The Changing Business Environment Of Samsung Marketing Essay

The Changing Business surround Of Samsung Marketing EssayThis is summary for Changing Business Environment of Samsung everyplace last Five Year which will give an desire nigh why it is important for all Trading or Manufacturing organization to sympathize the business surround (Macro Micro) i.e. to buzz off and grow over long end point with the help of bourgeoning different strategies.This spread over briefly shows the history of Samsung which bring out its nature diversity of business over last few years. This theme accept usage of ( chock up, PESTEL, BOSTON BOX MATRIX Analysis etc) to label and understand the ever-changing environment of Samsung justifying benefits of using such Analysis tools.In evidence couple of graphs has been presented to show companies effect in ball-shaped commercialise. It shows the sales figure/Financial statement for the past FIVE years which helps in understanding how company is performing in different regions/countries. This compe nsate comprises of conclusions found on findings and also in full general recommendations for the topic.IntroductionSamsung has grown to whiz of largest electronics company since 1938. Since 1970s and early 1980s Samsung expanded globally with modify intention into core technical business. Samsung leads the electronic industry with its high performance and with high ripening rate along with stability.2009Global Market appoint of 13 Percentage of different crossways avail adequate in market. Examples - Mobile Phones, Monitors, Semiconductor.1970beginning Black White (Model P-3202) production started Samsung-Sanyo Electronics.1969SAMSUNG-Sanyo Electronics established (renamed SAMSUNG Electro-Mechanics in March 1975 and integrate with SAMSUNG Electronics in March 1977)1951SAMSUNG Moolsan established (now SAMSUNG Corporation)1938SAMSUNG was founded in, Korea (Taegu)Company SamsungGlobal Market piece of land is terms of sales is as followsTV Market office is 21.9% optical mase r Printer Sh atomic number 18 is 13.7%Mobile Phone Share is 16.7%DRAM Share is 30.1%TFT-LCD Panel Share is 25.7%In the above graphical presentation we poop see the performance of Samsung in various sectors of Electronics and Telecommunicating. If we compare this performance to otherwise companies Samsung emerges as world leader in at least 3 sectors which are TV, DRAM TFT-LCD. This all the way shows us the dominance of Samsung in market and this is in the main callable to its transparent policies, positive approach and honest efforts in being a global leader. This performance info is taken from Samsungs sustainability report for 2009 from Samsung official website.Unit KRW trillionSales20062007200820092010Korea19.321.123.624.2N.AAmerica18.019.625.426.0N.AEurope22.027.034.234.0N.AAsia14.815.719.223.2N.Amainland China11.815.118.920.0N.AThe above data shows the sales performance for the past 3 years in regions across the cosmos. We muckle clearly see that Samsung as a company is growing locally and globally Korea being its local market. This unchanging growth of the company is mainly due to its trade strategies which are paying off well. More details on Samsungs operations, marketing, product line etc cannister be found on http//www.samsung.com/uk/ roughlysamsung/citizenship/oursustainabilityreports.htmlhttp//www.ameinfo.com/178504.htmlThe business environment keeps on changing and is unpredictable. So, it is very necessary to understand and react to this changing business so as to survive and grow in the market.Proper knowledge of business environment will make the entrepreneurs and businesses able enough to plan and implement strategies that are needed to detect the scope of improvement, create and exploit opportunities that come on the way, retain stability, gain competitive advantage and prepare appropriately for the coming(prenominal) challenges. The way the environment is analyzed and accordingly the strategies implemented, will define the way of the business.Here With the example of samsung.The data collected will be analysed using work up. SWOT stands for strengths, weaknesses, opportunities and threats. SWOT abstract, is a strategic business planning tool use to determine the Strengths, Weaknesses, Opportunities, and Threats that exists in business. It includes identifying the business objectives as well as the internal and impertinent factors which are desirely to favour the business. It may be categorize intoInternal factors strengths and weaknesses that are within (internal) organization.External factors opportunities and threats of external environment.The internal factors can be classified into strengths and weaknesses depending upon their effect on organization and business objectives.The factors may include all of the 4Ps as well as personnel, finance, manufacturing capabilities, and so on. The external factors may include macro-economic factors like technological , legal,and socio-cultural changes , as well as changes in the marketplace or competitive position.According to B Kyle SWOT can be identified as internal and external in relation to environment.Strengths It usually tells about the positives of the company. How well we are doing in our commonwealth of interest. What is our position in front of competitor?Weaknesses Weakness refers to area of conflict of our company. Why are consumers not happy about particular product? Why are we not meeting sales target for a particular product.Opportunities It is directly related to external environment. It could be the areas where your competitor is not good at. We should try to utilize strengths in areas of our weaknesses. Are there any emerging trends or possibility to capture market by introducing parvenue product?Threats It could be financial or development problem. Competitors strength is major(ip) threat. Are competitors becoming strong.Description.Strategic business toolsSWOT depth psychology for SamsungStrengths