Product Innovation: A Case Study of Samsung

Running head: PRODUCT INNOVATION
New Product Development
Name of the Student:
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1PRODUCT INNOVATION
Table of Contents
Introduction......................................................................................................................................2
Products sold by Samsung...............................................................................................................2
Theoretical frameworks...................................................................................................................5
Importance of innovation in Samsung.............................................................................................7
The implication of innovation on the performance of Samsung and its competitive advantage.....7
Conclusion.......................................................................................................................................8
Reference.........................................................................................................................................9

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Introduction
Product innovation is a process through new products and services are launched into the
market which has significant improvement with respect to its predecessor or the innovation of a
completely new product. The improvements include the improved functional characteristics,
technical specifications, component specifications and materials (Evanschitzky et al. 2012). The
new product development is aa terms which are found in the business and engineering field and
it covers the process and the procedures that are involved in bringing a new product into the
market (Barczak and Kahn 2012). This study involves the study of the new product development
and the innovation strategies which is implemented by Samsung.
Products sold by Samsung
The different types of the products sold by Samsung that are in the different stages of the
product life cycle assessment are Samsung smartphones and Samsung Smart TV (Products -
Samsung Newsroom 2018).
Aspects of innovation for Samsung’s product development activities
Samsung was established in the year 1938 and was originally called Samsung Sanhoe by
Lee- Byung. Samsung has now turned out to be the largest electronics company in the world and
is also the largest manufacturer of mobile phones (Samsung Electronics 2018). The company has
successfully placed itself as the best smartphone manufacturer and is also featured all over the
media. A smartphone is a phone with advanced technological features and capabilities. These
smartphones have the capability to combine the power of a computer operating system and also
has the feasible feature of a hand-held device. The smartphones carry the features of a mobile
device along with the added features of camera, music player. GPS, touchscreen interface and

3PRODUCT INNOVATION
thus acts a personal digital assistant. The Samsung Galaxy is the exclusive line of phones that
have the smartphone features and are introduced in the year 2010. These Galaxy phones come
with the stylus and touch screen (Qian et al. 2012).
In order to maximise the commercial success, the Samsung company uses a mixture of
the strategies like the target market, pricing strategies, promotional and the product strategies.
 Product- the Samsung smartphones are the slimmest phones in the market and it
also provides the added feature of sophistication, simplicity, and comfort. All the
different smartphones come with remarkable features and all the Galaxy
smartphones are based on the Android. Android holds the greatest share in the
market for the most used operating system (Irdindia.in 2018).
 Promotion- Samsung utilizes the different tools of promotion for the purpose of
promoting its Galaxy line of smartphone. The promotional strategies include the
outdoor media, internet social media, print advertising, television.
 Price- Samsung manufacturers one of the most affordable and the cost-effective
phones that have a worldwide demand. The company has learnt that in order to
stay ahead in the market as it has not allowed the Apple Inc. to grow in the market
of the developing countries and Asia through its price policy. Another strategy
employed by Samsung is the manufacturing of the wide range of products that
have different sets of price ranges (Irdindia.in 2018).
 Place- Samsung uses a variety of distribution channels like the various types of
carriers, Amazon (online retailer), internet partners and mobile phone retailers.
Samsung also has the Samsung pop-up stores (Irdindia.in 2018).