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Samsung Electronics—A Detailed Case Study

Devashish Shrivastava

Devashish Shrivastava

Samsung is a South Korean electronic gadget manufacturer in Samsung Town, Seoul. Samsung Electronics was established by Lee Byung-Chul in 1938 as an exchanging organization.

We all know this information about Samsung. Don't we? But what we don't know? Do you know how much Samsung has grown in these years? What are the Future Plans of Samsung? How much Samsung invested in its R&D? What difficulties did the company face coming all this way? What is the history behind this multinational conglomerate?

Don't worry we got you covered. We have penned down a detailed Case Study on Samsung Electronics. Let's find out in this thoroughly studied Samsung case study.

Let's start the detailed case study from here.

Samsung entered the electronics industry in the late 1960s and the development and shipbuilding ventures in the mid-1970. Following Lee's demise in 1987, Samsung was divided into five business groups - Samsung Group, Shinsegae Group, CJ Group, Hansol Group and Joongang Group.

Some of the notable Samsung industrial subsidiaries include Samsung Electronics, Samsung Heavy Industries  Samsung Engineering, and Samsung C&T (separately the world's 13th and 36th biggest development companies). Other notable subsidiaries include Samsung Life Insurance, Samsung Everland, and Cheil Worldwide.

Samsung has a powerful influence on South Korea's monetary advancement, legislative issues, media, and culture. Samsung has played a significant role behind the "Miracle on the Han River". Its subsidiary organizations produce around a fifth of South Korea's complete exports. Samsung's revenue was equivalent to 17% of South Korea's $1,082 billion GDP.

History of Samsung Electronics Samsung's Business Strategy Samsung Rides High In India Business Growth in India Future Plans of Samsung FAQ's

History of Samsung Electronics

samsung case study strategic management

1938 (Inception of Samsung)-

  • In 1938, Lee Byung-Chul (1910–1987) of a huge landowning family in the Uiryeong region moved to nearby city Daegu and established Samsung Sanghoe.
  • Samsung began as a little exchanging organization with forty representatives situated in Su-dong. It managed dried fish, privately developed staple goods and noodles. The organization succeeded and Lee moved its head office to Seoul in 1947.
  • When the Korean War broke out, Lee had to leave Seoul. He began a sugar processing plant in Busan named Cheil Jedang. In 1954, Lee founded Cheil Mojik. It was the biggest woollen factory in the country.
  • Samsung broadened into a wide range of territories. Lee wanted to build Samsung as a pioneer in a wide scope of enterprises.
  • In 1947, Cho Hong-Jai, the Hyosung gathering's organizer, put resources into another organization called Samsung Mulsan Gongsa or the Samsung Trading Corporation with Samsung's founder Lee Byung-Chul. The exchanging firm developed into the present-day Samsung C&T Corporation .
  • After few years in business, Cho and Lee got separated due to the differences in the management style. In 1980, Samsung acquired the Gumi-based Hanguk Jeonja Tongsin and entered the telecommunications market . During the initial days, it sold switchboards.

1987 (Demise of Lee Byung-Chul)-

  • After Lee's demise in 1987, the Samsung Group was divided into four business gatherings—Samsung Group, Shinsegae Group, CJ Group, and the Hansol Group.
  • One Hansol Group agent stated, "Just individuals uninformed of the laws overseeing the business world could think something so ridiculous," while also adding, "When Hansol got separated from the Samsung Group in 1991, it cut off all installment assurances and offer holding ties with Samsung subsidiaries."
  • One Hansol Group source attested, "Hansol, Shinsegae, and CJ have been under autonomous administration since their particular divisions from the Samsung Group."
  • One Shinsegae retail chain official executive stated, "Shinsegae has no installment certifications related to the Samsung Group." In 1982, it constructed a TV get-together plant in Portugal, a plant in New York in 1984, a plant in Tokyo in 1985 and an office in England in 1996.

2000 (Samsung in 20th Century)

  • In 2000, Samsung opened a development center in Warsaw, Poland. It started with set-top-box technology before moving to TV and cell phones. The cell phone stage was created with accomplices and formally propelled with the first Samsung Solstice line of gadgets and different subordinates in 2008. It later emerged into the Samsung Galaxy line of gadgets that is Notes, Edge, and other models.
  • In 2010, Samsung declared a ten-year development system based on five businesses. One of these organizations was to be centered around bio-pharmaceuticals in which ₩2,100 billion was invested.
  • In the first quarter of 2012, Samsung Electronics turned into the world's biggest cell phone creator by unit deals, surpassing Nokia which had been the market chief since 1998.
  • In 2015, Samsung was granted U.S. patents as compared to other organizations like IBM , Google , Sony, Microsoft , and Apple. Samsung got 7,679 utility licenses before 11 December 2015.
  • On 2 August 2016, Samsung Electronics revealed the Galaxy Note7 smartphone, which went on sale on 19 August 2016. At the beginning of September 2016, it halted its selling of smartphones due to some problems with the smartphones. Samsung suspended the selling of the smartphones and recalled its units for inspection.
  • This happened after certain units of the telephones had batteries with a deformity that made them produce extreme warmth, prompting flames and blasts. Samsung replaced the reviewed units of the telephones with a new version. It was later found that the new version of the Galaxy Note 7 also had the same battery deformity.
  • Samsung recalled all Galaxy Note7 cell phones worldwide on 10 October 2016 and permanently ended its production on the same day.

Samsung's Business Strategy

samsung case study strategic management

Great business strategies have been applied by Samsung over the years. Not very far back, Samsung wasn't as famous as now. Samsung has now advanced so much that it is the principal contender of Apple Inc. Samsung is the biggest tech business by income and the seventh most significant brand today. The showcasing procedure it applied encouraged Samsung electronics to turn into an industry driving innovation organization.

The Samsung marketing strategy was one of the best systems at any point because it helped a cost-driven organization to change its structure and become a power producer. Due to the consistently changing tastes of purchasers in the innovation business, organizations needed to pursue the pace and offer dynamic and advancing devices to their clients. In this way, Samsung additionally needed to change to pick up the high ground available, and the new Samsung showcasing methodology was the way to advancement.

Some of the business strategies of Samsung Electronics are listed below:

Promotional Mix Of Samsung

Samsung has arrived at fantastic statures with its cell phones which helped the brand to turn into an image of value and unwavering quality for its purchasers.

Samsung Marketing Mix Pricing Strategy and Samsung Advertising Methodology are the two estimating techniques used by the organization. Other than its items, Samsung is celebrated for its customer support . However, item variety is the most dominant part of the promoting blend of Samsung.

  • Skimming Price

Like Apple , Samsung uses skimming costs to pick up the high ground over its rivals. For example, Galaxy S6 and S6 Edge are the brand's new results of Samsung conveying the trademark "Next is Now" and guaranteeing that they are the best smartphone maker at any point made.

What will happen when different contenders will dispatch a cell phone with indistinguishable highlights? Straightforward. Samsung will bring down the cost and effectively steal the customers from its competitors.

