Samsung has emerged as a global technology industry leader and is now ranked as a top ten global brand, thanks to the advancement of its electronics industry. Samsung Electronics Co Ltd (Samsung) is a Samsung Group subsidiary that manufactures consumer electronics, information technology, mobile communications, and device solutions. Vertical supply chain integration and increased production volume have been central to Samsung’s business strategy.
Samsung makes every effort to ensure that all employees follow local laws and regulations and a strict global code of conduct. It regards ethical management as a tool for adapting to rapid changes in the international business environment and building trust with its various stakeholders, which include customers, shareholders, employees, business partners, and local communities.
Company Overview of Samsung
Samsung is a South Korean corporation and one of the world’s leading manufacturers of electronic devices. Samsung manufactures various consumer and industrial electronics, such as appliances, digital media devices, semiconductors, memory chips, and integrated systems. It has become one of the most well-known technological names, accounting for roughly one-fifth of South Korean exports.
To compete in the textile industry, the company expanded its textile-manufacturing processes in the 1970s to cover the entire production line—from raw materials to finished products. New subsidiaries were formed, including Samsung Shipbuilding, Samsung Heavy Industries, and Samsung Precision Company (Samsung Techwin). At the same time, the corporation started investing in the heavy, chemical, and petrochemical industries, paving the way for a promising future.
Competitive Advantages of Samsung
The advantages of this brand over other brands are its advanced technology, marketing, and supply chain. These benefits are among the reasons they are at the top. The advantages are portrayed below:
Technology And Its Advancement
The computer technology and mobile phone industries have become highly competitive. To sustain here, one must constantly bring something new, which is accurately what Samsung does.
The brand invests a huge amount into innovation and research, which helps advance its technology making it one of the best in the industry. Along with being one of the most well-known smartphone brands, the brand is also a leader in the chip industry. Their R&D in technological issues such as privacy and security have kept them abreast of customer trends and preferences.
Great Marketing Strategies
A strong marketing strategy cast helps a business attain huge profits and gives them a competitive edge over others. For the same reason, Samsung doesn’t hesitate to invest much money in its marketing. Its marketing strategy of Samsung majorly focuses on the quality of its products and customer satisfaction. It demonstrates how much money Samsung invests in enhancing market demand and revenue.
Their good marketing strategy has played its role quite well as over the years their sales and demand have increased in good numbers, making them hold a good position globally in the competitive industry. Its marketing strategy focuses on the customers and the quality of its products. The brand is also using digital technology heavily for marketing and customer engagement.
Branding And Good Reputation In The Market
Brand image and equity are critical components of any brand’s global success. The same can be said for Samsung, where branding has become one of the reasons for its international success. Their marketing strategies are typically customer-centric, revolving around their customers’ decisions and preferences. This forces them to keep up with emerging industry trends.
Range in Pricing
Pricing is an essential factor that has given Samsung a competitive advantage over others. Samsung offers products with prices ranging from high to low. As a result, they have a large customer base and affordable products for many people. As one of the most ethical corporations, Samsung continues to train its employees and run monitoring systems worldwide, all while practicing fair and transparent corporate management. Aside from the mobile phone segment, it has introduced products in both the premium and lower-end segments in the consumer electronics segment.
Large customer base
It’s normal to think of Samsung as a global brand with a sizable customer base. Again, one of the company’s competitive advantages is its large customer base. As a result, the brand’s global customer base has grown.
Some of the main reasons they have such a large customer base are that they always try to innovate and develop their products to keep up with their customers’ preferences. They even work on their pricing, making it affordable for many people. The result is higher customer retention and faster growth of the customer base.
Customer Loyalty
Customer loyalty is one of the most vital points for a brand. It strengthens a brand, making it easily stand its position in the competitive industry. This has strengthened Samsung’s position in a highly competitive industry and global market.
Over the years, Samsung has built a large customer base and helped create strong customer loyalty. This was possible because of their huge investment in innovations, research, marketing, and development. This allows the brand to make new market-leading offerings and to contend with its customers satisfactorily.
Strong Supply Chain
A business works well if its bottom line is strong. From a product’s production to smooth operations and delivery. If the supply chain is strong enough, it can be one of the most vital points for a business in the competitive market.
The same is the case with Samsung. Its strong supply chain adds to one of its significant competitive advantages. Samsung has suppliers all over the world. It obtains its raw material from around the world and manages and operates it with its digital technology and 2,500 suppliers worldwide.
It has additionally made development and innovation efforts to involve and enhance its supply chain. Aside from focusing on sustainable supply chain management, the company has developed a code of conduct for its vendors and offers them essential compliance support.
Bottom Line
A company of that size can gain dozens or hundreds of competitive advantages, many of which are apparent, such as brand, engineering, and marketing talent. In the case of Samsung, it is believed that they do everything exceptionally well and have talent in chip design, screens, and other areas that they can use to create better specifications and features for the price, resulting in a lower overall manufacturing cost. They are a large corporation that competes with other top corporations. These competitive advantages include a robust supply chain and marketing, cutting-edge technology, a large customer base, and loyalty. These competitive advantages include a vigorous supply chain and marketing, cutting-edge technology, a large customer base, and loyalty.
References
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