CASE STUDY: SAMSUNG ELECTRONICS COMPANY: GLOBAL MARKETING OPERATIONS Student Name: Nguyen Thi Thao Huong
Student ID: 201305008
1. The ingredients of SEC’s corporate turnaround strategy: At the beginning, Samsung was established to be a low-cost manufacturer of black and white televisions. They became a semiconductor which produced original equipments to sell to other brand names. After the influence of Asian financial crisis, a new management initiative was launched in order to change and turn Samsung become the global business leader. Samsung would not only produced semiconductor but also invest in innovative, premium products and brand value. It was the time to take advanced technology to produce innovative electronics goods with their own brand name. * Vertical Intergration
Samsung still remained them as a manufacturing company – the core goal from the day of in establishment. In order to lower producing cost, they located their plant outside Korea, in the place with cheap input material and human capital such as in China or India. Samsung emphasized manufacturing as a core competency in its own right. * Hardware Focus
Unlike Apple or Sony, Samsung did not focus on developing software but focus on hardware and devices. This helped to provide customers to approach more innovative software sources by their products than other compertitors. * Product Breadth
While other competitors just focused on one single category, Samsung concentrated in production diversification. Having experience in producing cheap home appliances including televisions, microwaves, and VCRs, they wanted to focus on higher-quality products across all categories (in 1997). * Digital Product Innovation
Samsung changed from analog to digital technology focusing on premium products. Samsung launched four of five new products in any year were designated pillar products. Their products are setting new...