Preview

Culture, Goal-Oriented Communication (Leadership), and a Fast Growing Organization: the Case of Samsung Electronics

Powerful Essays
Open Document
Open Document
18798 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Culture, Goal-Oriented Communication (Leadership), and a Fast Growing Organization: the Case of Samsung Electronics
Culture, Goal-Oriented Communication (Leadership), and A Fast Growing Organization: the case of Samsung Electronics
Hur, Chulboo, Professor Emeritus, Myongji University, Seoul, Korea and Adjunct Professor of Business Management, Yanbian University of Science and Technology, Yianji, Jilin, China Mobile phone 010-9872-7492, e-mail: chulhur@hotmail.com and cbhur@mju.ac.kr

Summary
In response to the globalization and rapid economic growth of China, the Korean economy has transformed itself. A few Korean firms, spearheaded by Samsung Electronics, have successfully driven the economy, even if the Korean economy has difficulty in the ‘nut cracker’ situation. The success of Samsung Electronics has been attributed to the strategies of ‘selection and concentration,’ ‘successful restructuring following the IMF crisis,’ ‘long-term vision and unprecedented risk-taking strategy,’ ‘speed management,’ ‘world class brain management’ and ‘successful benchmarking of both Japanese and American management,’ among others.

But in regard to Samsung’s strategies, cogent questions need to be examined. For example, would any Korean firm be able to apply the same strategies as used by Samsung Electronics, and produce the same success? No one could confidently say yes to this question.

Samsung Electronics has dramatically achieved a successful transformation between 1987 and 1999. We argue that this is the result of Mr. Lee, Kun Hee (the ex-CEO of Samsung Group)’s strategic learning leadership and its resultant paradigm shift, and that this can be applied to the emergence phenomenon of complexity theory that provides the momentum of evolution of the corporate cultural and/or core competence. The paper explores the dynamic process of this phenomenon.

1

1.

Introduction: Korean Economy and Samsung Electronics

After three decades of rapid industrial growth, in itself a dramatic transformation from the poverty-stricken agricultural economy of 1961, the Korean industries

You May Also Find These Documents Helpful

  • Good Essays

    EGT1 Task4

    • 928 Words
    • 4 Pages

    In Asia, Korea is becoming a super power and is challenging the world economic leaders. The Asian market has under gone massive social and economic changes at a staggering rate. Korea’s economic growth has grown substantially in the last four decades. Based on statistical analysis, Korea could potentially overtake the United States (global economic leader) within a few decades becoming the world’s largest economy in terms of gross domestic production.…

    • 928 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    BRICs and MITSk Project

    • 794 Words
    • 3 Pages

    My report is all about Mitsk member – South Korea, “Land of the Morning Calm” a country with dynamic energy. Just 60 years ago, Korea was a country devastated by war and poverty. The elements that have made Korea a key player in the international economy include aid from the international community, Koreans devotion to work, the steady efforts of successive governments to open up its economy and corporate efforts to innovate and enhance their international competitiveness. Between 1970 and 2011, Koreans GDP grew by more than 144 times, from $8.1 billion to $1.16 trillion. Between 1961 and 2011, Koreans GDP per capita grew by more than 280 times, from $82 to $22,778. So far this millennium, Korea has achieved an average annual economic growth rate of about 4.5% and maintained strong economic vibrancy (Korea Trade-Investment Promotion Agency, n. d.).…

    • 794 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Over the last two years, South Korea’s economy has recovered from the 1997 East Asian economic crisis faster than anyone expected. Indeed, Korea has become the new poster child for the “free market” economic restructuring the International Monetary Fund (IMF) is peddling to a…

    • 261 Words
    • 2 Pages
    Satisfactory Essays
  • Best Essays

    In the shadow of Samung’s rise many Korean companies followed the road of success. The whole Korean economy benefited from Samsung striving for innovations boosting the technological progress and development of the infrastructure in the country. So the conglomerate helped Korea to grew from a predominately rural, agricultural nation into an urban, newly industrialized country.…

    • 1690 Words
    • 7 Pages
    Best Essays
  • Good Essays

    Korea Research Paper

    • 1071 Words
    • 5 Pages

    The reasons behind Korea 's rapid economic development can be found in this innate creativity.…

    • 1071 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    Feng Han (Corresponding author) & Qiuhong Xi School of Management, Shenyang Jian Zhu University 9 Hunnan East Road, Shenyang, 130024, China Tel: 86-24-2469-2209 E-mail: hanf606@163.com…