  • Focused Pricing

Samsung experiences issues in increasing an edge over its rivals with different items. Doubtlessly, Samsung is a credible brand. However, regarding home appliances, it can't be in any way, shape, or form outperform LG In the cameras segment and other home appliance units. Also, Samsung cannot compete with Canon and Nikon.

For Samsung to withstand this savage challenge, it's crucial to utilize aggressive valuing of its products. Moreover, Samsung is neither a newbie underway nor non-inventive. For the most part, it is often the first company to be innovative with its products and present a change among its competitors.

  • Putting in Samsung Marketing Strategy

Samsung uses divert advertising strategies. Retailers who present the innovation chain will undoubtedly incorporate Samsung in their rundown on account of the firm being a world-celebrated brand. Samsung can likewise fill in as an option for the purchasers. The circulation is a convincing piece of the Samsung promoting methodology.

In specific urban communities, Samsung has an agreement with a solitary dissemination organization that circulates the items all through the city. For example, Mumbai is an incredible case where Samsung conveys its products through a solitary organization.

Samsung Rides High In India

samsung case study strategic management

The greatest leader by far in the smartphone business is Samsung Electronics, the world's greatest cell phone and TV producer.

Samsung is India's greatest, versatile brand. It is the developer of Reliance Jio's 4G LTE system — the greatest and busiest information system on the planet.

Discernments, advertise wars, openings, rivalry — now and then from conventional remote adversaries, from nearby upstarts, and emerging Chinese brands trouble Samsung.

Be that as it may, every time Samsung has had the option to fight off the dangers and hold its ground. It has been leading the market in the TV fragment for more than 12 years and in the versatile business for a long time after it toppled Nokia in 2012.

Riding The Smartphone Wave

As indicated by some statistical surveying firms following cell phone shipments, Chinese firm Xiaomi is creeping nearer — or has even surpassed Samsung after December 2017 quarter.

While for the entire year 2017, Samsung was No. 1 in the cell phone space, IDC information indicated Xiaomi drove the last quarter with 26.8% piece of the overall industry. Samsung was at 24.2%. Different players, for example, Vivo, Lenovo, and Oppo stayed at 6.5, 5.6, and 4.9%, separately.

Warsi, who has been working with Samsung for as far back as 12 years and has as of late been advanced as Global Vice President, is unflinching, "These difficulties offer us the chance to work more earnestly for our customers and with our accomplices.

Furthermore, shoppers love marks that emphasis on them," he says. "Samsung is India's No. 1 cell phone organization crosswise over sections — premium, mid and reasonable. That is what makes a difference."

Statistical surveying firm GfK tracks disconnected offers of handsets — which make up around 70% of the market — in which Xiaomi is attempting to make advances.

Samsung had a 42% worth piece of the overall industry in the general cell phone showcase in the nation in 2019 and 55% in the superior fragment as indicated by GfK. An industry official who would not like to be named says that India must be Samsung's greatest market by large volumes.

The thought currently is to become the cell phone business which gets more worth. As indicated by reports, Samsung India's incomes from cell phone deals in 2018-19 remained at an astounding INR 34,300 crore. That is over $5.5 billion and development of 27%. Samsung's nearest adversaries are talking about incomes of $1 billion in India, going up to $2 billion.

Samsung is the world's largest manufacturer of consumer electronics by revenue. As of 2019, Samsung Electronics is the world's second-largest technology company by revenue, and its market capitalization stood at US$301.65 billion, the 18th largest in the world.

Shopper Is At The Center

samsung case study strategic management

Samsung is a worldwide advancement powerhouse that leads the patterns. It profoundly put resources in India — 22 years of connections in the exchange, and tremendous interests in neighborhood R&D . It has around 10,000 architects working in research offices in India and is perhaps the greatest scout from the IITs.

"Samsung has a solid brand picture in India, as it has been available in various customer electronic portions with quality items for quite a while now. The brand is trusted because of its long history in the nation, dish India nearness, and a vigorous after deals support for buyers," says Shobhit Srivastava, explore expert at Counterpoint Research.

Indeed, even an item fizzle of the size of the Galaxy Note7 in September 2016 couldn't affect Samsung. While the organization was fast enough to get back to every one of the units that had been sold and cease the gadget totally, Samsung's activities and ensuing effective dispatches of leads like Galaxy S8, Note8, the Galaxy S9 and S9+, which were propelled in February, rescued the harm and raised the profile of the brand as a dependable organization. "They rushed to concede their error and that helped them interface with the perceiving clients of today far superior," says Koshy.

Make For India

Samsung's system 'Make for India', which resounds with the administration's ' Make in India ' activity, was conceived in the late spring of 2015. Samsung India's new President and CEO, H.C. Hong, had recently moved in from Latin America and was looked with the prompt tough assignment of fighting a firm challenge from two nearby versatile organizations that is Micromax and Intex.

Samsung's customer hardware business containing TVs, fridges, and other advanced machines were additionally confronting challenges from Sony and LG.

Around a similar time, the legislature of India propelled its 'Make in India' activity. "In this way, Mr. Hong revealed to us we have been doing Make in India effectively for two decades. What we should concentrate on widely to remain on top of things is Make for India (MFI)," says Dipesh Shah, Managing Director of Samsung R&D Institute in Bengaluru, the greatest R&D community for Samsung outside Korea.

Truth be told, the R&D focuses in India contribute intensely to the improvement of worldwide items, for example, Samsung's lead cell phones (Galaxy S9 and S9+). While different organizations focused on propelling their worldwide items in India, Samsung went about rethinking items for the nation at its R&D focuses.

India is significant for Samsung, thinking of the nation as the second biggest cell phone showcase on the planet today, and it is possibly the greatest undiscovered market for some advanced apparatuses. The entrance of iceboxes, clothes washers, microwaves, and forced air systems are appallingly low because of components like the accessibility of continuous power, social conduct, way of life, and earnings.

Business Growth in India

samsung case study strategic management

Samsung India crossed the INR 50,000 crore deals achievement in 2017 according to the simply distributed organization filings with the Registrar of Companies (RoC), uniting its situation as the nation's biggest unadulterated play purchaser products MNC. The Korean mammoth's all-out salary, including turnover and other pay, developed by 15.5% to INR 55,511.9 crore in FY 2017 from INR 48,053 crore in the earlier year regardless of Chinese organizations making genuine advances into the Indian cell phone advertise.

Samsung's cell phone business developed deals at 26.7% to INR 34,261 crore, while the home apparatus business developed by 12% to INR 6,395.6 crore. The organization's TV business stayed dormant at INR 4,481.2 crore even though Samsung held the market initiative.

The organization's net benefit developed at a quicker pace of 38% to INR 4,156.2 crore which industry examiners credited to more concentrate on premium models crosswise over cell phones and customer hardware having higher edges.

Samsung, in its filings, said the 'Make for India' activity, through which a large portion of the items was planned and created given the Indian customer's needs, has been an enormous achievement and a major factor behind the development.

