Samsung: Digital Transformation and Profitability Analysis

This research project investigates the impact of digital transformation on Samsung's profitability. The report begins with an introduction outlining the research aim, questions, objectives, and significance. A comprehensive literature review examines the concept of digital transformation, its advantages for Samsung (including enhanced flexibility, improved customer satisfaction, reduced risk, and continuous improvement), and the challenges faced during implementation (organizational culture, expenses, resource availability, and lack of strategy). The research methodology details the research philosophy (interpretivism), approach, strategy, and instruments used. The findings, data analysis, and presentation are followed by a discussion section that interprets the data. Finally, the conclusion summarizes the key findings, offers recommendations, and discusses implications for further research. The report includes an extensive reference list supporting the analysis and findings. The report analyzes the concept of digital transformation and its impact on a company's profit.

Research Project

Table of Contents
CHAPTER 1: INTRODUCTION....................................................................................................1
1.1 Research aim and rationale...............................................................................................1
1.2 Research questions...........................................................................................................1
1.3 Research objectives..........................................................................................................1
1.4 Significance of research...................................................................................................1
CHAPTER 2: LITERATURE REVIEW.........................................................................................2
2.1 Introduction of Literature review.....................................................................................2
2.2 Main Body........................................................................................................................2
2.3 Conclusion of literature review........................................................................................5
CHAPTER 3: RESEARCH METHODOLOGY.............................................................................6
3.1 Research philosophy.........................................................................................................6
3.2 Research approach............................................................................................................6
3.3 Research Strategy.............................................................................................................6
3.4 Research Methodology.....................................................................................................6
3.5 Research Instrument/Tools...............................................................................................7
3.6 Sampling...........................................................................................................................7
3.6.1 Identifying Population and Research Site.....................................................................7
3.6.2 Sampling Strategy.........................................................................................................7
CHAPTER 4: FINDINGS (DATA ANALYSIS & PRESENTATION).........................................8
CHAPTER 5: DISCUSSION (DATA INTERPRETATION).......................................................10
CHAPTER 6: CONCLUSION, RECOMMENDATION & IMPLICATION FOR FURTHER
RESEARCH...................................................................................................................................19
6.1 Conclusion......................................................................................................................19
6.2 Recommendation ...........................................................................................................19
6.3 Implication of further research.......................................................................................19
REFERENCES..............................................................................................................................21
.......................................................................................................................................................34

TITLE:
“To determine the impact of digital transformation process in order to increase
profitability level of Samsung. A case study on Samsung.”
CHAPTER 1: INTRODUCTION
1.1 Research aim and rationale
Research aim: “To determine the impact of digital transformation process in order to
increase profitability level of Samsung. A case study on Samsung.”
The main purpose of conducting a research on chosen topic is to analyse how digital
transformation aid a company in achievement of its goals, in systematic and efficient manner
(Barnett and Salomon, 2012). By understanding this concept, researchers get benefits to provide
effective suggestions to companies in handling their complexities and enhancing business
performance.
1.2 Research questions
 What is the main concept of digital transformation process?
 What are the advantages of digital transformation process for Samsung?
 What are the challenges that can be faced by the Samsung at the time of implementing
digital transformation process?
1.3 Research objectives
 To determine the concept of digital transformation process.
 To determine the major advantages of digital transformation process for Samsung.
 To access the challenges that can faced by the Samsung at the time of implementing
digital transformation process.
1.4 Significance of research
The importance of this research is to analyse the impact of digital technology procedure
which help company in increasing income and profitability level (Bennett and Segerberg, 2011).
With the help of digital technology, they can easily promote their desired products and services
among domestic as well as international customers.
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CHAPTER 2: LITERATURE REVIEW
2.1 Introduction of Literature review
This part of research is considered as most crucial that helps in analysing view point of
various researchers, for addressing the main issues of a study. Here, project makers can use
various external and internal sources for gathering adequate amount of data on a specific topic
(Boons and Lüdeke-Freund, 2013). It includes books, scholarly articles, government and
business census report etc. In context with present research, here articles are extracted from some
authenticate websites to understand the concept of digital transformation in business.
