Economic Analysis of Samsung in India

This article provides an economic analysis of Samsung in India, discussing its subsidiaries, sales, employment, and contribution to the economy. It highlights the company's growth potential and its role in women empowerment. The article also mentions the amount of tax paid by Samsung and its impact on the government's revenue.

Running head: ECONOMIC ANALYSIS OF SAMSUNG IN INDIA
Economic Analysis of Samsung in India
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1ECONOMIC ANALYSIS OF SAMSUNG IN INDIA
Table of Contents
Introduction......................................................................................................................................2
Discussion........................................................................................................................................2
Conclusion.......................................................................................................................................3
Reference.........................................................................................................................................4

2ECONOMIC ANALYSIS OF SAMSUNG IN INDIA
Introduction
Samsung was founded in 1938 as a trading company which is a South Korea based
Multinational Multi-Industry Company. Samsung diversified into the food, textile, insurance and
securities within 30 years and then it set foot in electronics in 1960. In India, Samsung is well
known for its smart phones, memory chip, smart television, electronic audio systems, monitors,
printers and home appliances (Wu & Vasquez-Parraga 2016).
Discussion
Three major subsidiaries of Samsung is in operation in India that are, Samsung India
Electronics Private. Ltd. that has capital worth of 65382 million Korean won, Samsung India
Software Operations Private Ltd. that has capital worth of 19874 million Korean won and
Samsung Telecommunications India Private Ltd. that has capital worth of 14010 million Korean
won. Samsung telecommunication India Private. Ltd. is mainly involved in the production and
sales of mobile phones. In the year 2017, 18% of the total sales that is 44.3 KRW trillion was in
Asia excluding China. It has sold mobile phones worth of 373.5 billion rupees in India in the
year to end-march 2018 (Abhishek & Garg 2018). Now it is expecting to launch a new range of
smartphones in the beginning half of the year 2019 to make sales of $4 billion
(Images.samsung.com, 2018). Samsung has a great number of employees all over the world.
Samsung had 320,671 total employees all over the world, out of which 224,213 is the number of
employees excluding the Korea. This is a general data of employment in Samsung which
indicates that it has a huge number of foreign employees including India. The ratio of female
employees in Southeast Asia was 63% in 2017 which is a great sign of women empowerment.
Ratio of female employees in Samsung in staff position is 53%, in managers position is 13% and
in the executive position is 7% all over the world in 2017 (Kim & Bae, 2017). If this information

3ECONOMIC ANALYSIS OF SAMSUNG IN INDIA
is taken as general then it could be said that the female ratio in the lower job position is higher
than the higher job position in India. Hazardous substance management and the solid waste
management is 94% and 98% in the year 2017 that means it has very less contribution towards
negative externality. Moreover, 10% of the total amount of tax paid by the Samsung went to Asia
excluding China in 2017.
Conclusion
The above stats simply indicates that the Samsung has huge demand in Asia as its sales
amount is high and the company has set a goal of sale that is $4 billion dollar in the first half
year of 2019. The other important factor of economic growth is employment. As Samsung
employees a huge number of foreign people that indicates the contribution towards employment.
It has a great role in women empowerment as the female ration is high. It pays a gross amount of
tax which goes to the revenue account of the government. These significant stats indicates that
the Samsung may be proved as beneficial for the economic growth of India.

4ECONOMIC ANALYSIS OF SAMSUNG IN INDIA
Reference
Abhishek, & Garg, H. (2018). Samsung Electronics in India: Challenges of Multi-Channel
Retailing. Asian Case Research Journal, 22(01), 81-111.
Images.samsung.com. (2018). Retrieved from
https://images.samsung.com/is/content/samsung/p5/th/aboutsamsung/2018/pdf/
Economic_Performance_Report.pdf
Kim, D. O., & Bae, J. (2017). Employment relations and HRM in South Korea. Routledge.
Wu, Y. C., & Vasquez-Parraga, A. Z. (2016). Fitting Consumer Needs to Perceived Product
Value: The Example of Apple versus Samsung Products. Atlantic Marketing
Journal, 5(2), 13.