    • 3300 Words
    • 14 Pages
    Powerful Essays
  • Best Essays

    Samsung S4 Marketing

    • 3101 Words
    • 13 Pages

    Samsung, a giant conglomerate and member of the Fortune Global 500 list, started off with humble beginnings. Founded in 1936 as a small trading company in the small town of Taegu, Korea it began by selling, “dried Korean fish, vegetables, and fruit to Manchuria and Beijing.” (Samsung.com). It quickly became one of the leading companies in Korea and the world by diversifying in many different industries ranging from heavy machinery, petrochemicals, and the topic at hand electronics. The roots of its’ electronics division began in 1969 with the founding of Samsung-Sanyo Electronics (Samsung.com History). With the division in place and the beginning of the digital age Samsung broke into the smart phone market and is currently unveiling its new product, the Samsung Galaxy S4.…

    • 3101 Words
    • 13 Pages
    Best Essays
  • Best Essays

    Thanks to the globalization, Asian economy is drawing more and more the attention of the rest of the world. Nevertheless, when we talk about economic growth in Asia, we think mostly about China, India or Japan whereas South Korean economy is staying quite unknown in Belgium. However, since the war in the Korean peninsula and the formation of the Democratic People's Republic of Korea (North Korea) and the Republic of Korea (South Korea) in 1948, South Korea has becoming a major economic power. Indeed, South Korea ranked fifteens (in terms of GDP) among the best world’s economies and fourth among Asian economies in 2009. To reach this, the Korean economy has experienced three development stages since the end of the Korean war: the economic autonomy increase from the ’50 to the ’60 in order to become less dependent on importations; the massive expansion of exportations during the ’70; the development of some industries form the ’70 until now to become one of the world leader in sectors like high technology, automotive, shipbuilding and steel industry. Furthermore, since the financial crisis of 1997, we can observe a decrease of the government intervention in the Korean economy and the development of a market-oriented economy. But South Korea is currently facing important difficulties like the lack of raw materials, the small size of the country, the competition with Chinese and Japanese industries and the political and military issues with North Korea. The purpose of this paper is to study the economic attractiveness of South Korea based on the “Diamond Model” framework of Porter (1998). We will also examine the main industries, the balance of trade and the political and commercial risks of investing in South Korea.…

    • 1853 Words
    • 8 Pages
    Best Essays
  • Satisfactory Essays

    Furthermore, culture within an organization is a social attachment which helps organization to stay together by supplying apposite principles “for what employees should say and do” (Robbins & Judge, 2007). Organizational culture is a control mechanism which forms and directs standpoints and performance of employees.…

    • 430 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    Samsung Company Analysis

    • 1239 Words
    • 4 Pages

    Samsung, one of the leading brands around the world. It sells wide range of electronic appliances and technology such as television, personal computer and mobile phone. It accounted for more than 220,000 employees across the globe with it headquartered in Seoul, South Korea (Datamonitor360). Byung-Chull Lee started his business from selling dried Korean fish with 30,000 won in 1938 under the name Samsung. According to the company record (2012), Samsung has assets value of more than 430,000 billion won recorded and net income over 20,000 billion won. With fierce competitors such as Apple, Sony and Nokia, Samsung must perform it best to secure its future. Further in this essay will be focusing on Samsung keys development to its success and SWOT analysis of this company.…

