Marketing and Management: A PESTLE Analysis Case Study of Samsung

This case study provides a PESTLE analysis of Samsung, examining the political, economic, social, technological, legal, and environmental factors influencing the company's marketing and management strategies. It highlights political scandals, economic impacts like the 2007-2009 financial crisis and tax regulations, social factors related to smartphone demand, technological innovations, legal challenges including patent disputes with Apple, and environmental initiatives such as recycling programs. The analysis also identifies key competitors like Apple, HTC, Sony, and Microsoft, emphasizing the need for Samsung to maintain its competitive advantage. The paper concludes by stressing the importance of considering these factors for sustained growth in the competitive market. Desklib provides access to similar solved assignments and resources for students.

Marketing and management

MARKETING AND MANAGEMENT
Introduction
In this paper the discussion will be made on the Samsung Company. Pestle analysis will be
explained by focusing on the company.
PESTLE ANALYSIS
Political factor
 Samsung is considered as one of the largest company on the global platform. It can be
investigated that environment in terms of political conditions are conducive. Samsung is
company in which there are many political scandals which took place in South Korea.
 Uri Party representatives are managing the work for South Korean President and they
officially accepted that the Receipt of 50 to 60 billion KRW from the Samsung Group in the
form of bonds were considered in the Presidential campaign in 2002 (De Mooij, 2018).
 Also it has been investigated that company also funded that opposition before the
election. So, by analyzing these cases the company achieved positive impact through the political
factors but it is considered as the illegal method that also affected the image of the company.
Economic factor
 In the market, this factor is considered as one of the critical dimensions for Samsung as
company enhanced the market share on the global platform. It has been seen that the global
economic crisis has severely emphasized on the purchasing power of the customers in many
countries and also forced the company to attain profitable ventures in the market.
 The major point is related with thee macro environment which is uncertain of the
company and it is important to consider proper strategies. It has been seen that the overall profits
of the company affected by the economic crisis and it was only the reason with the economic and
financial crisis of 2007 and 2009.
 Also the next economic factor which impacted the company is related with Taxation and
interest rates. Tax rates have given effect on the overall financial performance of the company.
Like In Korea the economic sales has been affected just because of the tax regulations. The tax
paid by the company enhanced by 67% in 2016 (Hadjikhani, Lee, and Park, 2016).

MARKETING AND MANAGEMENT
Social factor
 The social factors are favorable for the company as the brand focused on the smart phone
technology. The famous product of the company was Galaxy series.
 In the Asian market the demand for smart phones and tablets of the company has
achieved success.
 The policies of the company are flexible which has given positive impact on the society
and this is the only reason company pertained to the local culture. The company introduced many
series in the market which affected the society and enhanced the living standard of the people.
Technological factor
 Samsung is considered as one of the innovative companies. The company has the benefit
in considering the power of technology. The focus of the company is to achieve the sustainable
competitive advantage.
 Also the company focused on this just to maintain the leading position in the competitive
market. The objective of the company is to stay ahead in terms of latest technologies and this is
the only reason company make the phones with the updated technology like Samsung galaxy
series, Samsung A series and also the J series.
 This has given growth in the market and by using latest technology the demand of the
products enhanced in the market (Kim et al., 2016).
Legal factor
 It can be analyzed that Samsung has given heavy penalties for imitating the products of
Apple. The company imitated the products of the Apple Company like iPad and iPhone
(Gardere, Sharir and Maman, 2018).
 This has affected the image of the company and due to this the negative affected can also
been seen that on the entire growth of the company. Samsung also worked according to the legal
rules and regulations so that it can be easy to manage the activities on the global platform.
 It has been seen that South African government decided to implement consumer
protection Act 68 in 2008 and with this act the negative impact can be analyzed on the company
as they have the tendency to dump the low quality products to enhance their entire profits
(Gardere, Sharir and Maman, 2018).

MARKETING AND MANAGEMENT
Environmental Factor
 It has been analyzed that with the rise in the need and wants of the customers the
company focused on considering the strategies of promotion with the aim of offering reliable
products in the market. Also the company ensures that compromise will not be made with the
entire working procedure and also with the wages offers to the labor.
 The company also offered the policy of take back system in Korea in which the phones
which are not used are collected and then provide the customers the disposable facilities. It has
been investigated that company offered recycling facility in Korea, Japan and Europe (Hartley,
2017).
Competitors of the company
 The company competitors of the company are many like Apple, HTC, Sony and
Microsoft. These companies are offering similar types of products in the market like mobile
phones. So, it is important for the company to maintain its image in the market si that
competitive advantage can be maintained.
Conclusion
So, it has been concluded that company should consider these factors so that growth can be
attained in the competitive market.

MARKETING AND MANAGEMENT
References
De Mooij, M., 2018. Global marketing and advertising: Understanding cultural paradoxes.
SAGE Publications Limited.
Gardere, J., Sharir, D. and Maman, Y., 2018. Consulting and Executive Coaching on Future
Trends: The Need for a Long Term Vision with Apple and Samsung. International Journal of
Business and Social Science, 9(3),p.50.
Hadjikhani, A., Lee, J.W. and Park, S., 2016. Corporate social responsibility as a marketing
strategy in foreign markets: the case of Korean MNCs in the Chinese electronics
market. International Marketing Review, 33(4), pp.530-554.
Hartley, S., 2017. The case of the exploding Samsung phones. Busidate, 25(1), p.9.
Kim, M.K., Wong, S.F., Chang, Y. and Park, J.H., 2016. Determinants of customer loyalty in the
Korean smartphone market: Moderating effects of usage characteristics. Telematics and
Informatics, 33(4), pp.936-949.