Professional Documents
Culture Documents
Assignment 1
HND -1262
Business Strategy
Contents
1.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Samsung Electronics Company not only sells but also manufacturing of the equipment. Before
launching any product they ensure the quality of the product through whole process from getting
raw material, production, transportation, and usage and end-of life disposal. All of these are
adding price, quality, design and function which done for product improvement. Before
manufacturing any product, fast maintain the customer choice and all are doing with
responsibility. If customer is not satisfied in the product, the company has to ensure the warranty.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Benchmarking technique can be use for type of information for Samsung. Firstly, the best
way to design and run a field sales force. Second, the performance of the sales team.
Samsung Electronics Company is a part of Samsung group which is one of the leading
manufacturing technologies of home alliance product in the world. Its specially known as
telecommunication, semiconductor, digital media and convergence technologies. This company
provides their strength, limitation, opportunities and threats by SWOT analysis. Now a day, this
company is the global biggest producer for DRAM, SRAM and flash memory which makes the
strong situation of the world brands company and also for the strong competitors
Strengths
Weakness
For
different
semiconductor,
sectors
such
as
first
2009 Phone
Come
backed
about
1000
watt
market.
market.
the
is
backs
company Example
come
telecommunication,
product
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Threat
Opportunities
Several of competitors
Competition in the global market can ability to form strategic alliance in the world
market
according
the
consumer
demand
and
industry
while
telecommunication
market
is
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Weakness
Samsung have a return to unit problem for Phones and Microwave Oven product in
America and China. It has a great impact for Samsung. Products might have shorter life cycle
than past.
The Samsung electronics company has the ability to form strategic alliance in the world market
while according the consumer perspective. This reflects the great attitude of the company.
Myanmar telecommunication market is growing recently. They should to proper use in this
countries for example; in 2008 0.8 million people used mobile but in 2009 it reached about 1.2
million in India.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Now a day, global market is open, so to make a position of any company makes sure their
completion. In this reason Samsung Electronics Company has more competitive in the business
environment, such as Nokia, LG Electronics, Sony, etc., which faces the negative effect in the
market of the Samsung Electronics company.
Samsung Electronics Company facing the weakening position in the liquid crystal displays
(LCD) flats in the market. According in 2010, fast quarter sell about 154 million amount and
second quarter sell only 157 million amount, day by day decreased the demand that is why these
company takes the low prize. This makes the great effect in their financial position.
Samsung should choose the long terms strategy for leading market share in
Myanmar. Myanmar is now changing in every ways for better life. People send more money for
electronic devices. Telecommunication system will be change very soon. Myanmar culture will
be change better life style with innovative products. So A strategic planning programs are very
important for Samsung. Samsung should use strength, change the weakness to strength, grasp
the opportunity in Myanmar.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Firm Infrastructure
Human Resource Management
Profit Margin
Support
activities
Procurement
Distribution Channel in Myanmar
Inbound Operation Outbound Marketing Service
Logistics
Logistic
& Sales
Primary Activities
Value System
Innovation of the product is the value for Samsung. So Samsung value change is very
important for choosing suppliers, and adds the organizational value change, then add retailer or
dealer value change, and customer value change.
Samsung should manage well the linkages in the value system for Myanmar Market. The
Analysis Value Chain Framework has its shortcomings in not being able to represent valueadding activities that Samsung might be performing outside of the value chain.
A lot of the value created by Samsung, even strictly in the mobile market, comes from things like
branding and human resources which are not accounted for in such an analysis. Its because of
this that to understand Samsung and its operations from various perspectives. Determining
inbound and outbound logistics and the changes that would result in them for Myanmar and the
new activities added was the most difficult and perhaps vague sections of the Value Chain
because thats not information readily available to the public.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
The progress in Myanmar's political reforms has seen an easing of international sanctions, and
the Myanmar Government has begun introducing significant reforms to encourage foreign
investment, including new land and investment laws and creating special economic zones.
Myanmar is now changing in better way. Now every sanction release to Myanmar. A lot of
foreign invest come to Myanmar such as Coca Cola, Pepsi, big telecommunication services from
the Europe. It can be impact on Samsung Strategy.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Myanmar Economy policy, Myanmar is likely to allow foreign banks into the country by
2015 and will also pass a new foreign investment law in the coming months. In 2011 the
government took initial steps toward reforming and opening up the economy by lowering export
taxes, easing restrictions on its financial sector, and reaching out to international organizations
for assistance. Although the Myanmar government has good economic relations with its
neighbors, significant improvements in economic governance, the business climate, and the
political situation are needed to promote serious foreign investment. Now this is the best time for
investment in Myanmar.
For the social and culture factors such as demography , family relationship,
religion , and ideology will all affect consumers responded to the product. The marketing effort
must take account these factor. I want to explain you about Myanmar country social and culture.
