Samsung case study essay

SMIC seems hard to get core technology from their partners unless forming a joint venture. However, cooperating with chip manufacturers in Taiwan seems more attractive for the leading technology owners. However, memory chip industry is a tech-oriented industry, Samsung can still maintain its leading position because its advantage in innovation. What Samsung should concern is that the fast growing Chinese market estimated to be the second-largest semi-conduct buyer intheir global competitors may get market-entry advantages through cooperating with SMIC.

Samsung case study essay

This paper examines Samsung Electronics successful growth strategy in the mobile phone business. It examines its early efforts at developing a competitive product in the domestic market, its globalization strategies, and some of the key challenges it faces today. The paper provide insights into how a late-comer to an industry can overcome certain disadvantages and successfully position itself as a widely respected and successful brand.

L 63, M10 Key words: Samsung, mobile phone, strategy? Introduction For Samsung Electronics, was a watershed year. Indeed, when it first made the decision to enter the mobile phone business, industry observers viewed the move Samsung case study essay foolhardy and reckless.

It had also surpassed Sony, which had been a benchmark for Samsung, in terms of revenues and market capitalization. Exhibit 2 Few would deny the claim that Samsung has achieved remarkable success in the global market.

Samsung case study essay

As such, it could be worthwhile to take a closer look to find out which factors have contributed most to its success. The objective of this study is to gain helpful insights into how a late-comer to an industry can overcome certain disadvantages and successfully position itself as a widely respected and successful brand.

Samsung Electronics Samsung Electronics was established in in order to provide an engine of future growth for the Samsung Group.

Though the electronics industry seemed promising in the s, none of the Korean firms had advanced technology. Samsung began by producing low-end black—and-white televisions in a joint venture with Sanyo, a Japanese electronics company.

During the s, it expanded its business lines to personal computerssemiconductors, and telecommunication networks and devices For years, Samsung was regarded as a low-end product manufacturer that made cheaper alternatives to the high-end Japanese products.

Its products were not considered to be very reliable, and it did not have a very strong reputation amongst consumers. It was the first case in Korea that Samsung, a domestic latecomer, successfully caught up incumbents and even became better than them in the world market.

To secure human resources, Samsung recruited many KoreanAmerican engineers with semiconductors expertise, offering them attractive compensation and benefits. Despite a major surge in its semiconductor business, Samsung was losing money in its appliance business during the mids, as it had not managed to improve the quality and image of its products.

To cope with its difficulties, Samsung launched a bold restructuring initiative in It also shifted more of its resources to the LCD Liquid Crystal Display and mobile phone businesses in order to diversify its revenue sources, which had previously relied on the semiconductor business.

The emphasis on profitability and shareholder value was not typical of Korean firms at that time. As the result of many years of reorganization, Samsung now has four major divisions: In desperation, they decided to obtain a rough picture of a Japanese-made mobile phone. Then they asked the Samsung branch in Japan to send them a Japanese car-phone.

Samsung case study essay

After disassembling and reassembling the sample car-phone hundreds of times, the engineers roughly understood how a mobile phone works. InSamsung was able to release its first built-in car phone, the SC But the result was disastrous. The quality was so poor that many customers filed complaints, and the company ended up cutting the number of engineers in the development team from forty to ten.

Ki Tae Lee, the then-head of the Wireless Development Team and the current president of the Telecommunications division, found himself in a major quandary in deciding whether or not to continue the mobile business. Ki Tae Lee decided to stay on track.

He asked the company to buy ten Motorola mobile phones for benchmarking. It was a big expenditure for the company at the moment. Each unit cost about 2 million won, while the expected return on investment was uncertain.

His engineers then went to work on analyzing them. Many of the phones were disassembled, and many were dropped or thrown away. They tested several aspects such as product design, quality, durability, and optimal environment for communications.

It was the first hand phone to be designed and manufactured in Korea.Essay case study for Samsung countries where sweatshops are prevalent like India, wages are extremely low and unfair (Arnold ).

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I. Summary of the Facts This case study analysis is on Samsung Electronics Company (SEC) and how it has climbed up the ranks in the past decade via calculated marketing strategies, extensive market research and analysis, and a risky bet on how the market will evolve.

Many of these goals include innovation, because of this Samsung has devoted mass amounts of resources for research, Samsung has research centers in Moscow, America, India and many more countries around the world. Apple Vs Samsung Case This Case Study Apple Vs Samsung Case and other 64,+ term papers, college essay examples and free essays are available now on Autor: Cacé Almeida • October 8, • Case Study • Words (2 Pages) • Views/5(1).

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