CORNEJO, APRIL ROSE M.

BSMA 1203

Samsung, South Korean company that is one of the world’s largest

producers of electronic devices. Samsung specializes in the production of a wide
variety of consumer and industry electronics, including appliances, digital media
devices, semiconductors, memory chips, and integrated systems. It has become one
of the most-recognizable names in technology and produces about a fifth of South
Korea’s total exports. In 2009, the company took the position of the world’s
biggest IT maker by surpassing the previous leader. By trading noodles to produce
textiles and opened a factory until it entered to electronic industry. The company
was focused on the reconstruction of Korea after the war and the founder paid his
attention to electronics and made the right choice. The company released first
black and white TV’s and the corporation decide to expand the Samsung by
producing home appliances, washing machine, and refrigerators. The success story
of Samsung is a story of ups and downs, and the history of this company may help
to analyze its path in details and prove that there are no limits for a person who
wants to achieve success. Lee Byung-Chul simply followed the trends and the need
of his potential buyers. This case can help those people who want to start a
business because Samsung conduct a right strategy and also the company
implement those strategies very well.

Samsung entered the electronics industry in the late 1960’s and the
development and shipbuilding ventures in the mid-1970. The founder of Samsung
is Lee Byung-Chul, Samsung was divided into five business groups – Samsung
Group, Shinsegae Group, CJ Group, Hansol Group and Joongang Group. Samsung
began as a little exchanging organization. Samsung was founded as a grocery
trading store, Lee Byung-Chul started his business in Taegu, Korea they trade
noodles and other goods produced around the city and exporting them to China.
After the Korean War, Lee expanded his business into textiles and opened the
largest woolen mill in Korea. In the late 1950’s the company acquired three of
Korea’s largest commercial banks as well as an insurance company and firms that
made cement and fertilizer.

Samsung first entered the electronics industry in 1969 with several

electronics-focused divisions. Their first products were black-and-white
televisions. During the 1970's the company began to export home electronics
products overseas. At that time Samsung was already a major manufacturer in
Korea. In 1978 an aerospace division was created. Samsung Data Systems (now
Samsung SDS) was established in 1985 to serve businesses’ growing need for
systems development.

The 2000s witnessed the birth of Samsung’s Galaxy smartphone series,

which quickly not only became the company’s most-praised products but also were
among the best-selling smartphones in the world. 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. 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.

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.
 The Samsung mission is “We will devote our human resources and
technology to create superior products and services, thereby contributing to a
better global society.” And their Vision “to inspire the world with our
innovative technologies, products, and design that enrich people’s lives and
contribute to social prosperity by creating a new future.”
Samsung continously find new ways to improve and innovate their product
and services. They turn failures into opportunities to learn more and thrive, always
evolving to live the moment and stay open and curious.
As of September 30, 2022, Samsung Electronics reported financial results
for the third quarter ended Total consolidated revenue was a record for the third-
quarter at KRW 76.78 trillion despite a challenging business environment, while
operating profit declined 23% from the previous quarter to KRW 10.85 trillion.
Samsung Display Corporation saw record revenue for the mobile panel business as
demand increased following the release of new flagship smartphones, including
foldables, while the large panel business continued to post losses amid weak TV
and monitor markets. SDC expects to maintain earnings growth in the mobile
panel business, driven by strong demand for premium OLED panels for
smartphones. The full-year capital expenditure for 2022 is expected at
approximately KRW 54 trillion, including KRW 47.7 trillion allocated to the DS
Division and KRW 3.0 trillion to SDC.
The issues and challenges faced by Samsung is 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. So,
they come up with different strategies like Promotional Mix of Samsung were
Samsung celebrated for its customer support, Skimming Price in this Samsung uses
skimming costs to pick up the high ground over its rivals. Samsung will bring
down the cost and effectively steal the customers from its competitors. The result
of their strategy Samsung is one of the world’s largest producers of electronic
devices. It has become one of the most recognizable names in technology.
For the strategies they implemented it is really helpful for the company since
Samsung have many competitors like Apple, Huawei, LG, Nokia, etc. Even though
their competitors are well known company or organization Samsung didn’t lose
hope, instead they analyze the strategy of the competitors and monitor the changes.
That’s why until now Samsung can compete and keep launching new and helpful
product.
Innovation, creativity and change are important to keep the company or
organization stand still, also the effective leadership and productivity is necessary.
Future plans are also great to easily predict the outcome of the projects. The
organization or company can conduct the plans properly before launching a new
product that can help and contribute to human life. The strategic management can
help a company to success by always monitoring and analyzing various factors like
the what are the new trends, the strategies of your competitors and the changes in
the surroundings; political, social and cultural changes. Formulating a strategy,
develop plans and back up plans that can help to achieve the objective and goals of
an organization and company. Then implement those strategies and keep
monitoring the process of company.