This Is Strategy Which Will Restricts The Growth of Samsung in Some

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or more companies are merged together if we take the example of

Samsung C&T and Samsung Engineering merge to increase the


construction business. Under vertical integration the company itself
becomes its own supplier or distributor or the company moving in the
similar typeof market with similar technology for example Samsung used
to manufacture smart TV later started to manufacture phones. Thus, the
added growth from the substantive growth strategy can be achieved for
Samsung.
Limited Growth strategy:
This is strategy which will restricts the growth of Samsung in some
business units in order to give focus on other business areas. Sometimes
the business organization follows this strategy to give focus on the
specific area for developing the business. This strategy will not be feasible
for Samsung at this time due to the intense level of competition that is
exist across the globe.
Retrenchment:

This strategy comes in force during recession period. It may occur that the
company faces from huge failures and losses which in turn the
organization would need to cut down their product prices in order the
maintain their position in the market. The restriction in the output of the
business for reducing the risk factors is associated with retrenchment. This
strategy will also not be feasible and justified for Samsung in the growing
market rather than they need to focus on the customers who are shifting
to other brands or non-buying customers of Samsung by the techniques
like pricing, promotion and product modification which will definitely
increase the level of output.
Justify the selection of a strategy:
The Samsung has the most critical human resources, which not dug the
way to success for Samsung but also choose the best man for competitive
world. Moreover, Samsung has analyzed that there is very bad demand of
15

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