Samsung SWOT & TOWS
Transcript: SWOT & TOWS Samsung Group is a South Korean multinational conglomerate headquartered in Samsung Town, Seoul. It comprises numerous affiliated businesses, most of them united under the Samsung brand, and is the largest South Korean business conglomerate. Samsung was founded by Lee Byung-chul in 1938 as a trading company. Over the next three decades, the group diversified into areas including food processing, textiles, insurance, securities and retail. Samsung entered the electronics industry in the late 1960s. Since 1990, Samsung has increasingly globalized its activities and electronics; in particular, its mobile phones and semiconductors have become its most important source of income. Samsung's revenue was equal to 17% of South Korea's $1,082 billion GDP. It serves worldwide in 80 countries with a revenue of USD $177.365 billion and 319,000 employees for 2016. Their main competitors include: Apple Inc. Nokia OYJ Intel Corporation Samsung operates three business divisions: • Consumer electronics • IT and Mobile communications • Device solutions Strenghts Samsung is the world’s most successful electronics manufacturer World’s largest manufacturer of television sets, liquid crystal display (LCD) panels, mobile phones and smartphones World’s number one marketer of mobile phones Samsung has impressive research and design capabilities Largest patent portfolio among its key rivals Strong manufacturing and marketing capabilities Many awards the company has received over the years Weaknesses Samsung has not been able to match Apple Inc.’s marketing capabilities for smartphones Some Chinese competitors are catching up to Samsung in the smartphone market Huawei’s share grew by 48.1% Xiaomi’s share grew by 29.4% Google Android - many consumers seem to view Android as an inferior product to Apple’s iOS Samsung is a hardware leader but has too much of dependence for software from other parties The demand for LCD panels is expected to decline in the future Korean culture Opportunities Growing market for smartphones, tablets and other mobile devices in developing regions Future plans of launching customized products for Indian market Increased demand for tablet and smartphone-based solutions such as Samsung Pay Wearable tech Growing online market Official ‘Olympic partner’ Threats Apple has emerged as the dominant smartphone and tablet brand in some markets Declining or stagnating middle-class incomes Economic instability that occurs in each country Wide variety of product lines - failure of one product line will have impact on the other Entry of foreign players in new markets is likely high Chinese manufacturers could emerge as serious rivals Apple could enter more consumer products most successful electronics manufacturer opportunities for expansion increased demand for its service new technology entering developing regions utilizing the online market sponsorship with the Olympics improve their digital technology and product differentiation innovate and modify smartphones diversify its business software advertisement company change in its operating system Samsung is a company that focuses on technology and innovation. The company has a very diversified lineup of products, ranging from memory cards to refrigerators. This diversification has given Samsung the edge in the worlds market and made it one of the most popular brands today. Strategies performed have a tremendous impact on its achievements. It focuses on brand image, product innovations, sponsorship, R n D, and design, all of which yield excellent results. Although Samsung maintains impressive research, design and manufacturing capabilities, it appears to have lost its edge in marketing. New capabilities like Samsung Pay will be critical if this company wants to maintain its position as an industry leader. In the long run, if they manage to succeed in revamping their marketing campaign, penetrate new markets and deal with its competitors, Samsung will solidify its place as the most powerful and widely known electronics manufacturer in the modern world. Thank you for your attention! Presented by: Ivan Karamanov Kaloyan Kirilov Milen Stefanov SWOT TOWS Conclusion