SWOT ANALYSIS OF SAMSUNG MOBILES

Strengths:
China was a market where the first mover enjoyed advantages over late comers. The first image of the product lasted long in the eyes of the consumer and the first to enter the market could gain the largest market share. SCH is committed to enhance its image to the Chinese market as investors. SCH was building a wholly owned manufacturing plant in China to show the Chinese the commitment Korea had to the Chinese society. Labor costs in China were less and would defray the cost of producing high-end. Samsung has been making color TVs for many years in Korea before moving to the Chinese market.

Weaknesses:
SCH must continue to control all costs to maintain success China has a reputation of being a protected market (protectionism) China was a market where the first mover enjoyed advantages over late comers, SCH is trying to overcome the first comer advantage Japan manufacturers have over them by being those first comers Companies such as Sony and Matsushita had built sales and service networks that were favorable to their sales programs in China, while Samsung would have to catch up in that area Samsung is not as experienced in manufacturing high-end TVs for a higher-end

market segment

Opportunities:
Based on the data that on 28% of the 220 million rural households own a color TV. SCH focus on the domestic China market should be to penetrate the rural household market, which would mean that for those purposes the low-end production of sets in the 13 to 20 range should be produced to appeal to that segments purchasing ability. Larger more high-end models can be produced to appeal to an urban customer in China, as well as being an export to the U.S. and European higher end customers. With success in the higher-end manufacturing and sales of premium TVs in China; SCH can establish themselves as high-end producers around the world

Threats:
SCH faces intense competition in the color TV market A premium-priced product wouldnt sell in large volumes, so pricing can be a problem. Since SCH didnt have an established marketing strategy, issues of how to market the product may arise. Loss of profitability because related to over-employment at most facilities Is the per capita income level such that it can support sales of product at any level If SCH fails to be successful in the Chinese market with high-end product it will be known around the world

STRENGTHS Samsung Mobile Competitor s Analysis - Presentation Transcript 1. COMPETITORS ANALYSIS SYNDICATE 1 Ankit Biswas Aakshi Suri Paridhi ssSarna Gaurav Wadhwa Vivek Deshpande Soumik Solanki SAMSUNG MOBILE

2. INTRODUCTION o Samsung Group who was founded in 1938 and at present works in subsidiaries like Electronics, Machinery, Chemical Industries, Retail Services, Financial Services, Entertainment and others o Samsung Group is the world largest conglomerate by revenues of $174.2 billion in 2007-08 o Samsung started their operation in handset market in 1988 and become world second largest Mobile Handset Maker. 3. HANDSET MARKET SHARE 4. SWOT ANALYSIS 5. SAMSUNG o Diverse Product line o Reliability

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Chinese Handsets iPhone Economic Crisis THREATS

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Rural Market Green Handset Initiative Samsung Marine market OPPORTUNITIES

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Lack of Innovation Low end segment

WEAKNESS 6. Nokia o Market Leader o Brand Position o Product Quality o Horizontal Integration o Core Competence o Distribution Network STRENGTHS
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iPhone Global Economic Crisis Chinese Handsets THREATS

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CDMA Handset Market Green Handset Initiative 3G Handset Market OPPORTUNITIES

Slow to adopt new way of thinking WEAKNESS

7. Sony Ericsson o Technological Benefits o Brand Advantage o Music Phone category STRENGTHS
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iPhone Global Economic Crisis Strong Competitors THREATS

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Focus on low end phones 3G Handset Market OPPORTUNITIES

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Late start Joint Venture enterprise and cultural Integration Low effective distribution channel Low End Segment Handset is not core competence WEAKNESS

8. STP STRATEGIES 9. Competitors Segmentation o Demographic by Age: o - Middle Age groups o - Teenagers o - Executive class o Behavioral Segmentation o Technological Segmentation 10. o Geographic Segmentation o 1998-Saare Jahaan Se Acchha1 st Indian ring tone (Nokia 5110) o 2000-First Hindi User Interface (Nokia 3210) o 2002-First Hindi text input (Nokia 3610) o 2003-First Made for India phone (Nokia 1100) o 2004 Saral Mobile Sandesh -Hindi SMS campaign o 2005 Local UI in additional local languages Competitors Segmentation 11.Target Market o Trendy young people o Professionals o Large businesses, the common cellular phone user, and organizations such as: services to public safety, the government, and both utility and manufacturing enterprises 12.Positioning o At Nokia, customers remain top priority

