Samsung's Global Competitive Advantage

“A company’s ability to respond to an unplanned event, good or bad is a prime indicator of its ability to compete.” Bill Gates. In order to achieve competitive advantage, it is important to have a strategy. To have a strategy and a competitive advantage is something a business must have. A business cannot survive if it doesn’t have a strategy or doesn’t know how to compete and make a competitive advantage. In 1938 Samsung was founded by Byung-Chull Lee in Taegu, Korea. So, before talking about what strategy Samsung used to achieve global competitive advantage. What a strategy means. Lots of people put definition to make it easy to understand what a strategy means. In 1980, Porter said that developing a

Competitive advantages are conditions that allow a company to produce a good or service at a lower price or in a more desirable fashion for customers. According to SWOT, firms that use their internal strengths in exploiting environmental opportunities and neutralizing environmental threats, while avoiding internal weaknesses, are more likely to gain competitive advantages than other kinds of firms. Samsung in first place build a name for itself. Build a name is not that easy. Samsung had lots of companies that called Samsung like; Samsung Life Insurance, Samsung Chemical, Shipbuilding, and petrochemical industries. All these had the name of Samsung so people hard the name Samsung a lot. These make Samsung a brand in people ears. Samsung had a strategy that was deliberate which changed to emergent. The deliberate strategy that Samsung had was that they were focusing on quantity not quality. This changed to emergent because they were losing the chance to gain a competitive advantage. So, they focus on design. Samsung’s journey to make an excellence design started in 1993. Lee hired a Japanese design consultant to evaluate Samsung’s designers. Lee sent a group of 17 designers to the art center of design. Samsung created world-class design Infrastructure to improve its design capabilities. After a while Jim Wicks said “Samsung has improved, but I don’t see an identity in their design that really speaks to consumers”, In order to get over this problem. They use approach that has six guiding principles. This six guiding principles are such as; to balance consistency with variety, harmonize with the environment, and design for experience and so on. Samsung products provide real emotional benefits to customers. After all of these, Samsung was number one in terms of worldwide TV sales. Samsung was also number one of the best-selling brands in large high-end TVs. This how Samsung