2.2 Main Body
Main concept of digital transformation process
According to Chatzoglou and Chatzoudes (2016), it has been evaluated that digital
transformation helps an organization in conducting business functions as well as operations in
effective manner. Along with this by adopting digital transformation an organization able to
serve customers in appropriate way, it will also help in reducing wastage in production process.
This wills also manager of company able to develop products and services in effective and
appropriate manner according to need as well as demand of customers. In respect of writer, in
past time company promote its products and services by using print media due to which they not
able to attract more and more potential customers in effective manner (Dabbagh and Kitsantas,
2012). But now by using effective digital technology they able to conduct advertisement and
promotional activities in effective manner. Moreover, by this they also able to cover more
potential customers by using digital media such as Facebook, Instagram, Twitter and many more.
By this company also able to take feedback and suggestion which help them in developing
strategies and plans in effective and efficient manner.
Advantages of digital transformation process for Samsung
According to perception of Davila, Epstein and Shelton (2012), it has been identified that
transformation of business into digitalisation proves beneficial for all organisations, in enhancing
their profitability. By applying this concept, Samsung can easily handle its complex functions
more appropriately. In this regard, some major advantages respective company can gain by
digital transformation are given as beneath:
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 Enhance flexibility and efficiency: For any organisation digital first approach means
lowering the expenditure on offline marketing. It increases the efficiency in such a
manner that it offers endless opportunities to the organisation in terms of customer
service. Also enhances flexibility by providing much flexible cloud environment that
leads to low expenditure to that organisation with fastest way to respond to their customer
queries with focused messages as they expect to do so that can be obtain through data
driven marketing technique (Doppelt, 2017). So, organisation must bring and utilize
digital channels like website, social media channels, emails, search engines to enhance
the flexibility and efficiency of the organisation. Improve customer’s satisfaction: Digital transformation enables the organisation to
satisfy their customer at highest degree. Today almost every customer today expects a
professional customer service to revert within one to two hours irrespective of whether
it’s weekends or weekdays. Provided, it increases the accessibility of an organisation by
being on demand for all day a year. It is tested that any organisation that provides ease of
accessibility and personalisation to their customer will emerge as the winner for long run.
Moreover, today customer doesn’t rely on single channel for their answer. They browse,
shop online, share feedback through mobile application and seek answer from the
organisation. Reduce risk factors: Digital access by an organisation reduces risk factors for the
customer. As it provides tracking of their product in case of online shopping, customer
can compare their choice with other options available on the online platform of an
organisation. Customer can check the trend of their choice of product, whether it will be
useful and pocket friendly or not (Erevelles, Fukawa and Swayne, 2016). It provides easy
access to customer to check and enquire about the product and business as well so that
they can make smart choice. Along with this in context of respective company by
adopting digital transformation or technology they able to conduct its manufacturing
process in more effective and efficient way. By this they also able to reduce wastage
during the process of manufacturing of products and services.
 Continuous improvement: Digital transformation helps the organisation to improve time
to time by receiving feedback from their customer. It increases the relation with
customer. As organisation receives feedback from their every sale it increases the
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chances of enhancing their work performance that can help an organisation to achieve
their ultimate goals and also to provide ultimate satisfaction to their customer which will
leads to the organisation to be king in long run (Martello, Watson and Fischer, 2016).
Through, digital technology and media organisation can get improving suggestions and
feedback from their customer that will help them to make effective and strategic plan.