There are three strategic assets that Nokia invests in and prioritize: - Brand and design - Customer engagement and fulfillment - Technology and architecture 13.Positioning o To reach the customer NOKIA has adopted the following strategies: o IT focuses more on the real margin which comes from mid-to-high-end segments o Nokia Priority Dealers o Nokia Concept Store o Market making & category creation in small towns o Nokia VAN Operations o Widest Care Network o 18 X 7 Access to Nokia Care line 14.LG Positioning o It has positioned itself at a stronger position in the CDMA market as compared to its position in the GSM market. o It is trying hard to increase its market share in GSM market by launching new GSM handsets having high quality features such as a class-leading MP3/AAC music player, 128 MB of on-board memory, a 1.3 mega-pixel camera, and video camera. 15.MARKETING STRATEGIES 16. o Brand Ambassador: Aamir Khan o Providing free content on the mobile by collaborating with the copyright owners of Bollywood movies. For e.g Ghajini, Love Aaj Kal o Promotional offers like free entry to the show of 10 ka dum o Organizing contests like Samsung Mobile Karaoke Festival o Opening the Samsung Fun Club for better customer relationships. o Free online software updates, tutorials and customer service o Highlights the innovative features of its products through a combination of innovative advertising and branding. o Established many Samsung Mobile Stores to increase the visibility of the brand
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Initially had Hrithik Roshan as the brand ambassador but now does not have any Promotes its music phones under the brand name of Walkman series a pioneer in music player

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Promotes its camera phones under the brand name of the Cybershot a pioneer in digital cameras Collaborated with Facebook to provide Facebook Ready Phone C903 Collaborated with MTV Roadies to start the MTV Roadies Battleground 2 Allows you to create your own mobile themes. Has come up with GreenHeart initiative to protect the environment Naite Phone Sony Ericsson Certified Developer contest to motivate innovation and creativity Sony Ericsson

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Brand Ambassador: Shahrukh Khan, Priyanka Chopra Promotes its executive phones in the name of E-Series to compete with Blackberry Promotes its multimedia phones under the brand of N-Series Also captures the low-end market with cheap phones with less features but high durability Nokia was the first one to provide Nokia Maps application embedded with the GPS services Provides the latest software updates and access to Nokia music store Collaborated with Ovi.com to provide online content automatically to Nokia mobiles through Nokia Ovi Suite Nokia was the first mobile equipment provider to launch its phones with OS in different Indian languages. Collaborated with Kolkata Knight Riders to increase its visibility in IPL 2 Nokia collaborated with Microsoft to enable MS Office to run on Nokia phones. Nokia

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The USP of the Samsung mobiles is the superior display quality that it has due to the technology used in all Samsung products The high end mobiles possess most of the features but lack quality in terms of music and camera of Sony Ericsson, and durability and user-friendliness of Nokia Medium level mobiles of Samsung again possess good display but lack in features as well as the price is quite high as compared to other brands

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The low end mobiles are very costly as compared to the same end mobiles of other brands and are less durable also, but has more features than other brands Now Samsung is coming up with innovative features like HD display, woofer quality sound and better camera. SAMSUNG Products Overview

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Sony Ericsson mobiles USP is great quality music (Walkman) and great quality camera (Cybershot) The high end mobiles have most of the features with good camera and music but the hardware functionalities and software are not so user friendly. The medium level phones have some features but are less user friendly and durable The low end mobiles are costlier and very less durable than other brands and also lack features The products of Sony Ericsson lacks innovation and the innovation they implement are unnecessary Sony Ericsson Products Overview

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The phones of Nokia are very user friendly, innovative, durable and give value for money. The high end phones of Nokia have all the features and they are durable, without technical glitches and user friendly. The only problem is they are costly The medium level mobiles are reasonable, durable and possess good features than the phones of other brands and suitable for rough use. The low end mobiles are actually meant for poor people and are very cheap and highly durable. They lack features but provide good value for money. The Nokia products come with good software support, user friendly hardware, innovative and basic features, are durable and cheap. That is why they are suitable for Indian customers. Nokia Mobile Products Overview

22.RURAL PENETRATION STRATEGIES 23.SAMSUNG o It has a better BRAND RECALL in rural market

