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Samsung : Generic Strategy

         Group – 4
        Section – S3


              Abhishek Sharma        FT13300
              Guneet Arneja
              FT13331
              Niyati Mehta
              FT13353
              Ramachandran Srikrishnan FT13362
              Sankalp Parihar
Samsung : Overview
• Samsung Electric Industries - established as a subsidiary of Samsung
  Group in 1969 in Suwon.

• Samsung Electronics commenced its operations in India in December
  1995 and is today a leading provider of Consumer Electronics, IT and
  Telecom products in the Indian market.

• The company focuses on four areas:
     Digital media – which include computer devices, home appliances, digital
      displays and enteratinment devices
     Semiconductor – which include optical disk drives, SDRAM, mobile
      application processor etc.
     Telecommunication network- which include mobile phones, fax machines,
      satellite receivers
     LCD and LED digital appliances - focus on making LED and LCD panels
      for monitors, television
• Samsung India is a market leader in product categories like
  LED TVs, LCD TVs, Slim TVs and Side by Side Refrigerators.
  It is the world's largest mobile phone maker, world's second-
  largest semiconductor chip maker (after Intel Corporation).

• The company works on a strong value system. At the core of
  every decision, these values play a major role.
    People
    Excellence
    Change
    Integrity
    Co-prosperity
Samsung : Product Line
•   Mobile Phones and Tablets
•   Televisions
•   Refrigerators
•   Air Conditioners
•   Washing Machines
•   Microwave Owens
•   DVD /Blue Ray Players
•   Camera/Camcorder
•   PC/ Laptops / Peripherals
•   Accessories
•   Business needs like compressors, semiconductors, fibre optics
Samsung as a Differentiator
• Customer/Service Orientation: It provides services to its customers
  through a wide service centers network, online technical support,
  online complaints, live chats and phone support.

• Long Term funds Priority for discretionary expenses: Each year
  Samsung invests at least 9% of our sales revenue in R&D activities.

• Product Strength and Innovation: Samsung's innovative and top
  quality products coupled with our innovative marketing initiatives
  have contributed to the success of the brand globally as well as in
  India.

• Long Term Focus: Samsung has mapped out a specific plan of
  reaching $400 billion in revenue and becoming one of the world’s top
  five brands by 2020.
• Product Oriented R & D: Samsung’s emphasis on Product
  Innovation and R&D has given the Company a competitive edge
  in the marketplace. More than a quarter of all Samsung
  employees work everyday in research and development at 42
  research facilities around the world.
• In April 2011 Samsung South West Asia organized its first regional
  forum held under the theme of "Smarter Life". Announced Samsung's
  Smarter Life philosophy: Smart Design, Smart Experiences and
  Smart Connections.

• Samsung's three key strengths: “New Technology,” “Innovative
  Products,” and “Creative Solutions.”
Samsung Laptops and PC’s
• Samsung Ultrabook are slimmest
  notebooks among the windows platform
  based laptops.
• Combined great design with amazing
  performance.
• Various variants available as the
  consumer needs.



• Samsung Netbook unites outstanding
  mobility and usability.
• Its robust design, with an ultra durable
  casing, delivers long-term reliability and
  value. But it still weighs less than
  1.03Kg and boasts an anti-reflective
  screen and the latest mobile
  technology.
Samsung Mobiles and Tablets
• While Samsung is the second largest mobile handset brand in India,
  it leads in the smart phone segment in India.
• Company’s market share in Mobiles has grown from 6% in 2008 to
  over 30% as on date.
• Samsung has followed differentiation strategy with immense focus on
  new innovations and technologies.
• Samsung has been a leader in understanding the needs of the
  consumers and has focused on improving the products and services
  provided to customers by incremental changes and improvements.

• In Oct 2010 Samsung was the first
  company to launch Tablets in the
  Indian market, with the Galaxy tab
  7”.
• Later released Galaxy tab 10.1”.
• Latest releases in this series are
  Samsung Galaxy Tab 2 (7.0“) and
  Galaxy note (10.1“).
• Launched Galaxy S2 which was
  one of the slimmest smartphones
  of the time.
• It is one of the first devices to offer
  a Mobile High-definition Link
  (MHL), which allows up to 1080p
  uncompressed video output to an
  MHL enabled TV or to an MHL to
  HDMI adapter.

