Marketing at Samsung

Marketing at Samsung

Introduction

The Samsung Group is the largest South Korean conglomerate. The Samsung Group employs about 340,000 people and it is one of the world's largest companies in terms of sales and market strength. The name Samsung in the Korean language means "Three Stars" and represents the three sons of the founder Lee Byung-Chull. President of Samsung conglomerate was Lee Kun-hee, the third son of the founder, who resigned in a major scandal in 2008 as chairman of all items. Since then, the Samsung Group is led by the CEOs of each company (www.economist.com). Flagship of the group's including Samsung Electronics, the largest television and mobile phone manufacturer in the world. The company was established on 1 March 1938 in Daegu by Lee Byung-Chull as a food store. After the Korean War, the company went into the construction industry and food processing. They built the first flour mill and the first sugar refinery at an industrial scale in Korea. This now has become the largest food manufacturer in South Korea (Arens, Weigold & Arens, 2008).

Discussion

After the Asian crisis in the 1990s, Samsung, like others in the industry had to withdraw from numerous fields, and sold many subsidiaries to strengthen its capital base. Simultaneously, the concentration was on some core areas. Since then, Samsung Electronics is the most important branch of the conglomerate (www.economist.com).

In Europe, less known are the other branches of the company:

Samsung - life insurance (Samsung Life Insurance)

Samsung - Heavy Industries (one of the largest shipyard company in the world)

Samsung - Chemistry

Samsung - construction and trade (C & T Corporation - builder of the Burj Khalifa and other high-rise buildings)

In cooperation with Renault: Renault Samsung Motors.

Macromedia Marketing

This population is important sociological factor for the different markets of Samsung (Arens, Weigold & Arens, 2008). Population growth is reflected in the company on the one hand and rising to mutate needs of the consumer, and remains limited to the other markets. The population of a country is divided by 6 age groups:

Preschoolers

Students

Teens (up to 25)

Young people (25-40 years old)

middle-aged (40-65 years old)

Seniors (over 65 years)

When choosing a mobile phone, the Samsung each year produces at least 3 of 6 styles of mobile phones which are obtainable in different variations. For example, for most students, cheaper models with few features (standard feature set + multimedia and a variety of games) adolescents and young adults - access to the Internet. People with certain age, especially the success achieved in their careers, pay more attention to the design of the phone up to their social status (www.economist.com).

Another socio-cultural component is education. In recent years, both the absolute and relative number of students has increased. This factor also has influence on the sale of Samsung as compared to the rivals. Samsung needs to bring forward more of such mobile devices which help them in retaining their present position in the market (www.economist.com).

Economic Factors

One of the main features of the market is the purchasing power of the ...