All the units at Samsung India improved their gross productivity with the TV business dramatically increasing it and the home machine business nearly trebling it. The cell phone business was the biggest supporter of gross benefit having developed by 44% in FY17 at INR 5,005.9 crore.

Future Plans of Samsung

samsung case study strategic management

Samsung has arranged a new venture of around INR 2,500 crore to transform its India tasks into a center for parts business, two senior industry administrators said. The ventures could be increased further, they included. The Korean organization has set up two new parts fabricating substances in India—Samsung Display Co and Samsung SDI India—for the generation of cell phones and batteries.

Independently, Samsung's funding arm—Samsung Venture Investment Corp—has set up activities in India to support new companies in gadgets equipment and programming organizations. The segment organizations will supply items to both Samsung India and other cell phone merchants who as of now source parts from Samsung's abroad tasks.

Samsung sees a big opportunity for segment business considering the administration's push on 'Make in India' where expense on imported cell phone segments and purchaser hardware is going up, the administrators said.

Samsung is likewise pitching to the administration for fare impetuses so it can even fare segments from India. Samsung Display has just marked an update of comprehension with the Uttar Pradesh government for an INR 1,500 crore plant for assembling telephone show to be operational by one year from now April. The plant will come up in Noida, the administrators said.

Samsung SDI India has plans to set up an assembling unit in India for lithium-particle batteries after the organization was drifted a month ago, according to its administrative filings with the Registrar of Companies (RoC).

As per the administrators, Samsung SDI has plans to contribute another INR 900-1,000 crore and will settle the plans after counseling with the Center post general races. These speculations come after it introduced the world's biggest cell phone fabricating unit in India a year ago at an all-out cost of INR 4,915 crore. It is expected to be completed in 2020.

That's all for now. Share your learnings and findings. What did you learn from this article? Which information surprised or amused you the most? Feel free to reach us and share your feedback. We would love to hear from you. Do comment us in the comments section below. Happy Reading.

Who is the owner of Samsung Electronics?

Samsung Group is the owner of Samsung Electronics.

Who is the Founder of Samsung?

Samsung Electronics was established by Lee Byung-Chul (1910–1987) in 1938 as an exchanging organization.

Who is the current CEO of Samsung?

Kim, Ki Nam, Kim, Hyun Suk and Koh, Dong Jin are the current CEO of multinational conglomerate Samsung.

What does Samsung Electronics make?

Samsung Electronics produces smartphones, TV sets, laptops, solid-state drives, digital cinemas screens, etc.

Is Samsung a Chinese company?

Samsung is a South Korean electronic gadget manufacturer in Samsung Town, Seoul.

What is Samsung's strategy?

  • Promotional Mix of Samsung

How large is Samsung Electronics?

Samsung is the world's largest manufacturer of consumer electronics by revenue. Samsung Electronics is the world's second-largest technology company by revenue, and its market capitalization stood at US$ 301.65 billion, the 18th largest in the world.

What are the future plans of Samsung Company?

Samsung has arranged a new venture of around INR 2,500 crore to transform its India tasks into a center for parts business, two senior industry administrators said.

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Remarkable Recovery: Samsung Crisis Management Case Study

Have you ever wondered how a global tech giant like Samsung managed to navigate a major crisis and bounce back stronger? 

In the world of corporate governance, effective crisis management can be the difference between irreparable damage to a company’s reputation and a successful recovery. 

In this blog post, we delve into a Samsung crisis management case study to learn about exploding batteries to the intricate strategies employed to restore trust.

Samsung’s journey offers valuable insights into the intricacies of crisis management in the digital age. 

Join us as we explore the key lessons learned and best practices from this high-stakes situation, shedding light on the remarkable recovery efforts that propelled Samsung forward.

Let’s learn about sailing through tough times through Samsung crisis management case study

Background of Samsung History and growth of Samsung as a global conglomerate 

Samsung, founded in 1938 by Lee Byung-chul, started as a small trading company in South Korea. Over the years, it steadily expanded into various industries, such as textiles, insurance, and retail.

In the 1960s, Samsung ventured into electronics, marking the beginning of its transformation into a global conglomerate.

With a focus on technological innovation and a commitment to quality, Samsung rapidly gained recognition for its consumer electronics products, including televisions and appliances.

Throughout the 1980s and 1990s, Samsung significantly diversified its business portfolio, entering the semiconductor, telecommunications, and shipbuilding industries.

This diversification strategy helped Samsung become a key player in multiple sectors, solidifying its position as a global leader. Notably, Samsung’s semiconductor division became one of the largest chip manufacturers in the world, supplying components to various electronic devices worldwide.

Samsung’s ascent continued in the 2000s, driven by its successful expansion into the mobile phone market. The introduction of the Galaxy series, powered by the Android operating system, catapulted Samsung to the forefront of the smartphone industry.

The company’s innovative designs, cutting-edge features, and aggressive marketing campaigns contributed to its rise as a major competitor to Apple’s iPhone.

With its global reach, Samsung has consistently ranked among the world’s largest technology companies, epitomizing South Korea’s economic prowess and technological advancements.

Samsung has also been considered one the best companies that successfully managed and implemented change initiatives.

Overview of Samsung’s position in the technology industry

In the consumer electronics segment, Samsung has established itself as a dominant force. Its diverse product lineup encompasses televisions, smartphones, tablets, wearables, home appliances, and audio devices.

The Galaxy series of smartphones, in particular, has enjoyed immense popularity and has emerged as a fierce competitor to other industry giants. Samsung’s televisions are also highly regarded for their cutting-edge display technologies, such as QLED and MicroLED.

The company’s advancements in semiconductor technology have contributed to faster computing speeds, increased storage capacities, and improved energy efficiency.

Samsung’s influence extends beyond consumer electronics and semiconductors. The company is actively involved in telecommunications infrastructure, including the development of 5G networks and the production of network equipment.

Samsung has also made notable strides in the realm of software solutions, including its own mobile operating system, Tizen, and various software platforms for smart devices.

Samsung Galaxy Note 7 Crisis

The Note 7 battery issue marked a significant crisis for Samsung, leading to a widespread recall of the flagship smartphone and causing considerable damage to the company’s reputation.

The crisis began in September 2016 when reports emerged of Note 7 devices catching fire or exploding due to faulty batteries. These incidents raised concerns about consumer safety and triggered a wave of negative publicity for Samsung.

Upon receiving initial reports of battery-related incidents, Samsung initially responded by issuing a voluntary recall of the Note 7 in September 2016. The company acknowledged the problem and expressed its commitment to addressing the issue promptly and effectively.

Samsung attributed the battery malfunctions to a manufacturing defect, specifically a flaw in the design that caused a short circuit.

To ensure customer safety, Samsung advised Note 7 owners to power down their devices and refrain from using them. The company swiftly implemented measures to exchange the affected devices, offering customers the option to either replace their Note 7 with a new unit or receive a refund.

Samsung also collaborated with mobile network operators and retail partners to facilitate the recall process.