• Nov 2011 - Samsung creates a
  new mobile category in the Indian
  market by launching its
  revolutionary Galaxy Note with the
  market's largest HD Super
  AMOLED display, supreme
  portability and advanced Smart
  Pen feature to meet the
  consumers' creativity and
  productivity needs.
• Released Samsung Galaxy Y Duos
  for Rs 8500.
• Multimedia phone with unique
  features, good design and
  functionality for budget consumers.
• Cheapest Android phone available
  at the time of release.
• Duos Range snatched up the top
  position among smart phone users.
• Samsung followed a cost leadership
  and differentiation leadership
  strategy by developing Smartphone
  with a focus on meeting strict
  quantitative targets.
Televisions – LED’s and LCD’s
• In 2009, Samsung sold around 31 million
  flat-panel televisions, enabling to maintain
  the world's largest market share for a
  fourth consecutive year.

• In March 2009, Samsung also launched
  the "Finger-Slim" super-slim LED
  television resulting in sales of about two
  million units.

• Leading the flat panel television market for
  quite many years.
• Launched its first full HD 3D LED television in March 2010 and sold one
  million pieces within six months of launch. First company to have the full
  line of 3D offerings, including 3D television, 3D Blu-ray play, 3D content,
  and 3D glasses.

• Also introduced Internet TV and Smart LED TV which supports downloaded
  applications.
Home Appliances
• Samsung is focused on developing
  pioneering products to add value to
  everyday.

• The company incorporate quantum
  changes with change in technology.

• The new range of air conditioners can
  detect weather forecasts and recommend
  efficient temperature and operating mode.
  They can also prevent viruses and bacteria
  to up to 99.99% and can adjust
  temperature automatically for a good night
  sleep.
• Latest Samsung refrigerators are Wi-Fi enabled. The door has 8”
  touchscreen which connects you to Internet and thus you can access
  cooking sites, heath site from your refrigerator door.
Samsung have also pioneered the washing machine
segment with continues innovation which makes washing
easy. Currently the most promising features are:
• PowerFoam Technology-In this a deep cleansing foam
  is created by the PowerFoam washers.

• Vibration Reduction Technology (VRT) provides
  smooth operation at high spin speeds, significantly
  reducing vibration and noise.

• PureCycle - helps remove dirt and detergent residue.

• It also has has the Silver Nano science which acts as
  an anti-bacterial agent to take away germs from
  outfits.
Analysis
• Samsung has undertaken a differentiation strategy
  in all these three segments.

• The company focuses on providing innovative
  quality products to the customer and thus is aimed
  at making life easier for its customers.

• The various features in these products have helped
  the company gain a large market share and
  consumer loyalty.

• After following the differentiating strategy the net
  sales, that was dipping till 2009, increased to 220.1
  billions and has continued increasing.
Thank You

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Samsung's Generic Strategy Focus on Innovation

