Since business strategies span different sectors of a companys operations, this paper seeks to understand the business strategies of Samsung and Apple by identifying how the strategies of the two companies compare to one another. The companys quest is the development of useful products that can benefit consumers (through innovative technology). This Web. For instance, consumer tastes, preferences and needs may change to reflect a new set of wants that companies have to conform to. However, the company appoints a brand manager who heads the innovation and development of a product model. The report illustrates the application of the major analytical strategic frameworks in business studies such as SWOT, PESTEL, Porter's Five Forces, Value Chain analysis and McKinsey 7S Model on Samsung. Strategic marketing concerns the choice of policies aiming at improving the competitive position of the firm, taking account of challenges and opportunities proposed by the competitive environment. Moreover, the new product designs improved Samsungs status as a young and fashionable brand with strong functions. The product is perceived to be next generation equipment, which sets it on the warpath with other established brands in this market such as Samsung and Sony. This essay sample was donated by a student to help the academic community. 2. These codes are usually words that show the link between the information obtained and the research objectives. Samsungs innovativeness is also centered on taking advantage of new opportunities in its primary and secondary markets. It had $34.7 Abstract High-technology companies that have brought innovation to the market also use their innovation to claim their intellectual property rights around the world. Jason, A. On the other hand, device solutions division is in charge of memory and device applications development. The same effort has been replicated in the world cyber games. The iPhone advertisement of Apple is similar, always with white background, exotically alluring to the users. This technology was first given to Sony, but the Japanese company failed to take advantage of it because they did not understand how to produce economical gadgets. Infighting between Steve jobs (the companys founder) and Jef Raskins initially deterred Apples success. These views provide the right framework for the analysis of the research problem. Currently, the world does not have a doubt regarding Apples ability to succeed. But maintaining marketing spend at that level in the longer term wouldn't bring much more benefit. In the same event, visitors were allowed to experiment these new products and the company received a lot of feedback regarding these products as well. Learn how to market a business online just like experts & agencies do it. We utilize security vendors that protect and However, Apples corporate culture has been associated with southwest airlines, and Microsoft (Mallin, 2011). The common business ideology in todays technological world is that the development of new software and content is guaranteed to elevate a companys position ahead of its competition. In addition, the creation of the iPod was relieving to the music industry that flourished from the innovation. In this regard, Morrison (2004) notes that, Samsung has operated to save more money while Apples financial strategy has been based on expending its surplus resources for more competitive power. However, Samsungs management is of the opinion that, when it comes to competing against one another, it will not shy away from the battle. The reputation of Apple as it is today is based on the desire strategy that it sets up at each product launch. In 2010 alone, this market grew by close to 200%. That act helped Samsung to jump-start market share, and proved to become a viral video content powerhouse. Samsung does not have a high secrecy regarding its production strategies. From the beginning, the brand stood out with relatively low prices for smartphones with capabilities equal to those of the other side. Samsungs corporate philosophy is encrypted on the companys goal of using its resources to produce quality products, which will benefit the wider global society. In addition, instead of the technological company joining the growing number of multinationals that are outsourcing their activities, Samsung continues to invest a lot of money opening new factories in different locations across the globe (Mallin, 2011, p. 5). This work intends to understand how the communication strategies of Apple and Samsung affect the decisions of consumers in Portugal to buy electronic devices. However, based on the numerous volumes of research analyzed in this study, the reorganization of Samsungs organizational structure, which has seen a reduction in the levels of management, has also contributed to the companys increased performance. SUBMITTED BY: Adverts mocking Apple fans, and heavy investment in product placement and in distribution channels have strengthened its Galaxy mobile brand. Currently, other technological giants in the digital market (such as Sony) are becoming more worried about Samsungs growing success because recent reports show that existing technological companies are always seeking to know what Samsung is doing. By sampling the case studies of Apple and Samsungs business strategies, we see that both companies perceive the international market to be the new frontier for sustaining their business operations. The strength of these companies cannot be underestimated if history is anything to go by. Apple Vs Samsung Marketing Mix Strategy fTable of Contents Introduction Macro-environmental Factors Industry Trends Product Price Place Distribution channels Legal issues encountered promotion fIntroduction Samsung and Apple represent two dominant technology based companies on