Business Research Paper Sample Samsung Company Analysis Report

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The originality of the Samsung Company can be dated back in 1938. The Korean company was started by Lee Byung Chul, who was a Korean resident. The company first had its operations in the country and with the subsequent innovations growth and developments of the company the company has been able to venture into different countries worldwide in the enhancement of its sustainability. After its establishment, the company stayed for a long time without venturing into the electronic market until late 1960s.The company started to deals in the production and assembling of electronic devices such as radios, mobile phones, TVs, fridges among other households’ electronics.

The company had some undertakings such in the year between 1970 and 1990 the company attained the standards of hardware that are adequately fit for the telecommunication industry (Beer, 2005). Such a move is among the high takes that the company took to enable it attain its current status and standards in the telecommunication world. In 1992 Samsung Company was the main memory cards chips producing company in the world which was among its entry points into the dominance of the electronics world.

The starting of the Company’s venture in the electronic world was facilitated by the incubation period between the starting of the company’s operations and the time it was formed. This had been an ample time for the company’s operations to be strategically arranged and formulated to ensure that they are effective and efficiently undertaken once the company started its operations (Chopra & Meindl, 2001). This helped the company in the production of quality products that do not disappoint the consumers. In South Korea, Samsung is the largest electronics company that dominates the electronic business in the country and its neighbors. The ability to dominate in the area was, as a result, of the high quality products that the company produced.

Beer (2005), the products demands are well and effectively enhanced by the fact that the company’s products are of quality standards that are not disappointing to the customers who rely on the company’s products for their satisfaction. This has made the company gains its market dominance in the different geographical locations that it locate as well as its subsidiaries. Being able evenly to dominate the electronic markets in the locality, the company has gained the loyalty from the customers thus being much easier for it to earn more profit that has propelled its extension to the rest of the world.

 Chopra & Meindl (2001), Samsung Company’s dominance of the company’s electronics especially the mobile phones bring about the growth and the development of the company’s brand name. Through the creation of an adverse environment for its products the company can now efficiently undertake its product manufacture without worries of whom; to be the consumers as they already has an existing business. The company has also ventured into foreign countries in a move to offer its services to the customers in the foreign countries. In the venture in the international markets, the company has been applying different strategies to enhance its dominance and sustainability in the markets.

Pederson (2010), the company has many competitors in the electronic market such as a mobile phone companies such as LG, Nokia, Apple, Blackberry, HTC, Alcatel, Sony, Motorola, Tecno mobiles among others. The competitors are at a rise as they also try to achieve the market dominance with their services and products. On the other hand in the face of appliances especially the home use appliances, such companies as LG, Armco, Phillips, and Sony among others are also in the move to dominate in the market. This poses a threat to the company of losing its dominance in the market.

Samsung Company’s business strategy

The company’s strategic plans in its business undertakings are stipulated, and they clearly and effectively influence all its undertakings making them a success. The operational capabilities of the company are what have led to the improved quality products and services that the company offers. Through these improvements, the satisfaction of the customers is usually attained thus having the customer security in their retention to the company (Drucker & Maciariello, 2008). The strategic, operational strategies have also led to the reduced cases of errors and fraud thus enhancing the efficiency of the operations within the country. So, the ability to open more branches in foreign countries has resulted from this efficiency in the operations of the company.

In Samsung Company’s promotion operational strategies in the international business, the company has established several marketing strategies that have made it much more effective to run in the foreign countries (Levine, 2002). The company’s ability to set several subsidiary companies is one of the greatest achievements in promoting international business. The subsidiaries found in most of the countries where they find it conducive to manufacture and assemble their products. The availability of skilled labor, raw materials and market are the major criteria used in selecting the proper geographical location to set up their branches they facilitate an effective operational strategy of the company.

 Through the branches, the customer satisfaction is usually attained. This is because; the clients can easily and efficiently get the products of their choice hence enhancing their loyalty through the satisfaction. Customer’s loyalty makes it more appealing to the company as it makes it more likely of the customer’s return. The subsidiaries have also provided jobs for the local community in the located areas. This henceforth makes the community in the area have the passion for being associated with the company’s brand name as they are proud of the company.

This is a business strategy that aims at the different customers who have the differences in their taste of the goods and services. This makes is much more efficient for the customers to have their access to the company products that suit their technological advancements. Advertisements are also among the business strategies that the company has been employing in its undertakings (Schermerhorn, 2005). This enhances the familiarity of the products and services to the different individuals thus making them to have the awareness of the products. Being the official sponsors of one of the European football club, Chelsea Fc, it helps the company in branding its product through the sponsorship.