In its initial response, Samsung took steps to communicate with customers and the public about the issue. The company published official statements expressing regret for the inconvenience caused and assuring customers of its commitment to resolving the problem. Samsung emphasized its dedication to quality and safety, promising to conduct thorough investigations and implement necessary improvements to prevent similar incidents in the future.

Media coverage and public perception during the crisis

During the Note 7 crisis, media coverage played a significant role in shaping public perception and amplifying the negative impact on Samsung’s brand.

The crisis received extensive coverage from both traditional media outlets and online platforms, leading to widespread awareness and public scrutiny. Here’s an overview of media coverage and its influence on public perception:

  • News Outlets: Major news organizations across the globe reported on the Note 7 battery issue, highlighting incidents, the recall, and subsequent developments. Television news segments, newspapers, and online news articles extensively covered the crisis , emphasizing the potential safety risks and consumer concerns. The constant media attention contributed to the widespread dissemination of information and increased public awareness of the issue.
  • Online Platforms and Social Media: Social media platforms played a pivotal role in the crisis, enabling the rapid spread of information and user-generated content. Users took to platforms such as Twitter, Facebook, and YouTube to share their experiences, express concerns, and criticize Samsung’s handling of the situation. Viral videos, photos, and personal accounts of Note 7 incidents gained traction, further fueling negative sentiment and influencing public perception.
  • Expert Analysis and Opinions: Alongside news coverage, experts and industry analysts provided their insights and opinions on the crisis. Their assessments of Samsung’s response, the potential causes of the battery issue, and the implications for the company’s brand reputation contributed to the overall narrative. Expert opinions had the power to sway public perception and shape the understanding of the crisis.
  • Consumer Forums and Discussion Platforms: Online forums and discussion boards dedicated to technology and consumer experiences became hubs for discussions surrounding the Note 7 crisis. Consumers shared their frustrations, exchanged information, and warned others about potential risks. These platforms served as gathering places for individuals affected by the crisis and amplified the negative sentiment surrounding Samsung’s brand.

Financial implications and losses incurred by Samsung

The Note 7 crisis had significant financial implications for Samsung, resulting in substantial losses for the company. Here are some of the key financial impacts experienced by Samsung as a result of the crisis:

  • Recall and Replacement Costs: The recall and replacement process incurred significant costs for Samsung. The expenses involved in collecting and replacing over 2 million of Note 7 devices, including logistics, shipping, and refurbishment, were substantial. The costs also encompassed the testing and certification of replacement devices to ensure their safety. The total recall cost was estimated at $5.3 billion.
  • Decline in Sales and Market Share: The crisis had a detrimental impact on Samsung’s sales and market share in the smartphone industry. As consumer confidence in the Note 7 and Samsung’s brand reputation declined, potential buyers shifted their preferences to alternative smartphone options. The decline in sales of the Note 7, coupled with the negative impact on the perception of other Samsung products, led to a loss of market share for the company.
  • Stock Price Decline: The Note 7 crisis had an immediate impact on Samsung’s stock price. News of the battery issue, recalls, and subsequent negative media coverage led to a decline in Samsung’s stock value. Samsung shares fell approximately to 7 percent right after 2 months of the crisis.

Crisis Management Strategy Employed by Samsung

Following are the key aspects of Samsung Galaxy Note 7 crisis management strategy:

Immediate actions taken by Samsung to address the crisis

In the face of the Note 7 crisis, Samsung swiftly implemented a range of immediate actions to address the situation and mitigate the impact on consumers and the company’s brand reputation. Here are some of the key actions taken by Samsung:

  • Voluntary Recall: As soon as reports of battery issues emerged, Samsung initiated a voluntary recall of the Note 7. This proactive step demonstrated the company’s commitment to consumer safety and willingness to take responsibility for the problem.
  • Temporary Production Halt: To address the root cause of the battery issue, Samsung temporarily halted production of the Note 7. This decision aimed to prevent further distribution of potentially defective devices and allow for thorough investigations and corrective measures.
  • Transparent Communication: Samsung made efforts to communicate openly and transparently about the crisis. The company issued official statements and press releases acknowledging the problem, expressing regret for the inconvenience caused, and reassuring customers of its commitment to resolving the issue. Transparent communication was crucial in maintaining trust and providing timely updates to affected consumers.
  • Collaboration with Authorities: Samsung collaborated closely with regulatory authorities and industry experts to investigate the battery issue comprehensively. By engaging external expertise, the company aimed to identify the root cause and develop effective solutions. This collaboration demonstrated Samsung’s commitment to finding the best possible resolution.
  • Customer Support and Safety Guidelines: Samsung provided clear instructions to consumers regarding the use of Note 7 devices, emphasizing the importance of safety. The company advised customers to power down their devices, participate in the recall, and utilize alternative devices in the interim. This approach prioritized customer safety and aimed to prevent further incidents.
  • Increased Battery Testing and Safety Measures: Samsung implemented enhanced battery testing procedures and stringent safety measures to prevent similar incidents in the future. The company adopted more rigorous quality control processes, including additional safety certifications and testing standards, to ensure the highest levels of product safety.

Communication strategies employed by Samsung

Samsung employed various communication strategies to address the Note 7 crisis and manage the impact on its brand reputation. Effective communication was crucial in maintaining transparency, addressing consumer concerns, and rebuilding trust. Here are some of the communication strategies employed by Samsung:

  • Official Statements and Press Releases: Samsung issued official statements and press releases to provide updates on the progress of the recall, investigations, and corrective actions. These statements expressed remorse for the inconvenience caused and reiterated the company’s commitment to customer safety. Clear and concise communication helped keep customers informed and reassured them that Samsung was actively working to resolve the issue.
  • Direct Customer Communication: Samsung directly communicated with customers to provide instructions and updates on the recall process. The company utilized various channels such as email, SMS messages, and notifications through its official website and smartphone apps. This direct communication ensured that customers received important information and guidance regarding the recall and replacement program.
  • Social Media Engagement: Samsung actively engaged with customers and the public on social media platforms, including Twitter, Facebook, and YouTube. The company responded to customer queries, addressed concerns, and provided updates on the progress of the recall. By engaging in two-way communication, Samsung demonstrated its willingness to listen, respond, and provide assistance to affected customers.
  • Collaboration with Industry Experts: Samsung collaborated with industry experts, battery manufacturers, and regulatory authorities to investigate the root cause of the battery issue. This collaboration was communicated to the public, showcasing Samsung’s commitment to finding solutions and ensuring that the necessary expertise was involved in resolving the crisis.
  • Advertisements and Marketing Campaigns: Samsung launched advertising and marketing campaigns focused on rebuilding trust and emphasizing its commitment to quality and safety. These campaigns highlighted Samsung’s dedication to addressing the issue and regaining consumer confidence. Advertisements often emphasized the company’s rigorous testing procedures and quality control measures to assure customers of the safety of its products.
  • CEO Apology: Samsung’s CEO issued a public apology, taking personal responsibility for the crisis and expressing regret for the inconvenience and concern caused to customers. The CEO’s apology aimed to convey sincerity, empathy, and a commitment to rectifying the situation, while also reinforcing the company’s accountability and determination to regain trust. The apology was published on a full page in 03 major US newspapers – the Wall Street Journal, The Washington Post and The New York Times.

