Assignment on Samsung Mobile Phones
Samsung Electronics Group is a South Korean multinational conglomerate company headquartered in Samsung Town, Seoul. It comprises numerous subsidiaries and affiliated businesses, most of them united under the Samsung brand, and is the largest South Korean chaebol.
Notable Samsung industrial subsidiaries include Samsun (the world's largest information technology company measured by 2012 revenues), Samsung Heavy Industries (the world's second-largest shipbuilder measured by 2010 revenues), Samsung Engineering and Samsung C&T (respectively the world's 35th- and 72nd-largest construction companies), and Samsung Techwin (a weapons technology and optoelectronics manufacturer). Other notable subsidiaries include Samsung Life Insurance (the world's 14th-largest life insurance company), Samsung Everland(operator of Everland Resort, the oldest theme park in South Korea) and Cheil Worldwide (the world's 19th-largest advertising agency measured by 2010 revenues).
Samsung produces around a fifth of South Korea's total exports and its revenues are larger than many countries' GDP; in 2006, it would have been the world's 35th-largest economy. The company has a powerful influence on South Korea's economic development, politics, media and culture, and has been a major driving force behind the "Miracle on the Han River".
Samsung mobile phones have created a big demand in the market. There have been a lot of Samsung cell phones which have sustained in the market. For instance, we will concentrate on the latest models like Samsung S, Samsung S II and Samsung S III.
The Law of Demand
The law of demand states that, “ Other factors remaining the same, the demand for a product increases if the price falls and decreases if the price rises.”
This law operates when the commodity’s price changes and all other prices and conditions do not change.
The main assumptions are:
• Habits, tastes and fashions remain constant.
• Money, income of the consumer does not change.
• Prices of other goods remain constant.
• The commodity in question has no substitute or is not in competition by other goods. • The commodity is a normal good and has no prestige or status value. • People do not expect changes in the price.
• Price is independent and demand is dependent.
The graph shows that as price increases from Re.1 to Rs.5, the quantity decreases from 50 to 10.
Innumerable factors and circumstances could affect a buyer's willingness or ability to buy a good. Some of the more common factors are:
Good's own price: The basic demand relationship is between potential prices of a good and the quantities that would be purchased at those prices. Generally the relationship is negative meaning that an increase in price will induce a decrease in the quantity demanded. This negative relationship is embodied in the downward slope of the consumer demand curve. The assumption of a negative relationship is reasonable and intuitive. If the price of a new novel is high, a person might decide to borrow the book from the public library rather than buy it. Personal Disposable Income: In most cases, the more disposable income (income after tax and receipt of benefits) you have the more likely you are to buy. Tastes or preferences: The greater the desire to own a good the more likely you are to buy the good There is a basic distinction between desire and demand. Desire is a measure of the willingness to buy a good based on its intrinsic qualities. Demand is the willingness and ability to put one's desires into effect. It is assumed that tastes and preferences are relatively constant. Consumer expectations about future prices and income: If a consumer believes that the price of the good will be higher in the future he is more likely to purchase the good now. If the consumer expects that his income will be higher in the future the consumer may buy the good now....
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