Situation Analysis for Samsung
Samsung was also titled as the number one in consumer electronics brand worldwide and is recognized for its evolutionary advancements in digital technology. The company is known to produce equipment that includes telecommunications, electronics, home appliances, and semiconductors. Initially being launched as an analog driven product line, it transitioned into a universally acclaimed pioneer in technological innovation. The tech industry is currently the world’s largest smartphone and mobile phone manufacturer. Currently, it sells over a hundred products of different varieties and models. Its operational branches are present in about 79 countries. Lee Byung-Chul founded Samsung in 1938. It initially started as a trading company until it gradually evolved into an electronics manufacturer in the late 1960s. It employees about 320,671 workers in December of 2017. Through the SWOT analysis of Samsung, it is clear that the company is still a global leader in chip making and smartphone brands. It has always sustained sufficient revenue and profits as it progresses into the future. The primary challenge it has to face is cutting back on its overreliance on the American markets and explore the potential to operate in other markets. It needs to focus mainly on the Asian continent that is developing at an exceeding rate. Its limited customer base in the US is not reliable enough and may lead to limited revenue and profits. That can become a persistent issue for the company. They need to expand internationally and incorporate a new consumer demographic to thrive.
Samsung is no exception to these rules. Laws differ from market to market, and these strict regulations cause a hindrance in operations. Failure to comply could even result in a complete shutdown in the respective market which may be fatal for Samsung.It is one of the few firms that have managed to adapt to the emerging technologies very fast. However, it is a nightmare trying to figure out what some of the competitors can do with this same technology. Another threat that this firm faces is the stiff competition posed by rival firms. This industry is one of the most competitive industries in the world (Samsung mobiles, 2012). Any slight mistake by the firm may result in a situation where its market share is taken over by other rival firms.
The entire SWOT analysis can, and should, make the managers think more deeply and systematically into the business evaluation process. A careful and thoughtful analysis should bring into the balance of Samsung’s advantages and vulnerabilities Recommendation should review and check their marketing strategy, should use just-in-time (JIT) inventory management.
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Samsung mobiles. (2012). Samsung history. Web.
Yodhia, A. (2013). Sample of SWOT Analysis: Samsung case. Web.