 This is because, most of those watching the English Premier Leagues among other International games and sports get to see the extended services of the company and gain some brief or rather general knowledge about the company (Jenster & Hussey, 2001). This leaves many with the urge to try out the company’s products from the company.As they develop the urge, they tend to be forced to have the products from the company or rather the company services thus ending up with the products from the company. This is a concept that tends to increase the sales of the company thus increase in the profitability of the company.

With the company’s continued innovation in their products and services, this has made it possible for the company to extend its services to clients of all standards. This is enhanced by a wide variety of Samsung products such as the various mobile phones models with different features thus being satisfying to the different levels of individuals with different technological advancements. The wider range makes it more competitive with the other competitors as they can be widely found to choose a suitable product from.

However, with the innovations, the customers can access the products and services from different sources the internet where they can make orders and even purchase the products online. Such services as free delivery are also among the extensive customer services that are offered thus acting as a motivational factor to the customers (Bisen & Srivastava, 2009). As the technological field of electronics keeps on changing, Samsung keeps on advancing according to the level of the competitors’ encroachment in order to keep pace in the advancements. The company also tries to come up with unique and quality products that are totally different from those of competitors.' This helps in marketing the company’s brand name and the sustainability of the company in its higher profile. Highly experienced engineers run in the company’s production departments thus enlightening and maintain the high productivity of exceptional products.

Barriers and their effects

On venturing in its undertakings, the company has been facing many problems through the venturing period to its achievement of the competitive advantages. The risks of liquidity in its early stages are the limiting factors to a company growth and development. This faced the company but with its strong operational strategies it emerged and overcome the risks (Mill, 2001). The company’s operations despite its dominance in most of the countries in the electronic market, it has been facing challenges that the world otherwise led to its closure. The laid down strategies are the motivating and enforcing factors to the success of the company in all its undertakings.

The emergence of the counterfeit gadgets is a threat to the company’s loss of customers who would be confused and end up buying the counterfeit products which are usually short serving. Once a customer acquires such a product he or she feels let down with the kind of services that the product offers to them. They ends up blaming the company of having poor quality products and services that end up disappointing them which in real is not the case. This makes the company top lose the customer loyalty which is a threat to the loss of the market dominance (Mill, 2001). The company’s product and service development is another key area that poses a threat to the customer satisfaction with the rising technological changes.

With the kind of products that the company offers they ought to be in line with the changes in the technology offered in the market by their competitors (Michell, 2010). Without this, the company would end being overthrown from the market by the competitors. Some of the competitors have merged to come up with more advanced and quality products such as the Sony and Ericsson companies to come up with the Sony Ericson mobile phones that are highly advanced and of high quality. Through such mergers, they do pose a threat to the company’s operations as it needs to change its overall operations in order to keep up with the rising completion.

Solutions and their advantages

Having the diversity of products especially the mobile phones with the differences in their application, as a result, of their operating system differences makes it more competitive for the company’s products to the wider variety of the products from the competitors. Hiring of sales representatives to do the marketing is the most influential methodology used (Turner & Trone, 2013). Great care is usually taken and safety measures that enhance the suitability of the products are often adapted. Through the company branches in the countries, the company can efficiently run its business in the area as the branch will act as the head office in the duties to undertake. Products promotion is a motivating factor in getting the customer attention. Using such initiatives, the company gains the interests from some customers who end being loyal customers.

In enhancing the operations of the company, the company has a managerial team that deals with customer loyalty. A team that makes sure all the loyalty customers is rewarded. Customer loyalty programs help in motivating the use of the company’s products. Once such initiatives are introduced, the company always has many numbers of customers thus improving their sales level and in return the profitability level of the company (Michell, 2010). In the past period of about a decade, the company has made many changes through expert’s innovation. Such innovations have made it much easier for the company to have the innovation pace that the competitors have. Modernizations of their machines could also contribute to the great changes in the development of the company brand name.

Statistically, the liquidity of the company is very low and almost not in existence to a noticeable level. The company’s financial document clearly shows the rising level of profits. Graphical representations also show how the company has a tendency in the continued growth of the company’s rate of profitability as well as company (Drucker & Maciariello, 2008). Market share dominance could be sustained by the fact that the company’s products being offered continues to be of extensive brands that have different quality and standards to cover for a different customer taste. The differences in the customer preferences make it more suitable to have the different models of products from the company. Different customer preference promotes innovation as the company tries to provide products that are of great caliber. Through this, the company gets motivation from the variety products that the company innovates for the satisfaction of the customers.