the global scale. Apple and Samsung are some of the giant technological companies engaged in the same type of business. The ad praises the virtues of the Ultra Power Saving Mode feature that disables connections and shifts the screen to grayscale for longer battery life. Samsungs success has also been attributed to the same factor although there is no single individual attributed to the overall company success. In 2011, Apple Inc started to put forward as a fact its design patent over Samsung Electronics Company in the gets together States court and the disputes then expanded to more than fifty questions taken to be judged by law in a great number of courts around the world and became a design patent war. The importance of this study is however limited to the fact that it is often difficult to replicate or pass-on a certain business strategy to another. During the same event, Samsung also hosted an event dubbed national days that highlighted the national cultures of different countries that participated in the sports. 1. Publicity is considered an effective way of marketing because it is known to be highly effective. Experts note that the tablet market is quickly expanding, and as at 2011, the potential of the market is estimated to be about 50 million units (Deagon, 2011, p. 1). Different factors are usually in play. Indeed, Apple will make good money from the launch of the Apple television but the big question will be if the companys product will be sustainable in the end. One of the main reasons Apple is using the premium price policy is because of the technology they are using in their products. Now customize the name of a clipboard to store your clips. The operations of Apples supply chain was strong enough to warrant speculations by observers that the companys grasp on the supply chain was enough to dictate the terms of other players in the chain (Mallin, 2011). About the same time as the launch of the icloud, Apple had already gained reputation as a very efficient company with a strong foothold on its supply chain. Its a brand that, everyone may want, but not everyone can afford. (1999). Started as a food exporter in Korea and shipped items like dried fish and flour to China. However, Cooks business strategies are in sharp contrast to Steve Jobs business ideals, which mainly centered on instincts. Price in the Marketing mix of Apple Inc. Retrieved from Marketing91: https://www.marketing91.com/marketing-mix-apple-inc/, Marketing91. The Olympic rendezvous acted as an entertainment spot located on a 1024 square feet piece of land on Athens Olympic sports complex where fans and participants sat and enjoyed the games (Henny, 2003). In this spot promoting the Galaxy S5, Samsung dwells on the lack of autonomy of iPhone 5S and openly disparages Apple users. Therefore, understanding a companys business strategy is like knowing the terrain of the battlefield and predicting (or knowing the actions) of the enemies. Integrated The importance of analyzing a companys business strategy can therefore not be underestimated because it touches on different aspects of a companys operations (which determine the long-term health of the company). When diverse features are combined in teamwork, a competent synergy is realized. In 2013, Samsung started growth on building the biggest cell mobile phone manufacturer in the China providers Nguyen area of Vietnam. Both companies have realized high levels of success in different product portfolios but no company has exercised restraint on producing products that infringe on the other companys core product. Later, Samsung also decided to sell about $2 billion worth of non-core business so that it could concentrate on its main businesses that account for the companys main revenue stream. According to the companys management, every day, every employee is supposed to abide by the above philosophy. However, the biggest challenge to adopting this strategy is seen from the fact that the high-end market is not expanding as fast as other market segments do. Samsung also uses this market as a testing ground for its new products. Anticipatory positioning. Mallin (2011) observes that Samsungs marketing strategies are far more distinct than Apples. Through the findings of this study, we will be able to show clearly the connection, differences and similarities between the actions pursued by both companies and their business strategies. Recently, the company launched a new cell phone that allows its users up to 30 minutes of video time on the phones (Henny, 2003). Jason (2011) observes that Apple should take advantage of the potential for this market segment despite the fact that its primary market is the high-end market. Apple Inc. implemented the blue ocean strategy; concurrent pursuit for uniqueness and low costs to open up a new market and demand (Kim, 2004).The company used the strategy to supply creative and innovative products that changed the field of art. This is one example of how Apple is able to be a pacesetter in the technological market. Different organizations have different motivations for formulating their business strategies but as academicians; it is important to clear some of the misunderstanding held regarding business strategies. The company upholds high standards of social responsibility. From this perspective, Samsung stands out to be superior in terms of entrepreneurship. Apple is using its mission and vision statements to become a leading innovation company in technology. https://ivypanda.com/essays/comparative-study-of-business-strategy-for-apple-and-samsung/, IvyPanda. The companys offerings include home appliances such as TVs, monitors, printers, refrigerators, and washing machines as well as key mobile telecommunications products like smartphones and tablet PCs. However, this marketing strategy has a big