Samsung Electronics Case Summary

1816 Words Nov 5th, 2012 8 Pages
SAMSUNG ELECTRONICS SUMMARY
Under Kun Hee Lee’s leadership Samsung has risen to become the world’s leading memory producer for all types of PCs, game players, digital cameras and other electronic equipments. In 1987, Samsung was a “bit player”, years behind its key Japanese rivals. In 2003 Samsung’s memory division is bigger than that of Japanese rivals in both size & profits. The memory chip industry was expected to face cyclical downturn in 2005 and Samsung survived two previous downturns still some outside believers believed that the Chinese entry would fundamentally change industry conditions in the years ahead.
There has been a strong growth in economic importance of Semiconductor industry over the previous five decades.
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In 2005, it had more than 25 R&D locations around the globe.
Micron Technology: It is Idaho-USA based company founded in 1978, Acquired Texas Instruments, plants in Texas, Italy, Japan, &Singapore. It purchased Dominion Semiconductor from Toshiba and is backed by Intel.
Nanya Technology Corporation: It is the fifth-largest DRAM, Taiwan based manufacturer. In 1998 it purchased DRAM technology from IBM. Nanya and Infineon formed a joint venture named Inotera producing 256Mbit DRAM starting in June 2004.
Semiconductor Manufacturing International Corp. (SMIC): Established in 2000 and headquartered in Shanghai, China. It took designs from other firms and produced chips based on blueprints. In 2003, SMIC signed agreement with Infineon & and later with Elpida to license technology to SMIC in exchange for purchasing rights to much of the output. It also bought production facility from Motorola.
COMPANY OVERVIEW:
In 2005 it was the largest conglomerate (called Chaebol) in South Korea. The total net sales of the group had reached $135 billion in 2004. In 2004 the goup had 337 overseas operations in 58 countries and employed 212,000 people worldwide. Three core business sectors were Electronics, Finance, and Trade & Services. Samsung Electronics was established in 1969 to manufacture black-and-white TV sets. At the end of 2004 the company had $78.5 billion net sales, $66 billion in assets, 113,000

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