This research paper deals with Samsung Electronics: with its history and the competitive advantage. The economy and the culture in South Korea are also addressed. The last chapter is about Samsung's global marketing strategy, especially market entries and the marketing mix.
International trade is anything but a novelty, it has begun before Christ, but the importance of trade has sharply increased since then. Nowadays we talk about global markets and it is necessary to be aware of the importance of global marketing, otherwise companies risk losing domestic customers to competitors with cheaper or better products.
The Fortune Magazine scrutinizes the revenues of large global players every year and publishes a list of the “Global 500” that ranks the global companies by their sales strength. Samsung Electronics was number thirteen in that list in the year 2015. Thus it is worth looking at this great company and the corresponding environment more closely. The purpose of this study is to find out how Samsung shapes its global marketing strategy.
As Samsung is a gigantic conglomerate with lots of subsidiaries I will restrict this thesis to Samsung Electronics which operates in the electronics industry. As Samsung Electronics is still a huge company acting in many business areas with plenty of products on several markets I will limit this research again to the business sector of smartphones.
Table of Contents
1. Introduction
1.1. Preliminary Remark and Problem Description
1.2. History of Samsung
1.3. Competitive Advantage of Samsung
2. Global Marketing Environment
2.1. Economic System in South Korea and Influence on Samsung
2.2. Cultural Dimensions in South Korea
3. Global Marketing Strategy
3.1. Approaching Global Markets – Targeting and Segmenting
3.2. Global Market Entry Strategies
3.3. Global Marketing Mix
3.3.1. Product Decisions
3.3.2. Pricing Strategies
3.3.3. Communication Strategies
3.3.4. Distribution System and Channels
4. Conclusion
Research Objectives and Topics
The research paper aims to analyze how Samsung Electronics shapes its global marketing strategy within the competitive smartphone industry, exploring the influence of its environmental, economic, and cultural background on its operational decisions.
- History and competitive advantages of Samsung
- Impact of the South Korean economic and cultural environment
- Market segmentation and targeting approaches
- Global market entry and distribution strategies
- Components of the Global Marketing Mix (Product, Price, Promotion, Place)
Excerpt from the Book
1.2. History of Samsung
Samsung Electronics Industry Co Ltd. was founded in 1969 by Byung-chull Lee. In the beginning the company produced black-and-white televisions, dish washers and refrigerators. In this time Samsung just run domestic marketing in South Korea, but it started with mass production and exporting color televisions in 1977. Little by little Samsung expanded its markets. The first foreign branch was founded in the United States. Most of all the company owes its first tremendous growth to an ever-increasing electronics business.
In the following years Samsung started producing microwaves, air conditioners, etc. The firm opened a research and development center in Suwon, South Korea in 1980 and two years later Samsung continued with foreign investments: a sales subsidiary was established in Germany as well as a production subsidiary in Portugal. In that time also many other products were added to the production range. In the 1990s Samsung developed the mobile phone handset and the mobile phone system. The firm began producing in China and also developed flat-screen televisions, Blu-ray-players and cordless internet phones.
Summary of Chapters
1. Introduction: This chapter introduces the significance of global marketing, outlines the history of Samsung Electronics, and defines the research scope focused on the smartphone sector.
2. Global Marketing Environment: This section analyzes the economic system and cultural dimensions of South Korea, explaining their foundational impact on the company's development and corporate behavior.
3. Global Marketing Strategy: This chapter explores Samsung's approach to market targeting, entry strategies like the waterfall strategy, and details the four pillars of the marketing mix.
4. Conclusion: The summary highlights Samsung's strengths in product diversification and strategic marketing, while recommending a greater focus on brand value and qualitative growth.
Keywords
Samsung, Global Marketing, Smartphone Industry, Market Entry Strategies, Marketing Mix, Economic System, Cultural Dimensions, Competitive Advantage, Product Decisions, Pricing Strategies, Communication Strategies, Distribution Channels, South Korea, Brand Value, Innovation.
Frequently Asked Questions
What is the core focus of this research paper?
The paper examines how Samsung Electronics effectively positions itself in the global smartphone market through strategic marketing management and how its internal and external environment influences these strategies.
What are the central thematic areas?
The research covers corporate history, the South Korean economic and cultural landscape, market segmentation, global market entry strategies, and the implementation of the marketing mix.
What is the primary objective of the study?
The primary goal is to investigate how Samsung shapes its global marketing strategy to remain competitive against rivals like Apple and others.
Which scientific methods are employed?
The paper utilizes a literature-based analysis of corporate strategy, market reports, and economic indices, applying marketing theory and cultural frameworks like Hofstede’s dimensions.
What is addressed in the main body of the work?
The main body breaks down the global marketing environment, evaluates Samsung’s competitive advantages, and details the specific strategies used for product, price, communication, and distribution.
Which keywords characterize this paper?
Key terms include Samsung, Global Marketing, Smartphone Industry, Market Entry, Marketing Mix, and Competitive Advantage.
How does the South Korean culture influence Samsung's strategy?
According to the text, factors like high power distance, group cohesion, and high uncertainty avoidance (which is countered by strong R&D investment) shape the company's hierarchy and work ethos.
Why does Samsung prefer the "waterfall strategy" for market entry?
Samsung prefers this strategy because it allows the company to establish a product identity in one market and utilize the lessons learned from that experience to expand successfully into subsequent markets.
- Arbeit zitieren
- Giulia Knöpfle (Autor:in), 2016, Samsung Electronics and the Global Market. The History and the Competitive Advantage, München, GRIN Verlag, https://www.grin.com/document/324000