risk attached to it because most companies fear the consumer perception that their brand is ordinary. So they lay back.. Fair Use Policy or become aware of any violations, please do not hesitate to contact us via support@edubirdie.com. For instance, the company has a locked-down software platform, which is only known to close associates of the company (Mallin, 2011, p. 5). Samsungs brand value is now perceived to be in excess of $12.5 billion (Henny, 2003). Though other technological companies have entered the tablet market, Samsung is perceived to be the closest rival to Apple Inc. (in terms of design and capability) (Deagon, 2011, p. 1). There are differences between these two brands as they adopt several techniques to reach the audience in their market effectively. In reference to this strategy, Samsungs managing director reported that, Largely we try to put smart products in the market. One area of the analysis seeks to understand how both companies use their resources to support their business strategies while another section seeks to understand the differences and similarities between their business strategies. %PDF-1.5 Books will also be relied on as credible sources of research information because they contain published texts. Jobs input in the companys operations has been invaluable because employees have often cited his input as facilitative (Mallin, 2011). From the above sentiments, many researchers peg a lot of hope on Samsung but Apple strategies are perceived to be far more effective. It is therefore no surprise that Apple is making a lot of money (more than it can spend) while Samsungs defiance to venture into the software market only stands to limit its revenue stream (because it seems to mainly rely on its competence on the hardware market). However, it is also important for the company to focus on its key areas of competence home appliance market. From the growing potential in these emerging markets, Apple perceives the establishment of a market access strategy to be more important than introducing innovative products. (2010). Apple is not expected to have it smooth in the television market. With regards to this technological point of control, Jason (2011) admits that Assuming Apple pushes face time as a family video conferencing play, you can bet that competitors will counter with a similar feature based on Google Voice or Microsofts Skype and Kinect technology (p. 4). Furthermore, the company strategy of venturing into new markets is complemented by the push to merge new technology with new markets. Some of the most notable changes on Apples business strategy has been the focus on new and emerging markets, the development of new products (such as Apple televisions), development of Apples icash and boosting the companys operations to meet the increased global demand for Apples products. The companys brand awareness (globally) increased in significant proportions and its markets share significantly soared as well. Apple can utilize a product differentiation strategy. b) Competitive pricing this strategy is used for products other than smartphones. The question of whether Apple should take equal accountability for corporate social responsibility (CSR) as it currently does for its financial performance continues to be heavily EduBirdie considers academic integrity to be the essential part of the learning process and does not support any violation of the academic standards. Most of Samsungs plants are located in third world economies, which do not have strong labor laws that protect their employees from unfair work practices. (2011). The marketing sector understands customers specifications and relays the feedback to research and development sector for improvement. Chris (2008) explains that. This strategy improved the companys competitive position with other competitors (Sony being the main competitor). As part of Samsungs strategy to dominate the digital market, the South Korean company hopes to eliminate the bottleneck challenges and the lack of uniformity in its production strategy (as some of the main barriers preventing it from ascending to the top of the digital market). Despite the above intrigues and questions, Deagon (2011) observes that, Samsung and Apples business strategies have been able to convey different ideas we hold of certain technological gadgets today. These mergers were aimed at countering Microsofts influence in the software market. For years, Apple preferred vertical integration which limited its capability to collaborate with other business partners and achieve flexibility. Asia Pacific University of Technology and Innovation, MKTG522_IMC Course Project Topic Week 4 Draft, Bismuth Data for granites and shales are from Preuss 1940 Reed Kigoshi and Turke, 9.24.T - Lesson_ Phase Changes Assessment_ Chemistry _ Mr. John T Zavoli _ Academy 2019-2020.pdf, AdimulamSaiManasa_ProjectSubmission_Leadership.docx, 124 Further improving the suitability of the company as a nexus of all the, 20191600009 Balampanidis D Patatouka E Siatitsa D 2013 The right to housing, 60840 were healthy and tested negative true negatives Sensitivity Diseased that, Assisted Care - FAQs - Palm Lake Care Redland Bay.pdf. Retrieved from Marketing91: https://www.marketing91.com/marketing-mix-of-samsung/, Marketing91. During this period, Samsung sold about 24 to 28 million Smart phones while Apple sold about 17 million smart phones. This means that it uses several sales channels for visibility and accessibility of selling its products to a global market. Samsungs marketing department has also not established if the aggressive marketing strategy adopted by the company was a sheer coincidence or there was malice involved. However, Samsung joined the smartphone market by using the red ocean strategy; gaining a competitive advantage by venturing