Samsung Case
Team International
1. Excellent TOCs and a good executive summary that can be further improved. Please read page 4 of the course syllabus to see what should be included in the executive summary.
2. Five forces analysis: 1) It’s good to define the industry (i.e., the consumer electronics and entertainment industries) before conducting the five-force analysis. In this case, you can choose to focus on one particular industry, but your team did a very good job of analyzing both industries that Samsung is associated with; 2) The two dimensions you identified in the market positioning grid are price and perceived customer value '' the two most important factors when consumers making their choices. It shows almost every Samsung’s product (except semi-conductor) has high customer perceived value and premium price. However, if you compare individual products with its competitors, Samsung is relatively positioned in the middle-segment of the market. It’s their strategy to move up the quality-price scale.
3. VRIO analysis is about whether Samsung’s resources and capabilities (e.g., technology, human resources) rare and costly to duplicate? Whether Samsung is organized the right way to exploit the competitive potential of its resources and capabilities to provide quality and premium products? (e.g., corporate strategy).Your analysis indicates that Samsung’s resources and capabilities are not able to provide them sustainable competitive advantage. That’s exactly the case in the highly competitive consumer electronics industry.
4. From the above analyses, competition is the main cause of Samsung’s current problem of losing market share and declining profits.
5. A good discussion on the two strategic options you proposed. 1) The first option is to ...