Samsung Electronics Case Study Example | Topics and Well Written Essays - 750 words

Samsung Electronics - Case Study ExampleBuyer power, which is another of porter force outs, is also very strong because high competition and knowledge to consumer through advert enlighten them and they become powerful. Similarly, Supplier power is weak because each of these firms can choose to take electronic supply from many companies serving this industry. Substitute products force is also high because of influx of made in China goods in the industry and firms operating in this industry ar vulnerable to cheap products from China. terror of rivalry is very high in this industry, because of various competing brands such as LG, Sony, and Panasonic etc. The driving force in this industry is the lust to get much and more foodstuff sh be. Many firms operating in this industry are trying to achieve this by attracting consumers towards their products through persuasive and informative advertising and cut back prices that they offer to the customers. In the past years, it has been ob served that quality and price are the factors that play the most important part in the success of firms operating in this industry (Daft, 1997). However, look at the overall condition and recessionary trend in the world economy it is very hard to predict that the firms operating in this industry will continue to remain profitable. ... The strategy that Samsung is following to remain competitive in the market is continuous research and development. This helps Samsung to develop new products onward its competitors and attract new market share. SWOT ANALYSISSTRENGTHSSamsung earns the highest revenue in the industrySamsung has a good brand name due to the reliability of its products penny-pinching After-Sales Services and Friendly StaffRigorous training is given to all employees and especially managers WEAKNESSESLagging behind other firms in the mobile phone empyreanSamsung is a very large company, which results in diseconomies of scales and higher prices than its competitorsSamsung i s experiencing higher cost of production than its competitorsOPPORTUNITIESIndustry is growing at the rate 10% Many investors are willing to invest in this industry, and as a result there is good chance for companies like Samsung to Capitalize their reputationTHREATSThis industry is highly competitive, so any minor mistake can doom the companys reputationThe cost of production is rising due to shortage of Skilled workers and hike in the salaries of workersSamsung prices are very competitive to its competitors apart from one or two of their products. Samsung has always tried to remain competitive in terms of prices and this is a result that it is enjoying the highest market share in the industry. The company is competitively very strong when compared to its rivals. Its focus on HOT DESIGN, Lower Prices has yielded good reputation for the company and it has seen sky-rocketing growth both in the revenues and market share. The only strategic problem that the company must address is that they must