has manufacturing operations such as general manufacturing which comprises semiconductors and components, system production which involves applications and software and the device assembly packaging like the label assembly and batteries (Hong, 2012).

The success of the electronics business has led Samsung from not just being an industry leader in technology but also ranks as a top 10 global brand. This digital age has brought about revolutionary changes and opportunities to global businesses and the response of Samsung to these advancements in the field of technology, competitive products and constant level of innovation has showed promising results. Although it involves a line of multifunctional smartphones which is the new face and looks, the company has been around developing and making strides in the electronics field since 1983.the parent company of Samsung mobile, Samsung electronics was founded in 1969. From the development of televisions to newly customized home appliances, Samsung Mobile’s new a leading competitor in the smartphone business in India along with Micromax and Karbonn.

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.

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 is a South-Korean company and its headquarters is in Samsung Town, Seoul (Samsung, 2014). Samsung is made up of 80 companies together. At present Samsung branches exists in 61 countries. Samsung is one of the world 's leading manufacturer in the Android mobile (smart) phone industry. Samsung after releasing the smart phones in the name of Samsung galaxy series which started with Galaxy Y basic model. Later Samsung released S series which got overwhelmed response all around the world. On 24 February 2014 Samsung released Galaxy S5 which was an immediate and quick successor after Galaxy S4 the previous model. When designing the Galaxy S5 Samsung worked on the drawbacks of the previous models and improved camera quality, running speed, finger print reader, private mode, dust and water resistance (Andrew, 2014). In this analysis I have researched and proved that Samsung organization used Integrated marketing and communications on basis of their target audiences, message strategy and media choices.

Marketing is one of the important elements of every company. By applying good methods of marketing, any company is able to achieve its goals. This report focuses on how Samsung company become world’s famous by applying three strategy namely pricing,placing and promotion. secondary method of data collection was used for this report

Samsung was founded in 1969 in Suwon, Korea. Since then it has become a global leader in information technology, with more than 200 subsidiaries under its belt. The firm deals in electronics ranging from televisions, refrigerators, monitors, washing machines, tablets and smartphones. Moreover, Samsung provides electronic components, for instance, non-memory semiconductors and Dynamic Random-Access Memory (DRAM). Even though the company has been rocked with misfortunes in its mobile telecommunication platforms, it promises quality products and services that lead to better and smarter lifestyles. The company is at the forefront of championing for ground-breaking innovations true to its mantra and vision 2020 of ‘Inspiring the World, Creating the Future’ (Samsung Electronics, 2017).

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.

Now, Samsung can be sure that they are one of the major mobile phone markets in the world; the company sold most mobile phone in 2012, accounting for 22 percent of the market. Samsung’s mobile market success starts when the company brings out the idea of brand new touch-screen smartphone in 2008. Samsung releases their first Galaxy S Series, S stand for success, in March 2010 which was the company’s first actual attempt to take on the iPhone; iPhone was the most popular and number one selling smartphone in that time. Later, Samsung becomes success at growing its company as a major mobile company by launching Galaxy S2, S3, and

When the mobile phone is expensive the full time employees can purchase the phone as partial payment so that the monthly amount will be reduced. In that case the customers will search for more details and will select the best mobile phones which meet their requirement. The part time employees and self-employed respondents are also using Samsung mobile phones due to their income level. The reason for lower usage by the unemployed respondents and the students can be mainly due the absence of permanent income level and the price of the mobile phone. When considering the above facts it is clear that the price of the mobile phone and the income level of the customer heavily affect the purchasing decision of the mobile phones.

Utilizing its vertical integration, it is able to keep the costs down while also coming out with highly innovative and differentiated products, through massive spending in R&D. Samsung’s expertise in voice/data convergence, wired, wireless communications and core network technologies has produced a family of ground-breaking business communications solutions that are redefining the rules of the game. The brand loyalty is reasonable in the mobile handset market and so it can be said that switching costs for customers are reasonable. In this sense, for Samsung, it is possible to differentiate the product, switching costs for customers are reasonable, and there is huge potential for cost reduction from economies of scope.

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.