Collaborations with regulatory authorities and industry experts

Samsung worked closely with government agencies and regulatory bodies in various countries where incidents related to the Note 7 were reported. The company shared information, conducted investigations, and cooperated with authorities to ensure compliance with safety regulations and guidelines. Collaboration with government agencies helped align efforts to address the crisis and establish industry-wide safety standards.

In the United States, Samsung collaborated with the CPSC, an independent federal agency responsible for ensuring the safety of consumer products. Samsung worked together with the CPSC to investigate the battery issue and coordinate the recall process. This collaboration ensured that the recall efforts followed established safety protocols and provided consumers with accurate information.

Samsung collaborated with battery manufacturers to investigate the specific manufacturing defects that caused the battery issue. The company worked closely with these partners to analyze the battery designs, manufacturing processes, and quality control measures. By involving battery manufacturers in the investigation, Samsung aimed to identify the root cause and implement corrective actions to prevent similar issues in the future.

Samsung engaged independent testing labs to conduct thorough assessments of the Note 7 batteries and verify the effectiveness of corrective measures. These labs specialized in battery testing and certification, providing expertise and unbiased evaluation of the battery performance and safety. Collaboration with independent testing labs helped validate Samsung’s efforts to address the battery issue and instill confidence in the effectiveness of the solutions.

Post-Crisis Recovery and Rebuilding 

Samsung implemented more stringent quality control measures across its product development and manufacturing processes. This included enhanced battery testing protocols, increased inspections, and stricter quality assurance standards. By demonstrating a commitment to producing reliable and safe products, Samsung aimed to rebuild customer trust.

Extended Warranty and Customer Support: Samsung extended warranty periods for existing and new devices, including the Note 7, to provide customers with added assurance. The company also enhanced its customer support services, ensuring that customers could easily access assistance, product information, and technical support. These initiatives aimed to demonstrate Samsung’s commitment to customer satisfaction and support.

  Launch of subsequent product lines and their impact on brand perception

Following the Note 7 crisis, Samsung launched subsequent product lines, including flagship smartphones like the Galaxy S8 and subsequent iterations. These launches played a crucial role in shaping brand perception and rebuilding trust. Key factors that influenced brand perception and the recovery process include:

  • Emphasis on Safety and Quality: Samsung placed a strong emphasis on safety and quality in its subsequent product launches. The company implemented rigorous testing procedures and introduced new safety features to ensure the reliability and safety of its devices. By highlighting these improvements, Samsung aimed to regain customer trust and reassure them of its commitment to producing high-quality products.
  • Positive User Experience: Samsung focused on delivering positive user experiences with its new product lines. This included improvements in design, performance, and functionality to enhance customer satisfaction. By providing users with exceptional products, Samsung aimed to rebuild its reputation and generate positive word-of-mouth, contributing to brand recovery.
  • Brand Messaging and Marketing: Samsung’s marketing efforts during subsequent product launches were carefully crafted to reinforce positive brand associations and regain customer trust. The company emphasized innovation, customer-centricity, and the commitment to quality and safety. Marketing campaigns highlighted features, benefits, and technological advancements to create a positive brand image and overcome the negative perceptions associated with the Note 7 crisis.

Final Words 

Samsung’s handling of the Note 7 crisis serves as a case study in crisis management. Despite the significant financial and reputational setbacks, the company took proactive steps to address the crisis, regain customer trust, and prevent similar incidents in the future.

The Samsung crisis management case study highlights the importance of swift and transparent communication, customer-centric actions, and continuous improvement in product safety and quality. By effectively addressing the crisis, Samsung was able to navigate the challenging situation and rebuild its brand, reaffirming its position as a leading global technology company.

Overall, the Samsung crisis management case study provides valuable insights into how a company can recover from a major setback, restore customer trust, and strengthen its position in the market through strategic actions and a relentless commitment to customer satisfaction and product excellence.

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A study of Samsung's Strategic Management

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The purpose of the project work is to evaluate and analyse Samsung’s strategic performance by considering Vision, Mission, Macro, Micro environment, value chain and finally a strategy has been proposed. Moreover, the SAF had been used to evaluate the proposed strategy of the organization.

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Samsung’s Generic Competitive Strategy & Growth Strategies

Samsung generic competitive strategy, intensive growth strategies, competitive advantage, objectives, computing technology business analysis case study

Samsung’s generic competitive strategy and intensive growth strategies set business goals for technological innovation as a critical factor in developing competitive advantages. Headquartered in Korea, the conglomerate competes with technology-intensive firms, such as Apple , Google (Alphabet) , Microsoft , Sony , and Intel , which create strong competitive forces, as determined through a Five Forces analysis of Samsung. The industry environment imposes aggressive competitive behavior that typically involves rapid technological innovation for product differentiation, as seen in the evolution of smartphones available in the global market. To effectively compete, Samsung’s generic competitive strategy and growth strategies must involve investment in technological innovation. The resulting competitive advantages enable the company to keep its competitive position as one of the best performers in the semiconductors, consumer electronics, and home appliances industries. Samsung’s generic competitive strategy and intensive strategies for growth are suited to the current business environment and the strategic positioning of the multinational organization’s operations.

The generic competitive strategy and intensive growth strategies of Samsung Group permeate its entire organization, influencing the strategic choices and implementations of its divisions and subsidiaries. The Group’s unitary leadership is responsible for the corporate strategic direction and competitive advantages of the conglomerate and its technology-focused subsidiaries. Samsung’s generic competitive strategy and intensive growth strategies are observable in product design, marketing strategies, and the business organizational development direction of subsidiaries.

Samsung’s Generic Competitive Strategy (Porter Model)

Samsung applies broad differentiation as its generic competitive strategy. Based on Michael E. Porter’s competitive strategy model, the strategic objective of broad differentiation is to maintain competitive advantage by providing unique (or differentiated) products targeting a wide market, which in this case is industry-wide, involving practically every person or group that buys smartphones, laptops, and other equipment. To achieve Samsung’s strategic plans for growth and expansion in the global market, this generic competitive strategy requires the application of product development as a main intensive growth strategy to compete with other technology firms.

Samsung’s investments in product development are a strategic implication of differentiation as its generic competitive strategy. For example, the company invests in technological innovation to support the competitive advantage of its products in the consumer electronics market. Another implication of this generic competitive strategy is Samsung’s marketing mix (4Ps) and related strategies that promote products as unique or different alternatives to the majority of competitors. This marketing approach and technological innovation sustain the corporation’s competitive advantages and value chain effectiveness in satisfying customers’ needs in consumer electronics, computing technology, and home appliances.

Other generic competitive strategies, such as cost leadership, differentiation focus, and cost focus, are also applied in Samsung’s operations, but to a limited extent. Cost focus leads to the company’s being the best-cost provider in some segments of the semiconductor and electronic components markets. The limited application of cost focus still comes with innovation standards that reflect Samsung’s main generic competitive strategy of broad differentiation. These generic strategies align with the company’s intensive growth strategies to succeed in sustaining the technology firm’s competitive advantages.

