samsung case
Samsung Electronics Questions
1. Why should Samsung globalize?
Globalization should consider as Samsung’s second strategy, as Kim mentioned in the article. The world becomes a single market, which is associated with globalized resources and systems. Globalization should consider as a beneficial and efficient plan for the company.
First of all, when Samsung goes global, Samsung can gain greater market share, increase sales and profits. In the case study, the article mentions that not only there’s a sales growth of 61% in the global market in 1994, but also Samsung’s sales has increased from $2,513 in 1980 to $115,181 (W100million) in 1994.This suggests that expending globally will increase overall revenue, reduce financing costs.
Next, Samsung should globalize because it gives Samsung access to wider markets, which provide consumers with access to a greater variety of goods and services, and also raise the greater demand in worldwide.
When Samsung goes globalize, it has long-term security in intense competition from foreign and domestic competitors. Some of the countries have excess capacity so that international trade may become a need if the company wants to keep up in marketplace and have potential cost savings.
Moreover, spread of new technologies is made easier when a company has more subsidiary companies, lands, and plants in other nations.
2. Should Samsung come to India?
Yes, Samsung should go to India. Let’s see India’s contribution in worldwide, India is a profitable market place. For instance, India was the second fastest growing market and had the third GDP in Asia, and India was the fifth largest economy in the world. Also, India offers high prospects for growth and earning. To sum up, India could consider as a massive market, Samsung should go to India.
From the domestic side, we can see that India changed their policies to provide several advantages for doing business. For example, delicensing of industrial investments, deregulation of
1. Why should Samsung globalize?
Globalization should consider as Samsung’s second strategy, as Kim mentioned in the article. The world becomes a single market, which is associated with globalized resources and systems. Globalization should consider as a beneficial and efficient plan for the company.
First of all, when Samsung goes global, Samsung can gain greater market share, increase sales and profits. In the case study, the article mentions that not only there’s a sales growth of 61% in the global market in 1994, but also Samsung’s sales has increased from $2,513 in 1980 to $115,181 (W100million) in 1994.This suggests that expending globally will increase overall revenue, reduce financing costs.
Next, Samsung should globalize because it gives Samsung access to wider markets, which provide consumers with access to a greater variety of goods and services, and also raise the greater demand in worldwide.
When Samsung goes globalize, it has long-term security in intense competition from foreign and domestic competitors. Some of the countries have excess capacity so that international trade may become a need if the company wants to keep up in marketplace and have potential cost savings.
Moreover, spread of new technologies is made easier when a company has more subsidiary companies, lands, and plants in other nations.
2. Should Samsung come to India?
Yes, Samsung should go to India. Let’s see India’s contribution in worldwide, India is a profitable market place. For instance, India was the second fastest growing market and had the third GDP in Asia, and India was the fifth largest economy in the world. Also, India offers high prospects for growth and earning. To sum up, India could consider as a massive market, Samsung should go to India.
From the domestic side, we can see that India changed their policies to provide several advantages for doing business. For example, delicensing of industrial investments, deregulation of