    • 1239 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    Hyundai Case

    • 14394 Words
    • 58 Pages

    Hyundai Group Trade Union Association (1994), Hyunchongryeon Danhyeobjaryojib (Data for Collective Bargaining of the Hyundai Trade Union Association), HGTUA: Seoul. Kang, Y. G. (1990), The Rise of Korean Chaebols from the Perspective of Organisation Theory, Ph.D. Thesis, University of Arizona: Arizona. Kim, K. C. and Kim, S. (1989), ‘Kinship Group and Patrimonial Executives in a Developing Nation: A Case Study of Korea’, The Journal of Developing Area, 24, October, 27-46. Kim Beoyong-ha (1991), Chaebolheyoungkwa Kiyeobka Hwaldong (Formation of Chaebol and their Entrepreneurs), Hankuk Neungyeulhyeobhoe: Seoul. Eun-Mee Kim (1997), Big Business, Strong State: Collusion and Conflict in South Korean Development, 1960 - 1980, State University of New York Press: NY. Kim Hyo-gun (1986), Hankukcaeboleui Seongjang Baljeoneoinae Kwanhan Yeonku (The Developmental Factors for the Growth of the Chaebol), Master’s Thesis, Seoul National University: Seoul. Kim Young-ho (1985), Kyungjaeeui Hyeonjang (Reality of Economy in Korea), Dongcheonsa: Seoul. Kong Byeong-ho (1992), Chaebol, Binanbadaya Hanneunka? (Why Should The Chaebol Be Criticized?), Yeyeumsa: Seoul. Kong Jae-wuk (1993), 1950nyeondaeui Hankukeui Jabonga Yeonku (Korean Capitalists in the 1950s), Baeksan: Seoul. Korean Shipbuilding Industries Association (1991), Annual Reports on Shipbuilding Industries, KSIA: Seoul. Kwon, S.H. (1997), Control and Conflict: The Historical Development of Labour Management within the Hyundai Business Group, 1946-1995, Unpublished Ph.D. Thesis, University of New South Wales: Sydney. Kuk, M. H.(1988), The Relationship between Government and Private Companies in the Industrial Development of South Korea, Ph. D. Thesis, University of Illinois, Urbana. Lazonick, W.(1986), ‘Strategy. Structure and Management Development in the United States and Britain’, in Kobayashi, K., and Morikawa, H. (eds) Development of Managerial Enterprise, University of Tokyo: Tokyo, 101-146. ........................(1991), Business Organisation and the Myth of the Market Economy, Cambridge: Cambridge. Lee Ho (1993), Jeongsangeun Yuyeonhi Ojianneunda: Chung Seyungkwa Hyundai Motor Company (Chung Seyung and Hyundai Motor Company), Wukseok: Seoul. Lee Jong-nam (1985), Chaebol, Heyonjae: Seoul. Lee Jong-seon (1989), Jungkongeob Geodaedogjeomkieobeaseoeui Nodongwundongea Kwanhan Yeonku (The Labour Movements in Large Scale and Monopolistic Heavy Industries), Master’s Thesis, Korea University: Seoul. Lee Jung-jae (1994), Chaebol Iryeokseo (The Chaebol and its Status), Hankuk Newspaper: Seoul. Lee Sung-tae (1990), Gamchueojin Dokjeomchaeboleui Yeoksa (Hidden History of Monopolistic Chaebol), Nokdu: Seoul. Maeil Economic Newspaper (1975-1994), Annual Corporation Reports, MEN: Seoul. K. Nikagawa (ed), Strategy and Structure of Big Business, Proceedings of the First Fuji Conference, University of Tokyo: Tokyo. Park Byung-yun (1982), Chaebolkwa Jeongchi (The Chaebol and Politics), Hankuk Yangseo: Seoul. Park Dong-sun (1979), Chaeboleui Bburi (Roots of the Chaebol), Taechang: Seoul.…

    • 14394 Words
    • 58 Pages
    Powerful Essays
  • Powerful Essays

    now and it will be examined how they achieved their current economic status. In order to…

    • 5791 Words
    • 24 Pages
    Powerful Essays
  • Satisfactory Essays

    Seoul had been a key location of exported-oriented industries in Korea, with its reliance on the manufacturing sector which later declined significantly due to rise in wages and strengthened unions accelerated its deindustrialization process of the Seoul economy in the late 1980’s with the flows of migrant workers from developing Asian countries, such as China, the Philippines, Bangladesh, Thailand and Pakistan into Seoul. Many local companies relocated their factories overseas where cheaper, docile labors were available. This surge of Seoul-based multinational corporations' foreign investment has been the core of the globalization of the Korean economy from its virtual location to its new actual location of economic growth.…

    • 854 Words
    • 3 Pages
    Satisfactory Essays
  • Good Essays

    MarketLine Date: Apr, 2010 Pages: 88 Price: US$ 250.00 ID: CD5491EA065EN Introduction The country analysis report on South Korea provides a wide array of analytical inputs to analyze the country’s performance, and the objective is to help the reader to make business decisions and prepare for the future. The report on South Korea analyzes the political, economic, social, technological, legal and environmental (PESTLE) structure of South Korea. The report provides a holistic view of South Korea from historical, current and future perspective. Insightful analysis on critical current and future issues is presented through detailed SCPT (strengths, challenges, prospects and threats /risks) analysis for each of the PESTLE segments. In addition, the PESTLE segments are supplemented with relevant quantitative data to support trend analysis. The PESTLE country analysis report series provides an in-depth analysis of 50 major countries. Features and Benefits Understanding gained from the country analysis report on South Korea can be used to plan business investments or market entry apart from a holistic view of the country. Political section on South Korea provides inputs about the political system, key figures in the country, and governance indicators. Economic section on South Korea outlines the economic story of the country to provide a balanced assessment on core macro-economic issues. Social section on South Korea enables understanding of customer demographics through the income distribution, rural-urban segmentation and centres of affluence, healthcare and educational scenario in the country. Technological section on South Korea provides strategic inputs on information…

    • 1531 Words
    • 7 Pages
    Good Essays
  • Powerful Essays

    In order to accelerate economic growth in the 1970’s, the Korean government formulated industrial policies that encouraged investment in heavy and chemical industry (HCI). Funded largely by government-controlled banks, affluent families took advantage of the liberal policies and set up companies in these industries. By the end of the 1970’s approximately 80 percent of fixed investment in the manufacturing sector was in HCI businesses. Between 1962 and 1982, annual growth averaged 8.4%, although by the end of the 1970’s…

    • 4541 Words
    • 19 Pages
    Powerful Essays