Strategic Analysis of Samsung: SWOT and PESTLE Frameworks

Running head: STRATEGIC ANALYSIS OF SAMSUNG
STRATEGIC ANALYSIS OF SAMSUNG
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1STRATEGIC ANALYSIS OF SAMSUNG
Executive Summary
The report is based on the internal and external analysis of an organization and the effects of
this analysis on the strategic planning. The organization that is taken into consideration for
analysis is Samsung, which is a multinational electronics company of South Korean origin.
The internal analysis is done with the help of SWOT framework and the external analysis is
mainly based on the PESTLE framework. The effects of SWOT or internal analysis on the
strategy making process of the organization is also analysed in the report. The report is
concluded by providing recommendations to the company for its forward planning in the
industry.

2STRATEGIC ANALYSIS OF SAMSUNG
Table of Contents
Introduction....................................................................................................................3
Section 1.........................................................................................................................3
Benefits of strategic planning to Samsung Electronics..............................................3
Discussion related to the role of environmental analysis as a process of strategic
planning..................................................................................................................................5
Environmental analysis..............................................................................................6
Internal analysis – SWOT framework....................................................................6
External analysis – PESTLE framework................................................................8
Section 2.......................................................................................................................10
Evaluation of the SWOT analysis............................................................................10
Section 3.......................................................................................................................10
Recommendations related to future direction of Samsung......................................10
References....................................................................................................................12

3STRATEGIC ANALYSIS OF SAMSUNG
Introduction
Samsung, which was formerly known as the Samsung Electric Industries is a
multinational electronics organization of South Korean origin. The headquarters of the
organization is located in Suwon, South Korea. Samsung is considered to be the flagship
organization of the entire Samsung Group. The company accounts for more than 70% of the
total revenues of the group. The organization has sales networks and assembly plants in more
than 70 countries in the world and it employs more than 300,000 people in its various
locations. Samsung is considered to be the largest information technology in the world with
respect to the revenues that is generated by the organization (Samsung com. 2018). The
company is the largest manufacturer of electronic components like, semiconductors, lithium-
ion batteries, flash memory, hard drive and chips. The products that are manufactured by the
organization include, LED and LCD panels, semiconductors, televisions, digital cinema and
many more. Samsung makes the largest number of memory chips in the world. Televisions,
mobile phones, digital or DSLR cameras are major products of the entire line of the
organization. The management system of the organization has changed in the entire course of
its operations in the industry (Samsung com. 2018).
Section 1
Benefits of strategic planning to Samsung Electronics
The business strategy of Samsung has shown high levels of flexibility in the ways by
which the organization is always determined to change the strategies according to the
changes that take place in the external environment. The company initially started its business
operations as a grocery related store in Korea in the year 1938. Later it engaged its operations
in various other businesses which include, insurance and securities, woollen mill and many