Challenges faced by the Samsung during implementation of digital transformation process:
As per the views of Tiersky (2017), it has been analysed that digital transformation refers
to an effective way be which a company can create new ideas for running business efficiently. In
context with Samsung, as it deals in electronic market where customers desire to get more
innovative products. Therefore, through digital transformation, this company can create and
apply more new ideas for enhancing its productivity (Nakamura and Chow-White, 2013). But
this may arise various difficulties also for implementation of digital transformation. It includes: Organizational culture: This refers to the culture adopted by an organization in order to
adopt conduct work or business operations in effective and appropriate manner. If culture
of a company will proper as well as efficient they able to adopt changes and enhance
productivity in best manner. In respect of respective company when they implement
digital transformation at workplace they face issues related to culture such as they have to
develop strategies accordingly so that they conduct work in effective manner (Noe and et.
al., 2017). Along with this sometime employee of Samsung not able to cope up with
change in proper manner that leads to decrease in productivity of employees as well as
company. So it is responsibility of manager at respective company to develop strategies
in appropriate way so that they can adopt digital technology properly such as they can
provide training and developing accordingly. Change is expensive: It related to factor in which are related to expenses in order to
adopt things in effective and appropriate manner. It is necessary for all organization to
develop budget and strategies in effective manner so that they can conduct process in
effective manner. In respect of respective company when they adopt digital transform
they face issues related to expenses. This is so because what they develop as a budget
they nit able to conduct work accordingly and in effective manner (Patiar and Wang,
2016). Thus it is necessary for Samsung to develop appropriate and effective budget so
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that they conduct work according to digital transformation in effective and efficient
manner. Resource availability: For adopting and conducting any activity resources are essential
so it is necessary to develop strategies in respect of resources. This is so because if there
is no availability of resources in proper manner then company not able to conduct work
or activity in effective and efficient way. Along with this it is necessary that company
must select their resources according to need of customers as well as budget of company.
In context of Samsung when they decide to adopt digital transformation in effective
manner then they need to develop strategies accordingly (Pearlson, Saunders and
Galletta, 2016). Moreover through this they must decide requirement of resources. The
respective company must select their resources according to budget so that they conduct
other activities in effective and appropriate manner.
 Lack of strategy: In order to implement any thing in effective and appropriate manner
most essential factor is strategy if there is lack of strategy or plan an organization not able
to operate its business in effective and appropriate manner. By developing proper strategy
a company can know its requirements and issues which they may face in future. In
respect of respective company it is essential for them to develop appropriate strategy
because of they operate its business function without strategy they may face various
issues such as reducing in productivity (Postill and Pink, 2012). Along with this lack of
strategy also leads to decrease in productivity and market interest. Thus it is necessary for
respective company manager to conduct work according to strategy which leads to
expansions of business at international level.
2.3 Conclusion of literature review
It has been concluded from the literature review that to bring efficiencies in business it
becomes essential for every organisation to transform their business into digitalisation. Through
this process, they can increase productivity of workplace as well as gain chance to easily attains
their future goals and objectives. But lack of proper resources and strategy may arise barriers in
digital transformation (Quan-Haase and Young, 2010). Therefore, to transform business it is
necessary for companies to formulate effective policies and strategies, so that such barriers can
be removed.
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CHAPTER 3: RESEARCH METHODOLOGY
3.1 Research philosophy
This part of research states the way under which information should be gathered and
analysed effectively. In general, researchers used two types of research philosophy that are-
interprivitism and positivism. In context with present research, investigators have used
interprivitism research philosophy for gathering relevant data on digital transformation. It helps
in finding appropriate data according to situation and condition of research (Rummler and
Brache, 2012). It is essential for respective company researcher to adopt effective and efficient
research philosophy so that they get outcome which is according to the research objective and
situation.
3.2 Research approach
It refers to a plan and procedures which focuses on a single concept and brings values in
the study. It mainly divided into two main categories that are- approaches of data collection and
data analysis. Here, for data collection researchers can use qualitative and quantitative techniques
(Wang and et. al., 2016). While, for analysing the data inductive and deductive approaches are
used. In context with present study, for collecting the information researchers have used
qualitative technique that requires inductive approach for analysing.
3.3 Research Strategy
It refers to a step-by-step plan of action which gives direction to conduct a research in a
systematic manner, within a given time-frame. For this purpose, in present research, project
makers have determined overall priorities of Samsung in order to determine if it accomplishes
the goals by digital transformation or not. This strategy helps in conducting research activities
more effectively.