The country is divided into seven states and seven regions formerly called
divisions. The population of Myanmar is at present has a population of about 56 millions
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Competitors
Samsung biggest competitors in Phone are Iphone , HTC, Hwewai in Myanmar for Mobile. A lot
of big electronic companies come to Myanmar. Myanmar people like iphone more because of the image
quality. HTC and Hwawai are the cheap brand, so everybody can buy easily. Their market shares are also
really big in Myanmar. For the Electronic product, Myanmar has familiar with Sony, Media, and others.
Samsung competitive actions might take the form of price competition, advertising battles, sales
promotion campaigns, introducing new products for the market, improving sales service in Myanmar
New Entrance
Now Myanmar releases the two main mobile service providers. They are very strong Mobile Companies
so that their alliance mobile company will come to Myanmar. It can impact on Samsung. Now Myanmar
Electronic market in booming, so lot of Electronic companies around the world wants to invest and
Myanmar. They are now starting the market research and make survey in Myanmar. When they will come
Samsung will be ready for price war.
Substitute Products
Electronic things are everywhere. If people dont want to use Samsung, they will use another
cheaper product from China. China electronic market share are big in Myanmar because the price are so
cheap. So people who cant get the real product from Samsung, they will chose to buy Samsung made
by China. It can be impact on Samsung.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Organizations have a number of different stakeholders and their goals may be in conflict with
the requirements of the shareholders/owners. These are outlined in the table below.
Stakeholder group
Shareholders/Owners
Managers
Employees
Suppliers
Customers
Samsung have to create value for shareholders/owners, while at the same time, satisfy the other
stakeholders expectations. Clearly this may cause conflicts within Organizations and is often a
difficult balance for the strategic marketer to achieve.
In the past, marketers have tended to pursue purely marketing objectives, such as sales growth,
market share, customer satisfaction and brand recognition. None of these marketing objectives
necessarily translate into increased shareholder value and, as a result, marketing has suffered
from a lack of perceived relevance to true business value.
A long-term concern of many in the marketing profession is that there are too few marketers at
board level and, therefore, they are not really in the best position to argue the marketing case.
Research undertaken by PA Consulting found that 97% of Chief Executives believe that longterm shareholder value creation is their primary objective so, in theory at least, if marketers are
better able to develop strategies that deliver increased shareholder/owner
value, they should be better positioned to achieve representation on the board, where they
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
In 2011, Samsung Electronics achieved record-breaking sales despite the worldwide recession
and increased pressure from competitors. We realized sales revenue of KRW 165 trillion and
operating profit of KRW 16 trillion and maintained a strong financial structure, with a liability
ratio of 32.1% and capital adequacy ratio of 75.7%.
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
Summary
The digital media and home appliance business tripled in profit earnings thanks to the popularity
of LED TV. Samsungs TV business enhanced profitability by being focused on premium LED
TV products and the communications business posted a new record in terms of shipment by
strengthening smartphone product line-up.
Despite the successful results, Samsung is placed under pressure to seek new growth engines
because its current business structure is faced with various challenges and it needs to maintain a
steady growth. To achieve the goal, Samsung will make a huge investment in five strategic
businesses by 2020.
In line with that, corporate restructuring has been conducted through merger, creation of new
business segments and separation since July 2011. Samsungs restructuring efforts has three
goals: first, to fill the entire product line-up with world-best products; second, to improve
Mu NwetKhintZaw
Assignment 1
HND -1262
Business Strategy
relations with the global partners including Sony and ; and, third, to shift its paradigm to a
Software Driven Company. In 2012, corporate restructuring will be focused on separation of
set product business and component business, enhancement of competitiveness in software and
content businesses, and preparation for future businesses. It is expected that Samsung Electronics
will evolve into a new company when restructuring is completed. On the other hand, businesses
struggling with low profitability due to aggravating business environment or immature market
demand will be integrated withothers for an efficient management. For instance, LED
displaybusiness was integrated into component business on April 1, 2012 and LCD display will
be merged with SMD to concentrate on OLED display production.
References
1. Burma (Myanmar): Politics, Society, & Economy. 2013. Burma (Myanmar): Politics, Society, &
Economy.
[ONLINE]
Available
at:
http://newton.uor.edu/departments&programs/AsianStudiesDept/burma-pol.html.
[Accessed
31 March 2013].
2. SAMSUNG
Ireland.
2013.
SAMSUNG
Ireland.
[ONLINE]
Available
at:
[ONLINE]
Available
at:
http://www.samsung.com/us/aboutsamsung/ir/financialinformation/annualreport/IR_Ann
ual2011.html. [Accessed 26 March 2013].
4. Burma (Myanmar): Politics, Society, & Economy. 2013. Burma (Myanmar): Politics,
Society,
&
Economy.
[ONLINE]
Available
http://newton.uor.edu/departments&programs/AsianStudiesDept/burma-pol.html.
[Accessed 27 March 2013].
5. 4. Business Strategy Book ( BPP Learning Media 2013)
at: