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Assignment 4

Capstone Project
Sabuhi Allahverdiyev
BUS544(Intl Business Strategy!
Instructor" #r $ravis #avidson
#ate" % September &'(4
Strayer University
Summer &'(4
Capstone Project
Introduction
)ar*ets are ruled by competition+ ,umerous businesses compete
among one another -or maintaining the share in mar*et+ .urthermore/ rivalry
assists businesses in improving their current products by adding ne0er
-unctions and -eatures -or the reason that it is the goal o- every company to
lead the mar*et and be beyond its closest rivals+ In doing so/ -ailure can lead
to the business ban*ruptcy+ ,ovelty comes into play/ because ne0er
technology is being improved and developed daily+ 1o0ever/ innovation and
technology are connected closely+ $he capability o- envisioning the -uture
and creating the best sort o- technology 0ill be an achievement -or any
corporation+ $his paper 0ill analy2e and compare the current strategies o-
business -or t0o competitors/ Samsung and Apple+ Additionally/ it 0ill de3ne
each vision and mission o- the company that is aligned 0ith an organi2ations
strategic direction and goal+ .urthermore/ the essay 0ill conduct a S45$
analysis/ along 0ith d0elling on the tactics that Samsung and Apples
leaders have changed -or e6ective operations to cultural di6erences+
)oreover/ the paper 0ill assess organi2ational competences o- each
company that assist in increasing the pro3t and per-ormance+ Additionally/
the paper 0ill suggest a business tactic -or e7ploiting e6ectiveness+ In
conclusion/ the paper 0ill de3ne the 0ay the Samsung and Apple
discouraged immoral conducts and the 0ay both businesses can develop
per-ormance o- business+
The exploration of current business strategies
Samsung and Apple/ both operative in the e8uipment o- consumer
electric industry/ have -ound the inevitability -or developing strategies o-
business that allo0 them -or achieving their corporate objectives+ Samsung
and Apple held a partnership -or building memory chips -or iPhones+
Inappropriately/ their relation terminated brus8uely as Samsung 0as sued by
Apple/ and 0on9 blaming Samsung -or utili2ing patents o- Apple -or
developing its individual product:line+ .or the similar charge/ Apple 0as sued
by ,o*ia and 0on+ $hough/ there 0as no partnership bet0een ,o*ia and
Apple (1ill/ C+/ ; <ones/ =+/ &'(>/ p+ >&?!+ $hese instances indicate that
business strategies and relationships can alter instantly+
$im Coo* stated that @I am not going to 0itness or prevent the slo0
undoing o- Apple A because I believe in it so deeplyB (5gg/ &'(&/ para+ 5!+ It
is indicated in this statement that Coo*/ is about to retain current situation
concerning strategies o- business+ It is believed by Coo* one should remain
concentrated on producing a -e0er e7traordinary products instead o-
numerous/ as this might become the reason -or Apple to stretching itsel-
thin+ Additionally/ Apple has to just venture into mar*etplaces 0here it can
signi3cantly add to society and not only sell products -or ma*ing revenues+
$his business 0ay is just li*e the 0ay thought by Samsung+ $hough/ share
prices o- Apple are great and Coo* is observing the pile o- money very
closely+ Apple is very care-ul regarding creating debts+ .or controlling
overhead/ a model o- virtual integration is used by Apple through its o0n
items/ such as/ iPhones andCor laptops -or maintaining communication 0ith
its 0or*ers/ -or conducting meetings o- business/ through international
telecon-erencing/ and even their system o- computer:aid design/ *no0n as/
CA#+
Contrasted 0ith Apple/ Samsung has a simpler philosophy and eDcient
strategies+ .or maintaining competitive edge/ a business needs to stay 0ith
0hat is *no0n best by it : its product+ 1ori2ontal integration is the corporate:
level approach/ 0hich indicates a strategy o- single:industry corporate/ 0hile
e7ploiting long:term e6ectiveness+ )a7imi2ing technology and talent/
-orming superior services and products/ and assisting in inEuencing a better
global society are included in strategies+
)ultiple applications are -eatured by products o- Samsung in their
memory chips and on its devices o- mobile/ 0hich se8uentially/ helps other
users o- business in capturing vital understanding through communication/
involving numerous individuals across various regions+ It provides enhanced
lives along 0ith internally motivating Samsung/ 0hich is to mainly
concentrate on ma*ing an enhanced international community/ involving
more individuals/ mar*eting more items/ thus rising e6ectiveness and
e6ectively ma*ing a stronger strategy o- business+ Stronger values sur-aced
0ith these eDcient strategies+ .or developing and delivering the best
services and products on the e7isting mar*etplace/ Samsung is driven -or
e7cellence by a passion+ Samsung is accustomed to change and -uture
mar*et driven+ 4hether the modi3cation is because o- the constant inventive
challenges or 0orld0ide economy/ the business is contingent to its talent o-
-ast:paced ma*ing o- decision -or maintaining survival+ Integrity o- Samsung
is an ethical e7tent that assures absolute transparency/ esteem -or
sta*eholders/ and -airness+
SWOT analysis of Apple and Samsung
.or business:level strategies/ an epic part is competitive positioning+
#ecision:ma*ing o- e7ecutive is generally grounded on the 0ay the
consumers vie0 the value o- product/ along 0ith demand o- mar*et -or that
product+ Product positioning includes options o- pricing 0hich might call -or
distinguishing a product -or meeting the demand o- mar*et+ Industry
competition can also impact the positioning+ )any businesses strive -or
*eeping ahead and lo0ering overheads 0hile their structure o- cost remains
undamaged and at the same time sustaining e6ectiveness9 ho0ever its not
easy al0ays as Apple ma*es it out to be grounded on their cash mountain+
Belo0 is the S45$ analysis o- Samsung
Samsungs SWOT Analyses
Strengths
Capability o-
mar*eting brand
Smartphone sales F&
Garge share in cell
phones
Go0er costs o- product
Weanesses
,umerous products
Absence o- o0n
so-t0are and 5S
Hey rivals are the
main buyers
Go0er margin in
Concentration on
environment
=eographic e7istence
5utstanding
industrialCinnovationC design
Integration o-
hard0are
pro3t
Patent violation
Opportunities
Attain patents through
ac8uisition
)ar*et o- tablet
Processors o-
application
Iuality demand
)obile promotion
)ar*et o- India
Threats
Price 0ars
i$J launch o- Apple
Breached copyrights
#ecreasing margins
on production o- hard0are
.ast tech variations
Saturated mar*ets o-
smartphone in developed
nations
Apples SWOT Analyses
$hrough the cell phone and its personal computers/ Apple has a
competitive edge+ .or the company/ one more main aspect is the o6ering o-
content 0hich is shared through i$unes across every device+ Kvery type o-
media is stored in I$unes+ .urthermore/ Apple/ Inc+ stated that a competitive
advantage is gained by the company -or the reason that it creates its
individual services/ applications/ so-t0are/ and operating systems (Apple Inc+/
&'(4!+
Strengths
A0esome inter-ace
Billions in cash
revenues
Goyal customer base
1igher de3ned chain
o- supply that can cater -or
orders higher demand
Superior design and
po0er-ul brand image
Weanesses
1igh prices
Concentrating users
-or s0itching -rom latest
products by decreasing
up*eep -or e7isting product
line
Gimited products
Opportunities
=ro0th opportunities
and Kmerging nations
)a*e easier
incorporation 0ith iCloud
)ACs more attractive
in oDces
1igher demand -or
Threats
International
economy disorder
Incapability o-
customi2ing products
Livalry o6ers cheap
prices
tablets and smart:phones
As hard0are integration o- Samsung has a stronger collaboration 0ith
so-t0are and open source operating systems (5S!/ so does Apple 0ith its
outstanding -unctionality o- inter-ace+ Samsung and Apple have higher
8uality items that create competitiveness/ animosity/ envy+ $hough/ there are
billions -or Apple in revenue/ it does not spend+ In its place/ it remains
concentrated on -e0er products+ 4hile Samsung concentrates on the
surroundings/ and spends money on design/ technology/ and innovation+
And/ simultaneously/ *eeps lo0er product costs/ 0hich obviously is one *ey
attraction+ Conversely/ products o- Apple are limited/ 0hich indicates clients
may ultimately loo* some0here else -or satis-ying their hunger -or novelty+
The strategies of each companys business leaders
Both Samsung and Apple have sustained incomparable models o-
business because o- their -oresight/ talent/ and Ee7ibility+ .urthermore/ a very
signi3cant element o- an e6ective strategy is culture+ K7ternal and Internal
cultures/ both must be managed accurately 0ith the intention o- ta*ing
advantage o- the global or national mar*et industry+ )oreover/ employees o-
company/ its behaviors/ belie-s/ and values replicate the culture o- company+
Samsung and Apple have dissimilar cultures that assist in -acilitating
e6ective operations and driving ne0er initiatives o- strategies 0ith enhanced
innovation superiority+
According to $im Coo*/ Apples CK5/ @Apples success proves that
mission and -ocus/ not diversity/ are 0hat drives corporate greatnessB (1all/
B+/ &'(>/ para+ 5!+ )oreover/ in an environment o- global business/ it is
rational to reali2ing that local conditions and product costs may need to be
altered -or employees and customers -or gaining bene3ts+ $hough/ there are
advantages/ limitations are also placed by customi2ation on the economy
scales+ $hus/ i- a business thin*s outer than the bo7/ it might still have a
chance -or remaining e6ective+ Apple has supported both A creativeness and
Ee7ibility+ Kverybody agrees that product:line o- Apple is e6ective/ so
currently/ Apple can consume its much time in organi2ing its ecological
initiative/ -or e7ample/ developing ne0er manners -or using recyclable
contents such as aluminum+
#r+ 5h:1yun H0on/ CK5 o- Samsung/ has additional cultural
dissimilarities+ .or reacting to ha2ardous environments o- business and a
increasingly competitive mar*etplace/ the *ey is L;#+ @,ine percent o- sales
revenue is set aside -or L;# activities/ committing to leading technology
standardi2ation and securing patents+ =lobal mar*ets : L;# net0or* has si7
centers in Horea/ and (M more throughout U+S+/ U+H+/ Lussia/ Israel/ India/
<apan and China+ $hese L;# divisions investigate the latest tech trends and
0or*s to recogni2e 0hat technologies and latest trends o6er the greatest
bene3tsB (Samsung/ &'(4!+ ,e0 strategic edges A outcomes throughout the
research are that ecological carbon -ootprint o- Samsung is not di6erent -rom
Apples+ Samsung and Apple 0ant to *eep a healthy and clean atmosphere+
Initiatives/ such as/ going green -or assisting nature/ recycling products/ and
supporting -or programs/ -or e7ample/ the @1ope -or ChildrenB/ 0hich is
supported by Samsung by donating electronic devices and tools -or H:(&
learning+ $his last instance is a magni3cent 0ay -or proving that Samsung
actually considers its products and encouraging 0orld0ide shaping+
!"aluation of organi#ation competencies of each company
Kntrepreneurial competences A -rom both sides/ e7ecutives need to
recogni2e/ and then e7ploit ne0er opportunities -or being e6ective in this
category+ $he above S45$ table has presented that Samsung and Apple
have opportunities that could be pursued+ $heir organi2ational culture assists
in motivating managers -or acting/ rather than reacting/ in an innovative
capability+ $actics such as boosting managers -or ta*ing ris*s9 giving the
resources and time -or 0or*ing on the ne0er idea9 and ma*ing sure the Eo0
o- cash is not misused throughout the stages o- venturing+
5rgani2ational design competences : retaining a stronger structure/
inside a healthier inner culture and utili2ing assessable systems o- control
through coordination and motivation are *ey impacts+ #oing so 0ill assist the
managers in see*ing and achieving the opportunities o- entrepreneur that
are present+ Such responsibilities must stay associated through
diversi3cation and Ee7ibility -or remaining e6ective in the business i-
pro3tability and 8uality ventures o- business are corporate goals+ Strategic
capabilities are one more competence o- organi2ation : by utili2ing stronger
governance s*ills/ pro3tability is gained+
.or Apple/ one main element is that it al0ays loo*s -or0ard and
attempts -or envisioning the -uture/ presenting thumbprint reader -or the
mobiles and ma*ing li-e o- battery up to (' hours+ Conversely/ another
approach is ta*en by Samsung+ #espite the necessity -or innovation/
surviving organi2ations are those 0ho can adapt and move 8uic*ly inside
their organi2ational culture/ structure/ and strategy+ @It used to be that more
companies/ especially in Southeast Asia/ built strategies based upon
imitation/ not innovationB (#<4 Nahoo Contributor ,et0or*/ &'((!+ $o
innovation/ imitation has altered as ne0er technology rivalry is evolving+
$ecommendations of a ne%er business strategy
.or Samsung/ a-ter completing readings and conducting research/ the
usage o- a non:Android 5S/ $i2en technology may be recommended+ Such
technology is reali2ed as a larger concern to =oogle/ -or the reason that this
sort o- innovation 0ould cut the Android share o- mar*et mainly in -uture
repetitions o- its ,ote and =ala7y models+
4hen it comes to Apple/ it can be said that it has the con3dence/
resources/ and capital -or moving novelty -rom the lab to customer
mar*etChands+ Apples ne0est inventive idea turns around the i$J+ #espite
the smaller mar*et in the industry o- $J/ Apple considers its ne0er product(s!
can be mar*eted through strategic advertisements+ It can be *ept in mind
that Apple encourages con3dent and creative thin*ing+
Corporate&le"el Strategies
A merger or ac8uisition 0ould be a practicable method to implement
-or any industry/ mainly -or Apple+ 5nce a business assimilates/ either
hori2ontally or vertically/ 0ith a dissimilar corporation 0ith the purpose o-
capitali2ing on shareholder value/ merger or ac8uisition is every time
bene3cial+ A merger or ac8uisition can be practicable solution i- Apple Inc+
strategies -or decreasing its cost and 0ishes to increase its mar*et share/ or
desire to turn into a part o- the di6erent mar*et/ or 0ishes to magni-y the
operations o- the business+ An ac8uisition can be a help-ul policy -or any
business -or increasing and gro0ing interaction+
Gi*e Sony/ Apple can obtain a business in a situation 0here it strategies
-or di6erentiating its produces+ Both businesses can get competitive bene3t
-rom this ac8uisition+ Sony is a group that is trading 0ith electronic tools and
Apple 0ould be agreed -or e7panding setups into products o- videos and
music by an ac8uisition+ By this ac8uisition/ Apple 0ould be o6ered 0ith a
chance -or balancing -ailures in sales o- other products+ (.o7 ,e0s/ &'((!
Samsung is doing vertical integration+ It ma*es less revenues but that
is because o- lo0 prices it charged by it -rom customers/ but has a strong line
o- product/ and is ready -or diversi-ying into ne0er region+ As compare to
Apple/ Samsung is already selling more products+ .urthermore/ the hold o-
Samsung is strong on the chip mar*et9 hence the ne0er $i2er product can
contribute values and successes to the business+
'nethical (eha"ior
Business policy o- some corporations may support or discourage the
business ethical behaviors in a positive or negative 0ay that probably 0ill
inEuence their ultimate business objectives+ Similarly they probably 0ill
develop moral behaviors that a6ect the 0or* o- individuals 0ith each other
in the organi2ation+ Apple promoted the diversity management by hiring a
di6erent employees base+ Apple grips it by success-ully hiring 0or*-orces
-rom dissimilar cultures+ In doing so the corporation is capable o- bringing in
employees diverse group/ together 0ith a di6erent group o- cultural
*no0ledge/ s*ills/ abilities/ and technology+
.or regulating and monitoring recogni2ed applies in the business/
Apple has launched strategies -or regulations+ $his 0ill con3rm that business
activities are according to the ethics standards so as to evading the ethical
legitimate proceedings+ Apples business strategy is based on ethical
business behavior that has to be boost up continuously+ Apple has ethical
values -or their consumers -or providing 0hat they have publici2ed in their
statement o- mission+ Apple also has made a guarantee to the stoc*holders
-or being sure that they 0ill al0ays be -aith-ul 0ith the visuali2ation in
developing ne0er inventive technology and products 0ith the aim that
industry can ma*e a huge pro3t amount (Bajaj/ &'(&!+
Samsung also have certain immoral conducts+ According to
)acAdvocate (&'(&!/ @Samsung is a grossly unethical company that 0ill use
any means at its disposal to remain competitiveB (para+ ?!+ .ollo0ing issues
are included in it" enticing governmental oDcials/ and vigorously brea*ing
any e6ort by 0or*ers -or unioni2ing+ .urthermore/ the business deliberately
copied the designs o- its major rivals+ $he recent la0suit case o- Samsung vs+
Apple is @just one more entry in a catalog o- business decisions made 0ithout