From the company’s operations, the company ought to remit the required tax returns in order to avoid problems with the governments thus facilitating their effectiveness in their undertakings. Exports of the Samsung products promote foreign exchange that is an income to the country. South Korea earns foreign trade as the company exports and imports goods for the effective and sustainable undertaking of the business activities (Hill, 2013).  The sale of its products to the local Korean citizens earns profit to the company that is usually charged through taxes. Taxes are also among the main incomes within the country. Submissive of the required amount for tax purposes is what the law enhances as any failure to pay accounts for a fine.

In promoting international business, the company ought to be extensively well recognized for it to have links with foreign countries through the advancements in its operational structure (Davis, 2012). A well outlined organizational structure ensures that there is the proper and effective communication of which communication is the key factor in enhancing the growth and development of the company. Due to the availability of information from the different users, their perspective views of the different concepts can be enhanced in the company thus been able to develop different products that fit fulfills the needs other clients.

For instance, for those who value leisure the company could end coming up with high definition cameras that suitable suit them than the existing ones and install more features unto them. The gadgets would have high resolution power and the megapixel lens of standard quality. Also, the games fanatics play station pads as well as games have been innovated to cater for all categories of individuals. Samsung advances its product with the motives of suiting the current social life of the individuals (Grant, 2007). This is what makes the company’s product be much preferred as they are based on the time’s suitability. While prospecting on to the future, the company makes sure that all its products have a durable lifespan thus being of high value to customers.


Potentials and their barriers for implementations

 Through the introduction of the company into different ventures such as in mobile phones, house appliances, office materials among others. This could make it broader in the type of services to be provided in the markets (Bhadur, 2008). A wider variety of products ensures that there is customer satisfaction as they choose their satisfying appliances. From the wider variety of products, the company can begin and extend its exports of products to other countries that the company does not have a branch in order to reach put the customers in the countries. The orders from the various clients such as distributors could also be timely supplied to ensure that the businesses are not out of stock. Statistics shows that the level of exports from the company is not proportional to the amount of imports from other countries.

Some personal issues such religious differences may cause the cultural differences among the involved parties. Thus in dealing with people from different religious group care should be taken to prevent having conflicts that would be unnecessary. Lack of common objectives also does cause conflicts as there will be a lack of unitary and pluralism among the involved parties. Lack of togetherness will always be three sources of conflict (French, 2009).

For an effective venture of the company, Samsung does its venture through classified and intellectual means where the undertakings are oriented in serving the society and helping them improve their living standards.  Social factors that affect the running of a business should be critically analyzed and solved in order to promote a healthy and profitable business project. All the political issues that seem to affect the project of Samsung Company may be those arising from the tax rates. High levels of taxations always make it much difficult for younger companies to thrive well (Bhadur, 2008). Despite Samsung being a mature company, it ought to be regulated in payment of affordable taxes to minimize the tendency of having deficits as results of taxation. Changes in the importation and exportation terms and fees may also be another effect of the project of the company.

As there emerges rampant cases of lack of the proper and certified licenses, this may lead to closure of the company no matter the worth. Therefore, to venture into a business one ought to have a certified permit to undertake the business without interruption from the law enforcers (Chang, 2008). In all its ventures Samsung have been having detailed considerations of the economic factors that affect the business processes as well as the society. Considering the factors help in deciding on the most appropriate products that best suits the community.

The company has collaborated with other companies in providing of quality services to clients despite it being a wide company in its undertakings (Davis, 2012). Through this minimization of resources, there is maximum profitability in the company. Where joint ventures exist there is low profit share as the profit earned id evenly shared compared with the investors’ contributions. This kind of venture reduces the parties usually share the amount of loss incurred. This minimizes the probability of liquidity. Joined venture called the partnership is always highly recommended as they are usually exempted from paying some taxes thus being a cheap mode of a business venture.

As a result of some disagreements that were settled in a court of law, it was ruled by a Japanese court on the favor of the Korean company. The two companies were involved in a battle regarding the Samsung smartphones commonly known as the galaxy series and the tablets. Apple had complained of the violation of their rights and had sued Samsung for patent infringements. They sued Samsung for lack of patent preservation and wanted compensation from the company (Davis, 2012). The standards of the two companies both locally and internationally seem to be much hectic and more of competitors in the world of mobile phones production. Their unique products are what make them high in the completion rank. Samsung and Apple are profits making companies that highly make it from the sale of mobile phones and tablets all over the world.

With the continued innovation of more technological products is what Samsung aims. Production of quality and unique products through continued innovations. Serving the customers to attain their satisfaction is also the motive of the company in the efforts to retain its customers as well as sustainability in the field of technology. The idea of starting an electronic company has spread all over the world leading to competition in its market. This in return has offered high quality products that are satisfying to the customers.


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