MKT2013

Marketing Management

ASSIGNMENT:
SAMSUNG Study Case

PREPARED FOR :
Puan Noorasyikin

PREPARED BY:

HAZRUL HAZRIL BBAP18076333

MUHAMMAD NOR HANAFI BBAP18076315

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 MKT 2013 : Marketing Management
Samsung Case Study
1. Executive Summary
Samsung in its creations was created as a dry exporter of fish, vegetables, and fruits in
Korea, the company grew to be the provider of valuable commodity products in the
1970s and 1980s of original equipment manufacturers (oems) sold under the brand their
own. When the founder of samsung died in 1987, his son kun-hee succeeded and
restructured the company with the aim of being one of the world's leading electronics
companies. Samsung initially focused on volume and market dominance over profits.
Samsung is now a consumer electronics giant Samsung has made tremendous
transformation since its inception in 1938.
2. Problem Statement
Samsung initially focused on volume and market domination rather than profitability.
During the asian financial crisis of the late 1990s, other Korean chaebols of
conglomerates collapsed beneath a mountain of debt, but Samsung took a different
approach. The company cut costs and refocused its vision on product quality, complete
customer satisfaction, and manufacturing flexibility. This revolutionary strategy allowed
its consumer electronic products to go from project phase to store shelves within six
month. Samsung invested heavily in innovation, and many of its product-from semi-
conductors to lcd screens-gained significant market share and became industry leaders in
their respective categories.

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3. Marketing Situation
a) Economics Factors
Today, Samsung is a global marketer of premium-priced, Samsung –branded
consumer electronics such as smart phones, flat-screen tvs, digital cameras,
batteries, digital appliances, and semiconductors.the company’s high-end smart
phones and cell phones are now its growth engines, leading to a steady streamof
innovations including the first cell phone with an MP3 player, the first blue-ray
disc player, and the first smartwatch.
b) Socio-Cultural Factors

Samsung made innovation one of its higher priorities and emphasized its
importance through extensive training and recruiting.as a result, it introduced a
wide range of electronic products under its strong brand.
c) Technologies Factors
Samsung also partnered with longtime market leader Sony to create a $2 bilion
state-of-the-art LCD factory in south korea and signed a milestone agreement to
share 24,000 basic patents for components and production processes.
d) Environmental Factors
Samsung’s success has been driven not only by successful product innovation, but
also by aggressive brand building.
e) Legal Factors

The Samsung Company is facing bulky lawsuits and battles as regards the
imitation case of the Apple’s that is the iPhone and iPad. The imitation case has
caused a bad image to the Samsung brand.

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4. SWOT Analysis
Strength Weaknesses
 Samsung is a global marketer of
premium-priced,
 Samsung branded consumer electronics
such as smart phones, flat-screen tvs, NIL
digital cameras, batteries, digital
appliances, and semiconductors.

Opportunities Threats
 Samsung unique because, unlike rival  Samsung faces competitors in several
firms, it has become a global leader in different industries, including Google
making both the components for and Apple.
electronics products and the actual
devices sold to consumers.
 It controls virtually everything in the
smart phone supply chain, from the
chips to the screen, while apple has to
cutsource these products.
 Samsung can keep costs low, create
many products for many needs, make
design changes quickly, and introduce
new products at an unusually fast pace.

5. Marketing strategy
Samsung continued to pour money into R&D during the 2000s, budgeting $40 bilion for
2005-2010 alone.the company made innovation one of its higher priorities and
emphasized its importance through extensive training and recruiting.as a result, it
introduced a wide range of electronic products under its strong brand. Samsung also
partnered with longtime market leader Sony to create a $2 bilion state-of-the-art LCD
factory in south korea and signed a milestone agreement to share 24,000 basic patents for
components and production processes.

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6. Action programs
Samsung’s success has been driven not only by successful product innovation, but also
by aggressive brand building. The company has spent billions of dollars in marketing
over the past decade, including sponsoring the Olympics since 1998 and running several
global ad campaigns themed “imagine,” “quietly brilliant,” and “ men are idiots,” all of
which included brand messages such as “technology.” “ design,” and “ human sensation”.
In 2005, Samsung surpassed sony in the interbrand ranking for the first time, and it
continues to outperform sony today.
7. Suggestion
Samsung has to make technological innovation and use all the internet access required by
the customers and the quality of the product itself is still superior so the subscribers
increase especially in Asia. In order to increase market share, Samsung has to be
ambitious to master the world's mobile market. Various kinds of marketing strategies
need to be done by Samsung to attract consumers. Here's how to keep up with android
enthusiasts with today's increasingly sophisticated OS. This will make Samsung up to
date especially in the Asian market.
8. Conclusion
Samsung externally and shows that Samsung has it is differentiated itself as it fights the
traitorous worldwide customer market landmine. Undeniably, as Samsung soldiers to
advance its worldwide footprint, the elements of danger could not have been more
prominent in a recessionary period and a uber-modest technological market setting.
Today, Samsung is a global marketer of premium-priced, Samsung –branded consumer
electronics such as smart phones, flat-screen tvs, digital cameras, batteries, digital
appliances, and semiconductors.the company’s high-end smart phones and cell phones
are now its growth engines, leading to a steady streamof innovations including the first
cell phone with an MP3 player, the first blue-ray disc player, and the first smartwatch.

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Reference
Gillespie, A, 2007, PESTEL analysis of the macro-environment. Foundations of
Economics, Oxford University Press.
Hill, T., & Westbrook, R, 1997, SWOT analysis: it’s time for a product recall, Long
Range Planning, 30(1), 46-52.