Sunday, September 28, 2014

Ch. 2 - Samsung (Strategic Planning for Competitive Advantage)

Goal 1: To drive sales to support its large manufacturing capacity
Objective 1
·         To sell 70,000 S5s in week, and 300,000 in a month in Korea
     Objective 2
·         To increase the Samsung’s Mobile Market Share from 60% to 70% in Korea

Goal 2: To Avoid leveling high margin sales to LG and Apple
 Objective 1
·         To guarantee 50 million for marketing in South Korea (Used 1 billion dollars on ads and budget for the Galaxy S5)

Objective 3
·         To achieve a higher level  of customers satisfaction in south Korea

Objective 4
·         To meet the needs of customers





The Galaxy S5's strong first-month sales were partly due to better preparations than in previous years, Mr Shin said. This time, Samsung offered the smartphone simultaneously in 125 countries and had major carrier agreements in place from the start. The company has also been expanding its presence within retail outlets including Best Buy.

To figure out how to make the Galaxy S5 more attractive, Samsung analysed phones brought to its after-service centers and found that 30 per cent had been turned in "because people were spilling coffee over them or dropping them in water," Mr Shin said.


2013 Financial Highlights
AMOUNTS IN BILLIONS
WON
DOLLARS
EUROS
Net Sales*
302,939.5
268.8
208.4
Total Assets
503,677.1
470.2
356.2
Total Liabilities
279,298.0
260.8
197.5
Total Stockholder's Equity
224,379.1
209.5
158.7
Net Income*
29,537.0
26.2
20.3
[Amounts in billions]
* Won/U.S. Dollar yearly average exchange rate : 1,126.88/1$. Won/Euro: 1,453.68/1€ 
* Won/U.S. Dollar as of the end of December 31, 2012 : 1,071.10/1$. Won/Euro: 1,413.85/1€
 

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