  • 1. Samsung : Generic Strategy Group – 4 Section – S3 Abhishek Sharma FT13300 Guneet Arneja FT13331 Niyati Mehta FT13353 Ramachandran Srikrishnan FT13362 Sankalp Parihar
  • 2. Samsung : Overview • Samsung Electric Industries - established as a subsidiary of Samsung Group in 1969 in Suwon. • Samsung Electronics commenced its operations in India in December 1995 and is today a leading provider of Consumer Electronics, IT and Telecom products in the Indian market. • The company focuses on four areas:  Digital media – which include computer devices, home appliances, digital displays and enteratinment devices  Semiconductor – which include optical disk drives, SDRAM, mobile application processor etc.  Telecommunication network- which include mobile phones, fax machines, satellite receivers  LCD and LED digital appliances - focus on making LED and LCD panels for monitors, television
  • 3. • Samsung India is a market leader in product categories like LED TVs, LCD TVs, Slim TVs and Side by Side Refrigerators. It is the world's largest mobile phone maker, world's second- largest semiconductor chip maker (after Intel Corporation). • The company works on a strong value system. At the core of every decision, these values play a major role.  People  Excellence  Change  Integrity  Co-prosperity
  • 4. Samsung : Product Line • Mobile Phones and Tablets • Televisions • Refrigerators • Air Conditioners • Washing Machines • Microwave Owens • DVD /Blue Ray Players • Camera/Camcorder • PC/ Laptops / Peripherals • Accessories • Business needs like compressors, semiconductors, fibre optics
  • 5. Samsung as a Differentiator • Customer/Service Orientation: It provides services to its customers through a wide service centers network, online technical support, online complaints, live chats and phone support. • Long Term funds Priority for discretionary expenses: Each year Samsung invests at least 9% of our sales revenue in R&D activities. • Product Strength and Innovation: Samsung's innovative and top quality products coupled with our innovative marketing initiatives have contributed to the success of the brand globally as well as in India. • Long Term Focus: Samsung has mapped out a specific plan of reaching $400 billion in revenue and becoming one of the world’s top five brands by 2020.
  • 6. • Product Oriented R & D: Samsung’s emphasis on Product Innovation and R&D has given the Company a competitive edge in the marketplace. More than a quarter of all Samsung employees work everyday in research and development at 42 research facilities around the world.
  • 7. • In April 2011 Samsung South West Asia organized its first regional forum held under the theme of "Smarter Life". Announced Samsung's Smarter Life philosophy: Smart Design, Smart Experiences and Smart Connections. • Samsung's three key strengths: “New Technology,” “Innovative Products,” and “Creative Solutions.”
  • 9. • Samsung Ultrabook are slimmest notebooks among the windows platform based laptops. • Combined great design with amazing performance. • Various variants available as the consumer needs. • Samsung Netbook unites outstanding mobility and usability. • Its robust design, with an ultra durable casing, delivers long-term reliability and value. But it still weighs less than 1.03Kg and boasts an anti-reflective screen and the latest mobile technology.
  • 11. • While Samsung is the second largest mobile handset brand in India, it leads in the smart phone segment in India. • Company’s market share in Mobiles has grown from 6% in 2008 to over 30% as on date. • Samsung has followed differentiation strategy with immense focus on new innovations and technologies. • Samsung has been a leader in understanding the needs of the consumers and has focused on improving the products and services provided to customers by incremental changes and improvements. • In Oct 2010 Samsung was the first company to launch Tablets in the Indian market, with the Galaxy tab 7”. • Later released Galaxy tab 10.1”. • Latest releases in this series are Samsung Galaxy Tab 2 (7.0“) and Galaxy note (10.1“).
  • 12. • Launched Galaxy S2 which was one of the slimmest smartphones of the time. • It is one of the first devices to offer a Mobile High-definition Link (MHL), which allows up to 1080p uncompressed video output to an MHL enabled TV or to an MHL to HDMI adapter. • Nov 2011 - Samsung creates a new mobile category in the Indian market by launching its revolutionary Galaxy Note with the market's largest HD Super AMOLED display, supreme portability and advanced Smart Pen feature to meet the consumers' creativity and productivity needs.
  • 13. • Released Samsung Galaxy Y Duos for Rs 8500. • Multimedia phone with unique features, good design and functionality for budget consumers. • Cheapest Android phone available at the time of release. • Duos Range snatched up the top position among smart phone users. • Samsung followed a cost leadership and differentiation leadership strategy by developing Smartphone with a focus on meeting strict quantitative targets.
  • 14. Televisions – LED’s and LCD’s
  • 15. • In 2009, Samsung sold around 31 million flat-panel televisions, enabling to maintain the world's largest market share for a fourth consecutive year. • In March 2009, Samsung also launched the "Finger-Slim" super-slim LED television resulting in sales of about two million units. • Leading the flat panel television market for quite many years. • Launched its first full HD 3D LED television in March 2010 and sold one million pieces within six months of launch. First company to have the full line of 3D offerings, including 3D television, 3D Blu-ray play, 3D content, and 3D glasses. • Also introduced Internet TV and Smart LED TV which supports downloaded applications.
  • 17. • Samsung is focused on developing pioneering products to add value to everyday. • The company incorporate quantum changes with change in technology. • The new range of air conditioners can detect weather forecasts and recommend efficient temperature and operating mode. They can also prevent viruses and bacteria to up to 99.99% and can adjust temperature automatically for a good night sleep. • Latest Samsung refrigerators are Wi-Fi enabled. The door has 8” touchscreen which connects you to Internet and thus you can access cooking sites, heath site from your refrigerator door.
  • 18. Samsung have also pioneered the washing machine segment with continues innovation which makes washing easy. Currently the most promising features are: • PowerFoam Technology-In this a deep cleansing foam is created by the PowerFoam washers. • Vibration Reduction Technology (VRT) provides smooth operation at high spin speeds, significantly reducing vibration and noise. • PureCycle - helps remove dirt and detergent residue. • It also has has the Silver Nano science which acts as an anti-bacterial agent to take away germs from outfits.
  • 19. Analysis • Samsung has undertaken a differentiation strategy in all these three segments. • The company focuses on providing innovative quality products to the customer and thus is aimed at making life easier for its customers. • The various features in these products have helped the company gain a large market share and consumer loyalty. • After following the differentiating strategy the net sales, that was dipping till 2009, increased to 220.1 billions and has continued increasing.