ipl-logo

Samsung Localization Strategy

790 Words4 Pages

Course Concepts: (40pts) This article shows the concept of profit growth. Profit growth is defined as the rate that the net profits raise over time. The two ways consist of selling more products and entering the new market. This is related to the article as Samsung, the biggest mobile-phone cooperation, is facing the arduous situation in China, and trying to solve the issue to formulate the new strategy for increasing its profit growth. In this article, some people in Asian are starting to feel that the Samsung’s mobile-phones cost for a higher price if comparing to the other competitors, such as XIAOMI. It has caused the operating profit in this year to fall about 60% in China. Therefore, Samsung wants to keep and save the profits. The company …show more content…

Localization strategy is defined as the strategy to increase profitability that provides the goods or services to match taste and preferences in different nations’ markets. This is related to this article because of matching the taste and preferences in China, Samsung not only will reduce the price to attractive purchasing, but also will release the new line called Galaxy A: similar to the Galaxy S device at lower price. When the operation encounters the challenge, the company needs to make the new local approach to react to the circumstances. In the object, Samsung has the crisis of producing surplus and sales in China. Consequently, the brand will adjust the localization strategy to fit China, based on the price pressure and buyer …show more content…

The first opportunity is the retail stores that will acquire in China. China has many online retail stores and physical storefronts. Since it is a big country, regular chain of Samsung stores cannot be everywhere. Consequently, if Samsung released the new product in China, the retail stores can increase their sales and promotions. The second opportunity is freight industries. Predicatively, Samsung will enhance selling in China by reducing cost plus releasing the new cheaper mobile-phone. It will create more freight transport works. Since the new product is produced in Vietnam, the shipping to China will be developed; also the cost of transportation to stores will be raised inside China as the Samsung 's new strategy of sale in China is

Show More
Related

  • Walgreens Executive Summary

    1764 Words  | 8 Pages

    (Kieso). Sales growth is …………………… ………………………………. (Kieso). Business Level Strategy

    Read More

  • Advantages Of Samsung Pricing Strategy

    1561 Words  | 7 Pages

    Samsung implements the strategy of “ Red Ocean;” which shows that a firm gains competitive advantage by venture into the current market and constructing on the weaknesses of other competitors in the field of similar products. Thus, Samsung“floods the market with many products” which are made by other companies within short duration of time ( Travos,2002). It seems that Samsung made these new products through developing many of manufacturing products of its Smartphones. However, such attitude is considered to be as a massive cost advantage over other firms that make such product. Samsung has improved its “competition position internationally through developing its present competitive strategies” , through depending on the other manufacturers`

    Read More

  • Why Ikea Go International Case Study

    1438 Words  | 6 Pages

    In order to be succeed on international market, it’s very important point to define the international strategy. If to define the international strategy: an international strategy is when a company hires a strategy through which its goods and services are sold out of its local market. Enlarging into international markets allows potential opportunities to companies. Let’s see the IKEA’s international strategy in the following Figure 1. IKEA has expanded from a small, family-owned home furniture corporation into a global retailer within 385 stores in 48 countries, during its 72-year history.

    Read More

  • Five Forces Analysis Of Samsung

    993 Words  | 4 Pages

    Porters Five Forces Analysis: Samsung Electronics  Introduction Samsung Electronics focuses in three specific areas; Consumer Electronics, IT & Mobile Communications and Device Solution. Porter’s Five Forces model has been used to analyse Samsung Electronics competitive position within the global market they operate in. By using this model, an evaluation of their current position will highlight which of the five forces are “affecting the intensity of competition in an industry and its profitability level” (Jurevicius, 2013). Nevertheless, when conducting analysis on an international company such as this, studying of market trends is already carried out thoroughly to ensure that they are fully aware of that market, in order to achieve success and maintain within it. With this in mind, it would be considered that Samsung Electronics would have a relatively good competitive advantage against other rival companies.

    Read More

  • What Are The Social Forces Of Samsung

    1109 Words  | 5 Pages

    As from the research found, Samsung are originally from South Korea. This means it is around the world. Hence, there will be a change in many aspects of global operations according to the local conditions. Samsung has also had to change its products to match the rapidly changing consumer preferences in certain markets. Samsung is

    Read More

  • The Advantages And Disadvantages Of Ikea's International Strategy

    1026 Words  | 5 Pages

    Global strategy is an international strategy that implements by a company which they doing their business in different countries. Internationalization is a process for IKEA expand its business and it was quite important because through the internationalization process, IKEA was able to gain a broader area of marketplace to sales their products, which will lead to profit and revenue increased and new market places existed mean new opportunity for IKEA to improve their product in order to meet the customers’ needs. The first reason that IKEA should go to international level is because the Swedish market is small and no enough for IKEA to expand itself. This is important for IKEA because the small market mean low opportunity, lower profit and