Samsung’s Intensive Growth Strategies (Ansoff Matrix)

Market Penetration (Primary) . Samsung’s revenue growth depends on market penetration as the primary intensive strategy. In Igor Ansoff’s matrix, the strategic objective of market penetration is to grow the technology business by increasing its revenues from the sale of current products in current markets, such as the European Union’s consumer electronics market, where the corporation already has operations. Competitive advantages and business strengths identified in the SWOT analysis of Samsung combat negative forces from competition in these markets. As an intensive growth strategy, market penetration depends on the effectiveness of the generic competitive strategy of broad differentiation, in terms of how the company creates technologically innovative products that are differentiated enough to attract target customers in current or existing markets.

Product Development (Secondary) . Considering the emphasis of product superiority in Samsung’s corporate mission and vision statements , product development is a major intensive growth strategy of the enterprise. A strategic objective of product development in this case is to grow the business through new products, such as new electronic gadgets. Also, this intensive strategy grows Samsung’s operations through iterative innovation, which leads to improved versions or variants of existing products. For example, the company regularly rolls out new smartphone models, similar to what competitors are doing in their product development strategy. The implementation of product development as an intensive growth strategy is based on Samsung’s generic competitive strategy of differentiation, which requires product development for uniqueness that differentiates the business from the competition. Economies of scope based on the conglomerate’s various subsidiaries support product development and competitive advantage by providing technological expertise and material inputs from the subsidiaries. Samsung’s organizational culture (work culture) affects human-resource support for operational effectiveness, value chain efficiencies, supply chain management, and other business activities that fulfill the strategic objectives of product development.

Market Development . The global scale of Samsung’s operations makes market development a minor intensive strategy for business growth. Market development’s strategic objective is to enter new markets using the company’s existing products, such as introducing new Galaxy tablets in Latin American markets after these products’ introduction in the United States. As an intensive growth strategy, market development’s success depends on product value and competitive advantage, which in this case comes with Samsung’s generic strategy of differentiation via technological innovation. For example, effective innovation for cutting-edge technological design makes the corporation’s products more competitive when rolled out in target markets. With this intensive growth strategy, introducing products to new markets may come with changes in the geographical units of Samsung’s organizational structure (company structure) .

Diversification . Samsung’s diversified business operations maintain multiple revenue channels and spread risk across industries and markets. This intensive growth strategy’s implementation is infrequent in the technology conglomerate, considering regulatory hurdles and other barriers. With the strategic objective of establishing new profitable businesses, the diversification strategy grows Samsung typically through acquisitions of smaller firms, such as Harman International Industries. The minor role designation of this intensive growth strategy limits the risks of establishing new business operations. In implementing diversification, the generic competitive strategy of differentiation is also applied for competitiveness and strategic alignment among Samsung subsidiaries’ business operations.

Some Considerations – Samsung’s Generic Competitive Strategy & Intensive Growth Strategies

Samsung’s generic competitive strategy and intensive growth strategies direct the organization’s growth and development. Differentiation plays a major role in building the company’s competitive advantage, although other generic competitive strategies, such as cost leadership and focus strategies, also support the technology enterprise and its competitiveness. Samsung’s operations management strategies and administration must align with the differentiation generic competitive strategy and the intensive growth strategies to support business growth while competing with aggressive multinational companies.

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  • Samsung – Brand Identity .
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  • Taherdoost, H. (2023). An overview of trends in information systems: Emerging technologies that transform the information technology industry. Cloud Computing and Data Science , 1-16.
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Home » Business Analysis » Case Study: Samsung’s Innovation Strategy

Case Study: Samsung’s Innovation Strategy

The success of Samsung has been widely acknowledged in the last decade. Samsung, the world’s largest television producer and second largest mobile phone manufacturer, is also the largest firm of flash memory maker. Furthermore, Samsung was ranked by Fast Company Magazine to be third most innovative company in the consumer electronics. The company grew from a local industrial leader into a worldwide consumer electronics brand, with up to 261,000 employees, 14 public listed companies, 470 offices and facilities in 67 countries. Samsung was ranked as 11th world’s most innovative companies. It is one of the two Korean companies in the Top 20 companies. While Sony, the Japan’s biggest consumer electronics, was ranked as 10th, only one position above Samsung. This has brought questions among management gurus how this growing company could drive innovation to create success within a short time and remain innovative despite the difficulties of internationalization . In addition, it could overcome many well-built rivals from Japan and Europe.

Case Study: Samsung's Innovation Strategy

Shared vision and top management commitment are the important component leading to create innovative atmosphere . In creating such organization, if leaders are not committed in their actions, innovation couldn’t be systematic in a company. Top executive’s role modelling is one of the main differences between innovative and non-innovative organizations. Moreover, employees should realize a company’s goals to align with their innovative effort. Samsung’s new management beliefs applied in the late 1990’s is “we will devote our human resources and technology to create superior products and services, thereby contributing to a better global society.” This shows the company’s strong willpower to contribute to the worldwide people’s prosperity in the 21st century. This message encourages every employee in the firm to innovate with the clear goal of being global superior producer.

Appropriate Structure

The innovative organization tends to have characteristics of organic structures with open and dynamics systems. At first, the reduction of organizational layer and downsizing are concerned as cost control . An increase in use of information technologies, such as email, internal blog, shared data repository, also leads to the need of eliminating middle management. The possible consequences for this are faster responsiveness to market, higher competitiveness, more flexibility, and reducing processes between divisions. This leads to flatter organisation that is not only the change of organisational structure but also the change of decision-making process . In order to avoid delays and support for rapid innovation, decisions should be delegated to the innovation team. The approval of top management is only needed at the checkpoints or gates of the innovation process. Furthermore, Innovation is not suitable with multi-level hierarchy as the new idea and radical innovation must pass through many approvals with high possibility of ideas being rejected. Moreover, this will discourage strong leaders, who try to overcome its cumbersome, but the slow-response organisation will eventually obstruct their abilities. For example, in 1989, Samsung had 3-7 steps for project approval. This took up 24 days for the proposal to go through 7 approvals to arrive final decision step from the president. On the contrary, proposal in 1995 needed maximum of 3 approvals decided on the same day. This change of the important process leads to speed of running business. Furthermore, the proposal form in 1995 is in English, this signified an attempt for globalization .

Key Individuals

With the goal of creating innovation in the company, Samsung needs the world-class human resources from both technical and business backgrounds. Its branding strategy is not only to create a brand that people trust and admire, but also to be a company that they desire to join. To foster this breakthrough R&D, Samsung set up worldwide objectives to catch the attention of the smartest people from around the world, and retain them. These people will be trained and implanted Korean and Samsung culture through one week of intensive Korean daily conversation class, one week of Orientation about company’s history, philosophy, and culture, and develop general management skills delivered by senior Samsung executives. The recruitment of world’s smartest innovators, inventors and designers are fundamental to the company’s success in creating the future technology.

