Samsung Case Analysis

2006 WordsJun 27, 20099 Pages
Issues As South Korea’s largest conglomerate, Samsung includes Samsung Electronics, Samsung Heavy Industries, and Samsung Engineering & Construction. Started in 1938 as a company that produced agricultural products, the company began to focus on shipbuilding, chemicals, and textiles in 1970. Since after Samsung Electronics Company (SEC) was founded in 1969, Samsung acquired a semiconductor business and supplied global markets with massive quantities of commodity products. With the transformation that was led by the leadership of SEC Chairman Kun Hee Lee, Samsung rebuilt its image as a global business leader. Following the chairman’s new management initiative, Samsung is now in a stage of investing in innovative and premium products to…show more content…
   17,000 scientists, engineers, and designers worked in Samsung’s R&D centers, costing $2.45 billion annually. Developed pillar products which increased marketing support ‘World-first’ products in their respective industries Competition Major Players in the Marketplace Sony is Samsung’s major competitor, although Sony is more focused on developing proprietary software and content, whereas Samsung focuses on hardware. Sony is a multinational conglomerate corporation headquartered in Minato, Tokyo, Japan. Sony is also one of the leading manufacturers of electronics, video, communications, video games consoles, and information technology products. (www.wikipedia.com) Strategies of Major Competitors Sony’s strategy is spending three times as much as Samsung on advertising each year. By developing software and entertainment, such as PlayStation, they can appeal more to the youth market. Customer Customer Needs/Perceptions Trends       Living on demand and in control From consumers to “experiences” Technology has gone from “wow” to “oh” Living the converged life Milling the moment Moving by instinct Company Description, Core Competencies, Current Revenue and Profits In 2002, Samsung recorded net profits of $5.9 billion on sales of $44.6 billion. Breakdown of Samsung Sales and Operating Profits in 2002 Sales $11B $11B $13.9B $3.8B $4.8B
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