into an existing market . Web. This campaign was expressly designed to promote Galaxy Note pen style. For this reason, the best customers for. Apples pricing strategy is relatively expensive and charges a higher premium for their products. Apples human resource strategy is based on employee excellence as one of its core elements of business success. IvyPanda. If Apple doesn't file a suit, then Samsung's dominant strategy is to, of course, file a suit. Through the case studies this paper shows a strong implication that UX can be extended into the corporate resources and capability, and VRIO framework utilized for the analysis of competitive advantages for the market leadership. Emphasis will be given to the business actions undertaken by the two companies outside their primary operating environments. This paper also seeks to establish how Samsung and Apple use their value chain competences as part of their business strategies. Transformational Leadership and Management, The Muenster Pump Company: Reducing Costs. <>/XObject<>/ProcSet[/PDF/Text/ImageB/ImageC/ImageI] >>/Annots[ 22 0 R] /MediaBox[ 0 0 595.32 842.04] /Contents 4 0 R/Group<>/Tabs/S/StructParents 0>> Interestingly, some observers identify the death of Apples founder, Steve Jobs, as another factor contributing to Apples growth. Traditionally, the company relied on revenues from movie rentals but after the digital age set in, the company found it increasingly difficult to compete with online distribution channels. Though Apple Inc. is considered the number one company in the sales of tablets, Samsung is considered the leader in the sale of televisions. The second reason Apple wants to venture into the television market is the existing platform expansion through form factor. For instance, if Apple were to acquire a large financial firm, it would boost its business competence. It will then turn to discussing the product portfolios of Apple and Samsung, and then examines the service and it concludes by evaluation. The sales and service dealers handle key accounts for Samsung and are involved in corporate sales. The move to the digital market sparked most innovative projects by Samsung, although the company perceived this venture as a risky move at the time (Henny, 2003). Consumer electronics, Cloud computing, Digital distribution, You are free to use it for research and reference purposes in order to write your own paper; however, you Now days in the modern world the market have changes. The company designs, manufactures and markets personal computers and related personal computing, and mobile communication devices. Mallin (2011) observes that the success of Samsung can be attributed to its unique competitive strategies. It is well ahead of competition in this market. Samsung also believes that through a set of values, it can be the best company in the technological world. A positive brand image (characterized by improved quality and better pricing) works for the company and consumers alike because the company enjoys improved profitability while the consumers enjoy improved product quality. Samsung is known to imitative its main competitor Apple in product in design, functionalities, as well, as marketing strategy. Samsung is catching up and is already no. This view is aimed to developing a connection between the performance of Samsung and Apple in the technological market. However, Steve Jobs influence on the technological giant has been the most profound and widely talked about. To support the above assertion, Samsung explains that, The result is that all of our productsfrom memory chips that help businesses store vital knowledge to mobile phones that connect people across continents have the power to enrich lives (Henny, 2003, p. 5). These partnerships have been part of Samsungs key areas of operations since its inception. The aura of Steve Jobs still hangs in the brand universe introducing a notion of worship. Apple has already warmed up to this new business phenomenon and it has made billions as a result. However, Samsung claimed that Apples arguments were unfounded. Primary research would however not contain this bias. Through the meta-analysis, it is equally easy to derive the statistical testing for all the factors involved in the progress of the secondary researches (highlighted in the secondary research sources). The company uses anti-collusion and anti-corruption policies (Kim, 2007). Concerning the quick response by Samsung, Henny (2003) explains that Samsung is good at producing easily marketable gadgets that can sell quickly. This area of operation has boosted Apple because most companies do not have the grasp that Apple has over its distribution channels. (2019, March 10). Such applications touch on different human interests such as sports, business, entertainment and the likes. Here, we can see that even though Apple may launch an innovative product for the future (Apple television), there is going to be stiff opposition from other competitors. Just as salty snacks drive you to drink more soda, Apple TV will leverage device interoperability via iCloud (Jason, 2011, p. 4). It is estimated that Apples stock price rose more than ten times (Mallin, 2011). For instance, recent years have seen a rapid decrease in the price of television sets and DVD players. Through this shift, Samsung made many technological gadgets available to its customers and easily, the company shot to the top of the leadership pyramid in the digital market. Wireless Week, 8(40), 1-8. To emphasize this point, Mallin (2011) explains that Samsung decided to adopt business-to-business opportunities and existing enterprise space in the European market as part of an ambitious marketing plan to launch a series of exciting new products in the European market.
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