Tying up with local co-operatives to push handset sales in the rural segment. Samsung recently tied up with the Indian Farmers Fertilizer Co-operative (IFFCO) for rural telephony. o It has increased its distribution network in western and eastern parts by tie ups with SSK and Link respectively. o Developing partnerships with regional organizations. o Customization of software for local market-HINGLISH in text messaging. 24.NOKIA o Started Rural Van Project 2 years back which forms a traveling retail and distribution centre. o Showcase solutions to demystify the use of mobile technology. o It offers support for 9 Indian Languages o It has launched Nokia Life Tools which include a range of services based on agriculture ,education etc. o This programme will allow the purchasers to pay in installments. Particularly they are targeting women gender. o Tie ups with various organizations like MSAMB, Reuters Market Light, Madison Research and various NGOs. 25.SONY ERICSSON o Despite of lower volumes it is the third largest player in handset market after Nokia and Samsung. o They are basically into mid and high end handsets. o For low end handsets it is targeting rural population by providing o Local content o Customized keypads o Low-cost colour screens o Low-cost music phone 26.FUTURE CORPORATE STRATEGIES 27.Nokia Strategies o Nokias strategy is to build trusted consumer relationships by offering compelling and valued consumer solutions that combine beautiful devices with context enriched services. o Loyal customer base o Operating the Nokia handsets o Wide variety of handsets o Availability of products in the market o Frequency of releasing new handsets o Expenditure on advertisements 28.Nokia Future Products Handsets : X3, X6 Music Edition Phones N97 mini High End Phone
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29.Nokia 30.Nokia Netbook : Based on Intel Atom 1.6 GHz Windows 7 10.1 inch screen 31.Nokia Nokia : Nokias Acquisition of Check point which provides Total Security for networks. 32.Samsung strategies o Our Vision o Samsung is guided by a singular vision: to lead the digital convergence movement. o Our Mission o Everything we do at Samsung is guided by our mission: to be the best digitalCompany. 33.Samsung o Division of Samsung Mobile is into 6 major categories o Style o Infotainment o Multimedia o Connected o Essential o Business 34.Samsung Samsung Progresses the Future of Wireless Technology with Mobile WiMAX and LTE Samsung : Concentrating on Smart Phones with touch Screen features 35.Sony Ericsson Mission is to establish Sony Ericsson as the most attractive and innovative global brand in the mobile handset industry. 36. 37.CORPORATE SOCIAL RESPONSIBILITIES 38.Corporate Social Responsibility - SAMSUNG o SOCIAL WELFARE Investing in teenagers futures, through support of science education and creative thinking that encourages leadership. Assisting children in low-income families by supporting educational infrastructure Discovering and supporting outstanding students Supporting programmes that encourage family well-being. o CULTURE & ARTS Samsung has contributed extensively to numerous museums, galleries and exhibits in Korea and in many countries, including the United States and France. The Samsung Museum of Modern Art collects preserves and exhibits modern and contemporary art

Samsung also hosts and supports various cultural events for children and programmes that encourage their early artistic development.

39. 3. VOLUNTEER SERVICES In 1995, Samsung launched the Social Contribution Corps to encourage employees to get involved in community service. employees use their expertise and skills to give back to local communities, and each employee donates an average of 10 hours to community-based projects. o ACADEMICS & EDUCATION Korea Youth Science Olympiad , National Students Creativity Olympiad Samsung has teamed up with the Green Family Movement Association to run a "green school," which promotes environmental awareness in children o Other programmes like an employee dog adoption centre; guide dog school; working dog breeding centre; and detector dog and rescue dog operations . o The Samsung Reclaim is an 80% recyclable handset that is set to be launched very soon 40. o COMMUNITY Nokia Helping Hands : To promote proactive staff volunteerism among Nokia employees so as to strengthen Nokia's corporate reputation as an involved partner in the community and to demonstrate its core values in community-related efforts. Make a Connection : Promoting positive youth development, the program gives young people an opportunity to 'make a connection' to their communities, to their families and peers, and to themselves Nokias Art Awards: The Nokia Arts Awards was run from 1999 - 2001 to consciously promote the development of creative art across the Asia Pacific among the region's youth. o ENVIRONMENT Recycle: If every Nokia user recycled just one unused phone at the end of its life,it saves nearly 80,000 tonnes of raw materials. Create: Nokia 3110 Evolve, Nokia High efficiency charger.
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Corporate Social Responsibility - NOKIA 41.

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Support : WWF, Climate savers, Connect 2 Earth etc Ethics

Code of Conduct: It outlines commitment to respect and promote human rights and fair workplace practices, equal opportunities, environmentally sustainable business, and zero-tolerance policy on bribery and corruption. Business benefits: Transparency Driving internal efficiency: waste management programs reduce manufacturing costs diversity training enhances project management eco-efficiency measures reduce costs volunteering increases employee satisfaction Substance Control: Supports the precautionary principle defined in the United Nations Rio Declaration on Environment and Development . Eg: Sony Ericssons GreenHeart portfolio. Ethics: Sony Ericsson believes in respecting human rights and in the ethical treatment of all employees. Eg. Corporate code, Supplier social responsibility code and supplier management. Energy & Climate: In November 2007, Sony Ericsson signed up in support of the The Bali Communiqu, a comprehensive United Nations framework for tackling climate change. Recycling: engaged in the Basel Convention Mobile Phone Partnership Initiative (MPPI) supported by the United Nations Environmental Programme (UNEP). With this initiative, they have developed guidance documents for design, collection, refurbishment, recycling and trans-border movement of products for re-use. Health: All the phone models are carefully designed and rigorously tested to comply with international safety standards and government health and safety regulations. Society: Sony Ericsson joined Columbia Universitys Earth Institute and Ericsson in the Millennium Villages project. The project is designed to bring mobile communications and the Internet to approximately 400,000 people in various developing countries.

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Corporate Social Responsibility SONY ERICSSON 43.

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