1. How was Samsung able to go from copycat brand to a product leader? When in 1993, Samsung’s CEO Lee decided to create a new type of management. he viewed this as a huge strategy for the company. The goal this new management had was to basically dethrone Sony and make Samsung the #1 company in selling electronics in the world. Samsung hired a group of innovative and young inventors to help come up with new ideas and products that would have success in the market, targeting high-end users. Samsung also abandoned its low-end distributors like Walmart, and decided to work with high-end distributors like Best Buy. This became the process to which Samsung later becomes a product leader. 2. Is Samsung’s product development process customer centered? Team based? Systematic? I believe thanks to Samsung’s new management the product development really focuses on all these three aspects. It is customer centered because this new management makes every product pass the “Wow” test, and if it didn’t get the “Wow” during marketing testing, it had to go back to the design studio. By this, Samsung is trying to create more customer satisfying experiences because it is focusing on the reaction the customer will have towards its products. It is team based and systematic because in this new management everyone needs to work as a team, in the different departments, so the products can end up being successful in the market. 3. Based on the PLC, what challenges does Samsung face in managing its high-tech products? Samsung has had 17 years of incredible success, and now it is on the decline stage of its products. That’s why CEO Lee decided to create a new strategy called the “mabuljungje” which is a Chinese axiom that means “horse that does not stop”. Samsung’s investment plan is of 23 billion. This means that Samsung is not going to do nothing while they’re still successful, they instead are going to keep running and find ways to continue being successful in the future.
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