regard -or their conse8uencesB ($he )acAdvocate/ &'(&!+ Consumers 0ill
still support and purchase the products/ even i- the businesses have immoral
conduct+
Organi#ational change and altering existing strategies for
Apple and Samsung
.ollo0ing are the organi2ational changes o- Apple in corporate/
business/ -unctional/ and structure and control strategies" control9 -unctional
strategy/ and restructure organi2ation+ 5rgani2ational chart o- Apple is
planned by the CK5 0ith a team o- e7ecutive comprising vice presidents+ .or
supporting the employees/ there are no unions/ general managers/ or
committees+ 5nly the Chie- .inance 5Dcer has the accountability o- losses
and pro3ts+ Command:and:control structure is the result+ .unctionality o-
Apple is designed in structured and secrecy li*e a system o- one :person
leadership+ Also/ the company relies in speciali2ation ability+ $his is the
reason -or the problem because it does not enable 0or*-orces an opportunity
-or being recogni2ed -or any -urther talent as compare to 0hat they are
employed -or per-orming+ Apple must adjust communication lines and clarity+
.urthermore/ the company needs to -oster an environment o- open 0or*ing
that enables 0or*ers -or gro0ing and advancing+ .inally/ Apple has to assert
that all employees are treated correspondingly+
4hen it comes to Samsung/ -ollo0ing changes may be recommended"
innovation/ business strategy/ and corporate strategy+ Strategy o- Samsung
is vertical because it 0ants to generate revenue in numerous mar*etplaces+
Samsung recently presented an e7cess o- the ultra:boo*/ the ne0est
creation/ smart cameras/ tablets/ and smartphones+ Gac*ing o- innovation
0as one component+ $hough/ Samsung needs to remain open:minded and
*eep on to thin*ing outside:the:bo7+ Samsung must remain moral and evade
proceedings involving patent breaches+ Settling la0suits or grievances are
not the 0ay on 0hich the business spends its revenues+
Le-erences
Apple Inc+ S45$ Analysis+ (&'(4!+ Apple/ Inc+ S45$ Analysis/ (:('
Bajaj/ ,+ (&'(&!+ Universal =yaan+ Kthics and Geadership+ Leadership Styles
and Ethics.
Letrieved -rom
http"CCuniversalgyaan+0ordpress+comC&'(&C'4C(MCethics:and:leadershipC!
#<4 Nahoo Contributor ,et0or*+ (&'((!+ Samsung Klectronics+ Letrieved -rom
http"CCvoices+
yahoo+comCsamsung:electronics:%?'M'&'+html
1all/ B+ (&'(>!+ $ech Pinions" Apple, Diversity, and Why It Succeeds+
Letrieved -rom
http"CCtechpinions+comCapple:diversity:and:0hy:it:succeedsC(M(5M
1ill/ C+/ ; <ones/ =+ (&'(>!+ Strategic )anagement" An Integrated Approach
(('
th
ed+!+ Independence/ HN" Cengage+
.o7 ,e0s+ (&'((/ September &>!+ Samsung vs+ Apple 4ar Set to K7plode+ .o7
,e0s+ Letrieved -rom
http"CC000+-o7ne0s+comCscitechC&'((C'OC&>Csamsung:vs:apple:0ar:
hits:high:gear
5gg/ K+ (&'(&!+ $ech ,e0s and Analysis+ Tim Cooks ision !or Apple, and its
Cash+
Letrieved -rom http"CCgigaom+comC&'(&C'&C(4Ctim:coo*s:vision:-or:
apple:and:its:cashC
Samsung+ (&'(4! Samsung Klectronics" "esearch and Development+
Letrieved -rom
http"CC000+samsung+comCusCaboutsamsungCsamsungPelectronicsCbusin
essPareaCrdPpage
Samsung+ (&'(4!+ Samsung =roup" alues and #hilosophy+ Letrieved -rom
http"CC000+samsung+comCusCaboutsamsungCsamsung
PgroupCvaluesPandPphilosophy
Samsung Klectronics Co+/ Gtd+ S45$ Analysis+ (&'(4!+ Samsun$ Electronics
Co., Ltd. SW%T Analysis, &'(
$he )acAdvocate+ (&'(&!+ Lavings o- an Unapologetic Apple .anboy+
Letrieved -rom http"CCthemacadvocate+comC&'(&C'MC'MC

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