Samsung Group

  • Published: October 2017
  • 11377 Words
  • 48 Pages
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Founded in 1969, Samsung Electronics is one of the leaders in consumer electronics industry in an international scale. The company employs 325,677 people in 80 countries and has more than 200 subsidiaries around the world (Sustainability Report, 2016). The business is divided into three large segments – consumer electronics, IT & mobile communications and device solutions.

Samsung delivered the sales of KRW200.7 trillion and earned KRW26.4 trillion in operating profits on a consolidated basis in 2015. From the financial perspective, Samsung maintained a sound financial structure by recording a debt ratio of 35.3 percent, an equity ratio of 73.9 percent, and a return on equity ratio of 11.0 percent on a consolidated basis (Sustainability Report, 2016).

Business strategy of Samsung Electronics is directed at strengthening the competitiveness and profit structures and the focus is on the development of premium products. Moreover, the international electronics company is known to benefit from product innovation and expanding its product range in a regular manner.

Thanks to efficient implementation of this strategy, Samsung currently maintains the global leadership in visual display market segment with the market share of 28.3% for all flat-panel TV product lines. In the first quarter of 2015 Samsung surpassed Apple to regain its position as the largest smartphone manufacturer in the world (Sustainability Report, 2016).

Currently, the multinational electronics company has certain weaknesses such as the absence of own operating system (OS) and software, damaged brand image due to product safety issues and recent corruption scandal and low profit margin. Moreover, Samsung is finding increasingly difficult to sustain its competitive advantage.

Samsung Group Report contains the application of the major analytical strategic frameworks in business studies such as SWOT, PESTEL, Porter’s Five Forces, Value Chain analysis and McKinsey 7S Model on Samsung. Moreover, the report contains analyses of Samsung’s business strategy, leadership and organizational structure and its marketing strategy. The report also discusses the issues of corporate social responsibility.

1. Executive Summary
2. Business Strategy
3. Leadership
4. Organizational Structure
5. Organizational Culture
6. SWOT Analysis
6.1 Strengths
6.2 Weaknesses
6.3 Opportunities
6.4 Threats
7. PESTEL Analysis
7.1 Political Factors
7.2 Economic Factors
7.3 Social Factors
7.4 Technological Factors
7.5 Environmental Factors
7.6 Legal Factors
8. Marketing Strategy
8.1 7Ps of Marketing
8.2 Segmentation, Targeting & Positioning
8.3 Marketing Communication Mix
8.3.1 Advertising
8.3.2 Sales Promotion
8.3.3 Events & Experiences
8.3.4 Public Relations
8.3.5 Direct Marketing
8.3.6 Personal Selling
9. Porter’s Five Forces Analysis
10. Value-Chain Analysis
10.1 Primary Activities
10.1.1 Inbound Logistics
10.1.2 Operations
10.1.3 Outbound Logistics
10.1.4 Marketing and Sales
10.1.5 Service
10.2 Support Activities
10.2.1 Infrastructure
10.2.2 Human Resource Management
10.2.3 Technology Development
10.2.4 Procurement
11. McKinsey 7S Framework
12. Corporate Social Responsibility (CSR)
12.1 CSR Programs and Initiatives
12.2 CSR Criticism
13. Recommendations

List of Figures

Figure 1 Samsung Leadership Development Program
Figure 2 Samsung organizational structure
Figure 3 Samsung Electronics quarterly operating income
Figure 4 Annual lobbying by Samsung Group
Figure 5 Changes in Samsung Electronics quarterly operating profits
Figure 6 Samsung Electronics marketing communication process
Figure 7 Samsung Porter’s Five Forces
Figure 8 Global market share by leading smartphone manufacturers
Figure 9 Samsung Value chain analysis
Figure 10 Samsung supply chain management principles
Figure 11 Samsung electronics global network of operations
Figure 12 Samsung Electronics global procurement principles
Figure 13 Samsung McKinsey 7S model
Figure 14 Flow of water resources at Samsung Electronics

List of Tables

Table 1 Samsung SWOT analysis
Table 2 Samsung product divisions and categories
Table 3 Samsung segmentation, targeting and positioning
Table 4 Ratio of female employees by job function
Table 5 Occupational Illnesses and deaths at Samsung manufacturing facilities in Korea

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  • Published: October 2017
  • 11377 Words
  • 48 Pages
Samsung Group Report