BM461: Global Business Environment - Samsung SWOT Analysis Report

This report presents a comprehensive SWOT analysis of Samsung, a leading global electronics company. It delves into Samsung's internal environment, examining its strengths, such as a large product portfolio and a strong brand image, and weaknesses, including declining sales in certain segments and challenges in the Chinese market. The analysis also identifies opportunities, such as launching new products and improving HR management, and threats, including controversies and intense competition. The report further explores the impact of these factors on Samsung's marketing and financial strategies, highlighting the importance of adapting to market fluctuations and government policies. The report also examines the impact of opportunities and threats on the financial factors of the management as to adopt the new strategy organization needs funds, to identify the new growth opportunities they have to more focused on their research and development department. The report concludes by summarizing the key findings and their implications for Samsung's strategic decision-making.

Table of Contents
INTRODUCTION...........................................................................................................................3
REFERENCES..............................................................................................................................11

INTRODUCTION
Internal organization environment includes the factors which are available within the
organizations such as management, employee, culture and leadership skills.
In each and every organization decision making process effect by the internal factors. Samsung
is one of the leading electronic companies which is established globally, it has wide range of
products, popular brand name and different segments for this competitive market. These report
help to understand market through this framework to achieve maximum profit and revenue.
MAIN BODY
Swot analysis of Samsung Introduction:
Strengths:-
Samsung has large portfolio and popular brand image.samsung sold its product worldwide and
provide unique and new technology products to consumers. It has product for each and every
segment and provide excellence quality in products. Samsung has largest amount of investment
for their research and development because in current situation these industries have so many
competitors and to sustain in this atmosphere they have to focus on innovative solutions.
Samsung has favorable revenue in US as it's total market share in US is 20% to 25%. (Gürel,
and Tat, 2017.)
Weakness- Samsung has efficient sales in smart phones category but felt decline of sales in
semiconductor by 19%. Samsung is the largest seller in us but due to changes in economic
fluctuation and regulation that impact on the overall sales. Samsung has leading company in
Smartphone market but compare to China it hold very less position in the market as China has so
many brands like vivo, oppo,realme, redmi. Apart from this Samsung has not been able to match
Apple proficiency for smart phones. In past years Apple has increased his share price by 34.9%
and on same time Samsung face decline in it's market share. Some customer’s opinion about
Apple is that their products are more advanced and durable than Samsung products as many
customers says that Samsung has hang issue.

Samsung use Google operating system and apple use it's own iOS. Samsung also need to
concentrate on their advertisement and promotion activities. (Leiber, Stensaker, and Harvey,
2018.)
Opportunities - Samsung is planning to launch new products in air conditioning segment that
has to cutting edge technology. Samsung also need to improve their HR management by
investing in good Hr so they can hire skilled and qualified employees who are more liable about
the work and help to achieve the desired goals. Samsung has favorable position in market and
to maintain that company need to focus on innovative products with advance technology. They
have to identify the people needs and wants as per the market trends and then adopt the strategy
to fulfill them. As currently all the smart phones are now ready to launch 5g or 6g smart phones
in market. Besides that to expand its business Samsung can avoid some mistake to limit himself
into one marketplace. It can earn more revenue through diversification and acquisition with other
brands too.
Threats- Samsung have involved in many controversies that have impact on it's business and
damage the goodwill as well as sales of the company. Apple has fired complaints against
Samsung for copyright issues and this battle survive till seven years and due to this Samsung has
to pay $1.049 billion amount as a penalty. It has drastically damage the reputation of the brand.
Apparently there are so many competitors are available in smart phones, air-conditioner, fridge,
TV segment, so it very Important to sustain in the market and provide innovative products to
customers. Also company should be flexible ready to adopt the changes. Samsung also faces
threats due to changes in the global environment, government rules and regulation for several
products and economic uncertainty that will impact the overall business for the company. .
Besides that to expand its business Samsung can avoid some mistake to limit himself into one
marketplace. It can earn more revenue through diversification and acquisition with other brands
too.

Impact of opportunities and threats on marketing-
Marketing plays very important role in every organization. Marketing is process that
includes planning, promoting, and advertising to achieve long term goals. This factors impact the
marketing strategy as per the market trend and upcoming opportunities. Due to market
fluctuations Samsung has to adopt new marketing strategies. As per current trends they have to
make new plans, new segments new process for supply and distribution. Changing in the
government policies can also impact the marketing department of any company. if company is
working on some product and places but due to changes or restriction they have to stop the
manufacturing or need to adopt the new process. Sometimes political and economic factors
impact the Environment and help Samsung to increase the profitability. Current profitability
increased 12 to 13 % on next quarter. SWOT helps to understand the marketing new
opportunities and threats Samsung has enter in smart phone and currently focus on luxury brands
too that lead to increasing the diversification in the market. (Leiber,Stensaker,and Harvey, 2018.)
Impact of opportunities and threats on finances –
Opportunities and threats also impact the financial factors of the management as to adopt
the new strategy organization needs funds, to identify the new growth opportunities they have to
more focused on their research and development department. Through this department Samsung
can take the new steps and adopt new strategy because each and every individual need
innovative product with advance technology. Finance is very crucial for each industry from
purchasing the raw material to supply the products to it's relevant customer every organization
need money.( Saebi, Lien, and Foss,2017.) Due to changes in Govt. policy and opportunities
increase the financial need of the company. Samsung has to increase their revenue by generating
the more sales and more advertisement.

Conclusion-
As per the above report helps to understand the different factors impacting the environment
of the company.( Gürel and Tat, 2017) SWOT analysis provides in-depth details of strength
weakness opportunities and threats of Samsung and what are these action plans he can take to
achieve the goals. Also it help to understand the impact of SWOT analysis on finance and
marketing.

REFERENCES
Books and journals
Gürel, E. and Tat, M., 2017. SWOT analysis: a theoretical review. Journal of International
Social Research, 10 (51).
Leiber, T., Stensaker, B. and Harvey, L.C., 2018. Bridging theory and practice of impact
evaluation of quality management in higher education institutions: a SWOT
analysis. European Journal of Higher Education, 8(3), pp.351-365.
Puyt, R., Lie, F.B., De Graaf, F.J. and Wilderom, C.P., 2020. Origins of SWOT Analysis.
In Academy of Management Proceedings (Vol. 2020, No. 1, p. 17416). Briarcliff Manor, NY
10510: Academy of Management.
Saebi, T., Lien, L. and Foss, N.J., 2017. What drives business model adaptation? The impact of
opportunities, threats and strategic orientation. Long range planning, 50 (5), pp.567-581.
Sarsby, A., 2016. SWOT analysis. Lulu. com.
Online
An Overview of Samsung.2020.[ONLINE] available through ., < https://bstrategyhub.com/swot-
analysis-of-samsung-2019-samsung-swot-analysis/ >