Besides having the best people for the development of innovative capabilities, Samsung has a tool to identify the key players, such as Project leader, promoters, idea champions, or gatekeeper, in the organization. Experiential education programs that are enjoyable, innovative and effective have performed this identification task. For example in the Samsung Semiconductor unit, 90 managers were organised into groups and assigned to build up new equipment through the use of Lego blocks. The tool was just simple Lego blocks, but the equipment created in this experiment had to be functional. This activity, which required both creativity and teamwork, provided managers comprehension of the role each member played in team. Who is promoter, supporter, idea generator, and critical thinker are identified.

Effective Team-working

Currently, team-working increasingly reflects a deeper recognition that this method of working offers greater economic benefits. Cross-functional teams is an effective tool to bring in different knowledge sets needed for solving production problems, creating new businesses , or develop new strategies. Work as a team needs more participation, higher commitment, sharing knowledge and self-management . This is more organic and flexible approach that helps to initiate innovation implanting across organisational and national boundaries. For example, Automakers from USA and Japan collectively worked on the development of new car model. Committing to consumer trends, Samsung set up a group of about 30 businessmen called CNB (Create New Businesses) who had to discover long-term social and technological fashions and imagine new products, which fulfill promising demands. Samsung has harvested the fruits from its team-working and strong commitment to innovation , transforming low-quality producer to become a brand that create stylish mobile phone. In 2010, its sales of mobile phones were ranked as number one in the US market.

Long-term Commitment to Education

Invest in people is another key initiative needed to emphasize in the development of innovative organisation. Army without essential weapons cannot deliver its full potential. Those needed weapons are knowledge, which has to be developed by best practice training. Companies, such as Hewlett Packard, and Samsung, have committed in training and development programs to help spread innovation capability all over the organisation. Besides internal training programs, offering scholarship, postgraduate study opportunities and international work placement for its staff in 120 offices across 57 countries provide Samsung linkage with renowned universities, also bringing in knowledge and collaboration to the organisation. The by-product from doing so is incentives that help to attract and retain of the best and brightest inventor and businessperson from the global industry.

Extensive Communication

Communication is one of the factors causing failure in investing in ideas that go wrong since the beginning. These are those ideas that do not align with the company’s need. Communication within company about its strategy and customer demands is needed for the clear innovation pathways of researchers. Idea generated from either internal or external organisation must go through many steps of modification before adopting into a company. These steps become troubles for the huge companies. In the case of Samsung, idea management has been introduced to manage ideas from thinkers and distribute them all over the company. They will be evaluated by colleagues, supervisors, or assigned review staffs who add views, opinions and knowledge. In addition to internal communication, networking between firms is also key component in the creation of innovation . The network organisation is a group of several independent companies, which perform different tasks and contract one another. For example, one firm in the network focus on research and product design, another manufactures it, and a third does distribution. This approach gains a wide acceptance as it has strong rationale including rapid change of business environment , the cumbersome of large-size companies, importance of speed and flexibility. Moreover, partners’ collaboration helps to blend and complement different core competency in creating better innovation. Samsung has utilized this concept by building a team, called TechnoValley, undertaking only planning and marketing of product. Other partners in the network took care of technology, production, distribution, and promotion.

High Involvement in Innovation

Building a visionary company requires 1 percent vision and 99 percent alignment. In order to build a sustainable innovation culture, staffs have to practice innovation in everything they do. Practicing to tackle small challenge will make them ready for a bigger challenge. Samsung manager plays an important role in supporting this culture of practicing innovation by encouraging the innovation process and not pushing employees to short circuit the solution process.

External Forces

External forces shapes Samsung to become technology leaders. Previously, closed innovation was the model that Samsung Electronics followed. They invested in the best people and centralized their R&D unit. Today, Samsung cannot depend only on internal innovations, which may create the advanced operating system for mobile phone but not attractive one. Samsung open innovation center established to create striking design and user-friendly interface of Samsung mobile phone. It successfully engaged customers and suppliers in the innovation process at the early stage. Being based in Korea with large group of young technology-concerned consumers provides Samsung an innovative edge in consumer electronics including mobile phones. The replacement rate for mobile phones in Korea is estimated at 6-18 months, thanks to young Koreans who swiftly adapt new technology. Therefore, these trendy people have participated in testing and giving feedback, which provide significant information about customers’ desire. Korea, therefore, becomes an invaluable testing location for innovations prior to the companies unveil them on the world stage.

Creative Climate

Public reward for those who distinguish themselves as mains actor in innovation culture and who promote the value of innovation is the powerful tool to expand innovative thinking throughout the enterprise. There are many examples of escalating the visibility of innovation success, such as the company innovation award, inventor hall of fame. This illustrates the commitment a company have on its innovation and inspire employees by making them proud of their success. Idea management through the use of IT have increased the rate of product and process improvement, as contributions of ideas are traceable. It open up the communication all over the company and promote culture of sharing and creativity. Ideas are developed and talked widely not only in vertical but in horizontal fashion leading to innovative atmosphere. After the introduction of knowledge management solution in Samsung Electronics, there was a change in organizational climate. Employees have been become confident to be more suggestive, trustful, responsive to change, and eager to innovate. Forum and blog postings are the place for knowledge sharing where an automatic rewarding system is executed. The profitability of the products launched, have been chosen as the innovation performance indicators.

Learning Organization

Sharing knowledge and skill of employees brings about innovative performance. Samsung has identified two main challenges in the creation of learning organisation that are knowledge discovery and knowledge sharing. In the past, problems occurred due to lack of knowledge management, for example, lost of valuable knowledge from poor management, or repeating the same failures. To tackle such problems, organizational mechanisms and technological solutions to facilitate the innovation process in Samsung have been introduced. Firstly, Samsung Brainstorming Hours has been arranged to capture and spread ideas in any step of innovation process from idea generation to conversion and commercialization. This is not applied only in the new product development process, but also solving complex problems or business improvement. Two hours weekly meeting for cross-functional team in the room with tall windows, wireless connection, big-screen TV, snacks and drinks is designed to foster innovation process. This comfortable surroundings helps innovation workers to socialise with each other and share ideas. Secondly, company-wide simple but powerful blog has been introduced to encourage knowledge sharing and discovery. The blog helps employees understand and discuss ideas so as to extend previous knowledge continuously. Thirdly, knowledge warehouses have been built to have codifiable critical knowledge stored and accessible throughout Samsung Company. The “Lessons Learned System with Alert function” has been used to manage this knowledge and share it. For storing lesson learned, project managers has been trained about how and what knowledge to collect and given the project management manuals including many useful procedures such as how to write a closing report, how to create and store a project model, how to perform an After Action Review. In order to control overwhelming information, Alerts system notifies employees of newly stored knowledge that might be of interest and useful to their work.