3.4 Research Methodology
Research method refers to a strategy or tool which can be adopt by a researcher in order to
conduct their plan in effective manner. By adopting this, researcher able to investigate problems
and issues in effective and efficient manner (Wheelen and et. al., 2017). This will conducted by
adopting various steps such as identification of plan, select appropriate method, develops
strategy and many more. Research method is of four type’s i.e. descriptive, co relational, quasi-
experimental and experimental. Along with this it will help researcher as well as respondent in
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order to understand research in effective and appropriate manner. It is also important or essential
for studying about human growth as well as for development.
3.5 Research Instrument/Tools
Research instruments refers to the tools or technique which are used by a researcher in
order to collect information or data related to topics of researcher. It can be of various types such
as questionnaires, scale, graph and many more. Without appropriate research instrument
respective company not able to identify effective data and information, which are essential for
identifying findings and outcomes in proper manner (Wu and et. al., 2016). Instrument which can
be used by an organization in order to collect data are questionnaires, interview, group discussion
and many more.
3.6 Sampling
3.6.1 Identifying Population and Research Site
Under this part, a researcher has to decide population and research site in order to collect
appropriate information according to topic of research (Tiersky, 2017). Population refers to type
of sample size or peoples from which researcher of an organization decide to select their sample
size in appropriate and effective manner. Along with this research site refers to location or place
where they will conduct research. There is various type of research site, some major of them are
hospital, research institutes and field research and many more. It is essential for a research to
adopt these factors in effective and appropriate manner so that they conduct their wok in
effective as well as essential.
3.6.2 Sampling Strategy
Sampling strategy refers to the process which is used by a researcher in order to identify
sample in effective manner as well as conduct research in proper way. By this researcher able to
find out outcome according to need and demand of research. There are major four method or
strategies through which respective company able to collect data or information in effective
manner such as simple random sampling, stratified sampling, cluster sampling, multistage
sampling and systematic random sampling (Zairi, 2012). It is essential for respective company to
adopt appropriate sampling strategy so that they able to find out appropriate strategy according to
research and situation.
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3.7 Ethical consideration
This section is also play important role in effectively carry out the activities to attain
positive outcomes. In this various issues faced by the investigator while performing its activities.
As time and cost are the main issue that faced by the investigator. Along with this, researchers
have to keep information secure and confidential. If they didn’t follow ethical consideration they
may various issues related to legal practices such as they have to give fine or get punishment or
may be both. This is necessary because while conduct researcher ask and fill many personal
information of respondents which can be misused so it is necessary for researcher to adopt it.
CHAPTER 4: FINDINGS (DATA ANALYSIS & PRESENTATION)
QUESTIONNAIRE
1.) Are you aware with the concept of digital transformation in business? Frequency
 Yes 25
 No 5
2.) Do you think that digital transformation aid Samsung in increasing its
profitability and market share?
Frequency
 Yes 18
 No 12
3.) What are the major advantages Samsung can gain by transforming its
business into digitalisation?
Frequency
 Enhance flexibility and efficiency 12
 Improve and increase customer satisfaction 10
 Reduce risk factors 8
4.) What will be the major challenges faced by Samsung while implementing
digital technologies in business?
Frequency
 Managing organisational culture 8
 Lack of resource availability 10
 Lack of Strategy 12
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5.) What are the main techniques Samsung can adopt to overcome from
challenges of digitalisation?
Frequency
 Organise training program 10
 Arrange proper resources & funds 12
 Formulate effective strategies and policies 8
6.) Which is the most appropriate media channel Samsung can use to promote
its business in international market?
Frequency
 Facebook 6
 You Tube 8
 Instagram 9
 LinkedIn 7
7.) Does digitalisation give support to Samsung in attaining its future goals
and objectives more appropriately?
Frequency
 Yes 20
 No 10
8.) Do you think that Samsung needs to make digital transformation in
business?
Frequency
 Yes 22
 No 8
9.) Which factor assists Samsung to move its business into digitalisation? Frequency
 Intense competition 10
 Increase demand of customers 9
 For expansion of business 11
10.) Provide recommendation to Samsung for attaining its future goals and
objectives in beneficial manner…
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