    Read More

  • Analysis Of Financial Analysis: Whitbread PLC

    3531 Words  | 15 Pages

    This, joined with its great cash-flow, has driven the board to suggest an entire year profit increment of 19.9%. This amplifies its reputation of double digit development, with sales growing by 11.4% in the course of the most recent five years and EPS and dividend per share becoming by 14.7% and 13.5% respectively. (Whitbread Investors,

    Read More

  • Samsung: A Case Study: Cost Structure Of Samsung

    850 Words  | 4 Pages

     COST STRUCTURE OF SAMSUNG Low cost structure of Samsung and high responsiveness to economic events has made Samsung more competitive. For example, initially Samsung focused more on volume and domination on market rather than increasing profitability. However, in 1990s, during the Asian financial crisis, Samsung cut costs and reemphasized product quality and manufacturing flexibility, which allowed its consumer electronics move from project phase to store shelves within next six months. Under the resources-based view of strategic management, effective resources available to a firm, as well as the competency of a firm is responsible in affecting competitive advantage received by a firm.

    Read More

  • Samsung Manufacturing Strategy: Process Strategies

    732 Words  | 3 Pages

    Process Strategies The process strategies, for such a large manufacturing company, would need to be varied. The production process type would be determined by the product life cycle stage at that time (Thayer 2004).Product life cycles for items such as smartphones and tablets do not generally follow the standard life cycle stages. The maturity stage can be interrupted by discontinuation or irrelevance of a technology, which recommences the cycle (Giachetti & Marchi 2010). Incidentally, during the product life cycle of these items, a cyclic improvement of both process and product is required to stay in contact with market changes.

    Read More

  • Globalization Of Mobile Phones Essay

    806 Words  | 4 Pages

    Globalisation is a key factor in today’s modern society with it spreading to even the most remote and poverty ridden continents of the world. It shows how something as simple as a mobile phone can help spread this on a global scale. Africa is the world’s poorest continent with people earning from 75p to £1.50 a day, after taking a closer look and researching into mobile phone use in Cape Town, Zanzibar and The Gambia it shows how local people’s lives are being changed due to the use of a mobile phone. In Africa alone the use of the mobile phone has increased by 65% in the last 5 years[1], this being the first method of ICT that has actually been adopted by locals due to the low price of a handset. Mobile phones are a technologic advancement that have been around since the early 1980’s, they were first seen as a fashion accessory in countries with good economic climates that could afford the very expensive handsets.

    Read More

  • Samsung Case Study: Samsung Business Strategy

    899 Words  | 4 Pages

    1.2. International expansion Samsung Electronics started as one of the biggest suppliers of international high-tech companies producing chip, battery and memory. After a few years of experience, they extended their activities for the public market by producing TV, screens, micro-waves and so on. Samsung takes advantage of their

    Read More

  • Internalization Strategy Of Lenovo

    1643 Words  | 7 Pages

    1.0 Introduction The main objectives of this report is to identify and critically evaluate the strategies used by a chosen Multinational Company (MNC) to internationalize. Firstly, this report will clearly analyzed the current internalization strategies that being used by the chosen Multinational Company (MNC) which is Lenovo Group Limited and its relationship with the theory of internalization. Secondly, a relevant of internalization strategies will be proposed in this report which is suitable for the internalization of Lenovo Group Limited.

    Read More

  • What Is Huawei's International Strategy

    879 Words  | 4 Pages

     Transnational strategy Huawei has already passed the international strategy and multinational strategy. Now it is in the global strategy. At the moment, Huawei is entering into the field of transnational strategy through continuous reform. This will help Huawei to establish a brand image, integrate capital, and closely align its service and business models with the local market Specific requirements provide a solid foundation.  Strategic alliances, cooperation and joint ventures Since 2007, Huawei has cooperated with these international companies in a variety of forms, ranging from simple product sales (NEC sells Huawei data communications through the OEM market in Japan).

    Read More

  • Apple And Samsung Comparison Essay

    700 Words  | 3 Pages

    English 102 Essay 2 Jalal Bou Kanaan Outline “The Apple and Samsung showdown” I. Introduction: General Background information + Thesis: “what makes those companies not alike are the phones they release through the years, but are they that different?” II. “example of two leading rival companies in the field of smart phones” A. Information about the Samsung Galaxy Note 4 B. Information about the Apple iPhone 6 Plus III.

    Read More

  • Samsung Target Market Analysis

    1213 Words  | 5 Pages

    Sensitive market to these kinds of products are commercial line and offices those has to get technological interface to attain day to day tasks. Samsung has contributed in so many innovative products to make users life easy such as tablets, mini laptops, and televisions to provide with the wide range of technology for personal use. Samsung is known for its colors and picture quality in the

    Read More

More about Samsung Localization Strategy

Open Document