Business Level Strategies of Samsung Electronics

Business Level Strategies

SAMSUNG 1
Introduction
Business strategy is the planning of the organisation to achieve the specific objective.
Strategic plan succeed when the business achieve success, beat a strong competitive position
and strong financial performance. In this report, the discussion is made on the case study of
Samsung Electronics. Samsung electronics is an electronic company who manufacture the
consumer electronics, semiconductors, Home appliances products. It is situated in South
Korea. The main purpose of this case study is to analyse the journey of the company of
product design to manufacturing the product. In this report, the discussion will be made on
the case study of Samsung electronics (Samsung, 2018). In the starting of the report, Porters
five forces framework is use to analyse the journey of manufacturing the product. After that,
the four strategies will be discussed which is adopt by the companies to gain the competitive
advantage.
Porters Five Forces Framework of Samsung Electronics
Bargaining power of Buyer
It has been seen that the bargaining power of consumer of Samsung is high due to high power
of switching the cost. The consumers can easily switch from one brand to another. It has been
found that the companies advertise the products on internet with their prices that is an
advantage of the consumers. Companies advertise the product with the prices to attract the
new consumers towards the product and services. Consumers use the internet to analyse the
product price of the company to another company (Khoja, 2016). The consumers compare the
prices of one brand to another brand. Competition between the brands for each other is shows
the aggressive nature regarding the competitors. Brand always try to beat the competitors to
reduce the support of the customer for the competitors. Brand market image is depends on the

SAMSUNG 2
features and the quality of the products. Quality of products is a major component to attract
the consumer towards the brand and which helps to enhance the brand image in the market.
It has been found that the consumer’s electronics is the major component for the industry
because there is large number of consumers who wants consumer electronics product.
Competitors of the company also try to beat the competitors in the consumer electronics
product by attracting the large number of consumers.
The company brings the changes in their technologies to upgrade the product in the rapid
secession. It has been seen that the company was stood in a good position in selling the
products such as Television. The company is famous for its Television product and there are
two main markets of Europe and North which is famous for the technology and design. The
main focus of the company is on the design of the product by using the new technology to
attract the new consumers towards the company. Competitors of the company are the major
threat for the company which increase the bargaining power of competitors (Dobbs, 2014).
Bargaining power of Supplier
Suppliers are the source from which the company get the raw material to manufacturing the
product. It has been seen that bargaining power of supplier is low due to the large number of
supplier in the industry. The bargaining position of the supplier affects the position of the
company because if the company get the raw material in reasonable prices then the cost per
unit is decreases which are beneficial for the company (Bashir, and Verma, 2017). The
company can easily offer the product to the consumer at the low process and get the
competitive advantage. Due to large number of supplier in the market; the company can
easily switch to the suppliers. But according to supplier perspective, it is difficult to switch
from one company to another company. Companies are the only source of earning for the
supplier they cannot switch from one to another. The company makes the rules and regulation