inviola te hold in Consumer ElectronicsLow margin strategy increases sales extremely skilled labour availability locally globallyGood centering on customer service and good marketing strategy salubrious concern and loyal employeesWeaknessesLack of performance in Laser printing machine salesLess cost effective in PC expendable products.Lack of brand recognition in active phone sector. hapless pricing strategyLack of usage of infrastructure in close to part of world e.g. ChinaOpportunitiesCan unseat major billet holders in TV and DRAM sectorsIncrease product digress in consumer electronicsCan sustain future market using the idea of consumer reek researchRapid growth in competitive markets across the globeIncrease in portfolio due to acquisitions of other firmsThreatsFaces high competition from Sony and Nokia in mobile phone sector.Daily entrants of new engineering companiesImpact on sales due to recessionLack of innovation in mobile industry threatens its position further down.Inten se competition from existing companies in PC sector.The above information which helps in doing the SWOT analysis and other graphical presentation helps to answer our objective questions mostly. Although it might not fork out direct answer but clarifies strategies and benefits of organisation doing global and national business. It clearly reveals the benefits of proper marketing in terms of sales numbers.PESTEL AnalysisPESTEL analysis is one of the most important tool of business strategic management which helps in identifying the surroundings within which the company operates. It gives a clear idea about the threats, risks and opportunities that occur in the market. It helps in understanding the needs of market, its fluctuations, whether the market is progressing upwards or downwards (i.e. growth decline ratios) and thus makes the businesses able to develop strategies accordingly.PESTEL is used as decision making tools in macro-environment. PESTEL is assort into -political facto rsEconomic factorsSocial factorsTechnological factorsEnvironmental factorsLegal factorsPolitical factors - Its all about intervenes of the government on the economy of the country. Political factors include areas likeTax policyLabour justnessEnvironmental rightfulnessTrade restrictionTariffsPolitical stabilityServices and goods provide by the government ( merit goods ) and services which is not provided by the government ( shift goods )Goodwill among foreign nationsEconomic factors - It includesInterest ratesEconomic growthRate of inflation (Inflation rate)Rate of Exchange (Exchange rate)For example -Cost of great is directly partakeed by interest rateExporting goods and add of goods is affected by exchange rateInflation raises cost.Social factors - learn of products and company operations are affected by social factors likeCulture of the societyNatality rateGrowth rate suppurate distributionTechnological factors It includesResearch and development activity.AutomationBetter technology for the production of goodsTechnological have direct impact on costs, reference which leads to innovation.Environmental factors It includes-WeatherClimate changeLocality (Place)Ecofriendly products (to overcome with problem of global warming)e.g Effect of temperature on farming and tourism.6. Legal Factors It include Consumer natural lawEmployment lawHealth and safety lawDiscrimination lawe.g Minimum wages system in U.K is legal factor that affect business.Minimum age for employment is fixed by the government.Pestle analysis For SamsungBoston Box matrixreviveConclusions RecommendationsWe have analysed and gathered data from Samsung Company in relation to our topic global versus domestic marketing a critical analysis. The conclusions drawn using company data entirely cannot summarize our findings. However there are similarities in few points. If we catch at the organisation section we can see how Samsung has come a long way to be recognised as a global brand. It sho ws that achieving such position in global market is very hard. not only achieving but it becomes increasingly important to sustain that growth due to fierce competition. It shows how companies have to adjust or change their policies from clipping to time keeping in mind rising and falling economy. In general it alerts companies of being more innovative cautious of environmental changes. It also tension on limitations one has to face as the behaviour and taste of consumer changes geographically.RecommendationsCompanies should develop marketing strategies keeping in mind its strengths, weaknesses and availability of resources to be globally successful.Companies should try to develop product which global consumer can identify intimately from competitors one.Identify a sector where we can see growth and sustain competition.Companies should appoint special taskforce or focused group people to identify the drawbacks of non performing sector and find solutions to that.To be successful o rganisations should concentrate mainly on quality and pricing structure.Be in constant particle with customer by means of advertising, press releases and make them aware about product specifications and changes if there are any.Try to use both forms of communication verbal and non verbal.SummaryFrom this report on global marketing versus domestic marketing we understand that main objective of any company doing global marketing is to find opportunities. It mainly expands companys reach to global customers. This mainly depends on how the company analyses its strengths and opportunities, optimum usage of resources and approach towards business. Here in this report we saw how Samsung as a global company has wide range of products and constantly keeps on adding them to sustain market place. SWOT analysis helped us to understand about positives and negatives of the company. Important outcome of the report about marketing can be converted in one slogan turn over globally and act locally.