Samsung has successfully transformed from local low quality manufacturer to a brand that produce admirable and stylish consumer electronics. Company performance has proven that Samsung has come to the right direction in last decade. The achievement of becoming innovative organisation started from the declaration to be the global leader in the industry in late 1990s. After the re-configuration and adopting team-working practice, Samsung organisation has been altered to be flexible and organic, leading to ability to develop innovative capability. In addition to the recruitment of the best people into the organization , Samsung has an experimental education tool to identify the key individuals, such as project leader, promoters, or gatekeeper, so as to blend different roles in creating innovation . These people are working under the well-designed knowledge management system and trustful and suggestive communication with the support of supervisors, fostering creative climate. Rewards system for innovative contributor, organisational mechanism and technological solutions has brought about the knowledge discovery and sharing throughout the company, creating learning organisation that sustains Samsung innovation competency.

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International Journal of Quality and Service Sciences

ISSN : 1756-669X

Article publication date: 15 June 2015

The purpose of this paper is to investigate Samsung’s strategic efforts in achieving excellence in quality.

Design/methodology/approach

This study divides Samsung’s activities into five distinctive areas: quality leadership, motivating employees, methodologies, preemptive priorities and key activities in the field management. Case studies will be explored based on the chronological analysis of the above five subjects, and a comprehensive roadmap toward excellence will also be suggested.

This study has found that Samsung has used diverse concepts to excel in improving quality and profitability simultaneously. The company’s approaches are divided into five categories and positioned according to their possible contributions to excellence. One of the key findings of this paper is the concept of “the line of redundancy” which adopts parallel systems. For example, its parallel systems such as dual sourcing and 120 per cent human resource management have contributed to Samsung’s quality.

Practical implications

The result of this study will help managers implement innovative initiatives for achieving excellence through quality management.

Originality/value

Samsung has improved the quality dramatically and many companies want to learn Samsung’s way. This paper investigated how Samsung developed the quality system in the past decades and suggests some findings.

  • Parallel system
  • Samsung’s quality

Shin, W.S. and Kim, C. (2015), "Samsung’s journey to excellence in quality", International Journal of Quality and Service Sciences , Vol. 7 No. 2/3, pp. 312-320. https://doi.org/10.1108/IJQSS-03-2015-0036

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    While there is no evidence of core product adaptations at the country level that could compromise economies of scale, the company's international strategic focus involves maintaining a physical...

  9. Remarkable Recovery: Samsung Crisis Management Case Study

    In this blog post, we delve into a Samsung crisis management case study to learn about exploding batteries to the intricate strategies employed to restore trust. Samsung's journey offers valuable insights into the intricacies of crisis management in the digital age. Join us as we explore the key lessons learned and best practices from this ...

  10. UX and Strategic Management: A Case Study of Smartphone ...

    Through the case studies this paper shows a strong implication that UX can be extended into the corporate resources and capability, and VRIO framework utilized for the analysis of competitive advantages for the market leadership. Keywords. User experience design; Strategic management; VRIO framework; Apple; Samsung; Google; Naver

  11. A study of Samsung's Strategic Management

    Development Economics Financial Accounting Strategic Management Organisational Behaviour. The purpose of the project work is to evaluate and analyse Samsung's strategic performance by considering Vision, Mission, Macro, Micro environment, value chain and finally a strategy has been proposed. Moreover, the SAF had been used to evaluate the.

  12. Samsung's Generic Competitive Strategy & Growth Strategies

    Based on Michael E. Porter's competitive strategy model, the strategic objective of broad differentiation is to maintain competitive advantage by providing unique (or differentiated) products targeting a wide market, which in this case is industry-wide, involving practically every person or group that buys smartphones, laptops, and other equipment.

  13. Case Study: Samsung's Innovation Strategy

    For example, in 1989, Samsung had 3-7 steps for project approval. This took up 24 days for the proposal to go through 7 approvals to arrive final decision step from the president. On the contrary, proposal in 1995 needed maximum of 3 approvals decided on the same day. This change of the important process leads to speed of running business.

  14. Strategic Management On Samsung Case Study Example

    Download Table of contents Samsung Electronics Co., Ltd. is the largest world's technology company in terms of revenues. It is the largest mobile phone maker and television manufacturer and second largest semiconductor chip producer. Samsung History Unlike other electronic companies Samsung origins were not involving electronics but other products.

  15. Samsung's journey to excellence in quality

    - The purpose of this paper is to investigate Samsung's strategic efforts in achieving excellence in quality. , - This study divides Samsung's activities into five distinctive areas: quality leadership, motivating employees, methodologies, preemptive priorities and key activities in the field management. Case studies will be explored ...

  16. PDF samsung management

    SAMSUNG MANAGEMENT Case Study MARCH 19, 2020 AHMED GADALLA [email protected] . 1 ... At Samsung, the strategic planning and formulation stage is one of the most

  17. Samsung: Strategic Management and Company Analysis

    Samsung: Strategic Management and Company Analysis. This presentation discusses the electronic division of Samsung, recent events affecting the company, internal environmental analysis, strategic challenges, and recommendations for Samsung's future success. Added on 2023-06-13.

  18. PDF Strategic Management of Samsung Electronics Company

    This study intends to analyze Samsung electronics company's strategic management system through the value chain model(Figure I-2). The value chain model was proposed and popularized by Michael Porter in his 1985 best seller book, Competitive Advantage: Creating and Sustaining Superior Performance (blog.naver.com 2006).

  19. Strategic Options for Samsung Electronics to Address Short ...

    Strategic Options for Samsung Electronics to Address Short Product Life Cycles and Sharp Price Declines in the Rapidly Changing Electronics Industry | PDF | Competitive Advantage | Strategic Management Samsung Case Study - Free download as Word Doc (.doc / .docx), PDF File (.pdf), Text File (.txt) or read online for free.

  20. PDF Management in Moscow Energy System: Trends and Optimization Problems

    Management and supervisory functions are of special importance for the government in this area, since they make it impossible for an investor to monopolize criti cal strategic infrastructural objects and abuse the monopolistic position on the market, infringing national interests. However, the following is to be taken into account.

  21. Strategic Development of AO MZ Electrostal during Economic Recession

    The prospects of development of the enterprise are analyzed using the information on its industrial and economic activity in 2009-2016; this time period is characteristic of the crisis and postcrisis stages in the world and Russian economics. The technical-and-economic indices that reflect the most important aspects of the enterprise activity are estimated. The long-term measures taken by ...

  22. McDonald's In Moscow

    McDonald's In Mexico - McDonald's FOOD CHAIN ,the case discusses about the challenge faced by McDonald in moscow,McDonald's wanted the taste of the Big Mac to be the same in Moscow as it had in New York,Paris or sydney also wantingbto secure its food products locally,McDonalds planned the supply chain for the moscow restaurant,when it experts began to work with the people of Russia in order to ...

  23. Open programmes

    Open Enrollment Programmes of Moscow School of Management SKOLKOVO: Operational Effectiveness in Manufacturing. ANDREY SHAPENKO. Specializes in researching and teaching leadership, cross-cultural communication, and corporate strategy. Frequent instructor of SKOLKOVO programmes, strategic sessions for the school's clients, and business and ...