W8A

Running head: COMPETITIVE ANALYSIS 1

COMPETITIVE ANALYSIS 3

Competitive Analysis

Competitive Analysis

Samsung Inc. falls under the leading reputable firms globally and enjoy massive success in terms of market share and revenue generation since inception. The company since 2001 has been in the market repositioning and rebranding itself to remain competitive against other giant firms that include Sony and Apple. The company has shown a tremendous success and much is associated to its focus on meeting its objectives. Research has indicated that Samsung has invested much in promotion and advertising as a way of achieving brand awareness and repositioning in the market and still have a share in a competition with other firms. Samsung Company is a South Korean firm that is ranked as the second largest conglomerate in terms of revenue generation in the different products the company has. The Samsung Company has ventured in various products that include slimmer panels, semiconductors, and home appliance among other products. The addition of many other products in the market increased Samsung’s market share and the portfolio increasing its competitiveness and stand in the top most position. The venture in multiple products has put Samsung in the same competitive league as the Sony and Apple (Kumar, 2016).

Product Innovation

Apple is ranked as the one of the leading innovative firm. The Apple innovation is really felt and exhibited by their quality of the products that include their smartphones. Samsung also has its products and it includes the smartphones that gives customers alternatives in the market. The other Samsung innovative products include the home appliances that are ranked at the top also in the electronic markets. Samsung determination in innovation has positioned itself in the technology platform. The Samsung products are recognized and used globally and this has extended the market share of the company where it is globally recognized. The company has joined the other technological firms in adopting advanced technology to remain competitive and constantly innovative (Filatotchev& Bruton, 2017).

Pricing

The pricing strategy matters in businesses and a firm like Samsung has utilized the strategy that contributed to its success. The company considers selling its products in a lower price as compared to competitors. The pricing strategy has worked well for Samsung where the quality of the products are not compromised where customers gets the value for their products increasing sales (Kumar, 2016).

Target Market

Samsung targets a wide market that is the middle income and wealthy based on the quality and favorable pricing of its products. The company also has a wide variety of products that extends the available market share covering all ages that include the youth, adults and older population. The customers’ targets also include professionals, students, teens and consumers. The target customers for Samsung include plenty of countries where the stronghold in Asia continent that competitors that is Sony and Apple has not ventured into or achieved (Filatotchev& Bruton, 2017).

Design of Product

The unique design of Samsung products that is stylish and its branding has made it competitive in the market despite the presence of Sony and Apple products. The company is known to overhaul its product design after every period of two years. The company has received various international design awards since 2016 and they are 210 awards by now. The company designs remains to be admired globally by various clients (Kumar, 2016). 

Marketing

Marketing is an important strategy that businesses that are in a competitive market consider and that is what Samsung invested on. Samsung marketing strategies have been working on its favor for years and the secret is putting enough resources on the sector to make a huge influence. The markets strategy has demonstrated Samsung as the most trusted brand in the market. The choice of celebrities as the ambassadors of various Samsung products is one of the successful approaches making the company gain an international recognition since the celebrities are known and embraced globally. The marketing skill has made Samsung to be ranked as the World most valuable brand (Kumar, 2016). 

Sustaining Growth

The company has enjoyed a continuous growth and has contributed to the success of the company in many ways. The company has increased its earnings over the years where it has demonstrated an upward trend in revenue generation. Samsung luckily surpassed the Sony company globally in 2005 as the leading global largest consumer electronics brand. The management and marketing system of Samsung is strong and that is what makes the company stable for long. Samsung surpassed the Motorola firm in 2007 as the second leading phone manufacturer (Komninos, 2016).

Distribution Channel

Samsung enjoys a wide distribution channel for its products due to its global recognition and globalization making its presences felt in different countries. The distribution channels in different countries have made Samsung stay on top of its competitors. Samsung enjoys a strong distribution systems and this include 18 state-level distributions in India and direct dealers. The direct dealers are accepted by the company where they play an important role in launching products based on customer needs (Akwetey, 2015).

Advertising and sales promotion

Samsung has better strategies on the issues of marketing and product promotions. Samsung promotes products through sponsoring sporting events. The idea of sponsorship was not common among competitors giving the company an added advantage. The support on sports builds company reputation increasing sales.

Reference

Akwetey, L. M. (2015). Global Business Ventures, Foreign Direct Investment, Expansion, and Growth Strategies. In Global Enterprise Management (pp. 19-37). Palgrave Macmillan, New York.

Komninos, N. (2016). Smart environments and smart growth: Connecting innovation strategies and digital growth strategies. International Journal of Knowledge-Based Development, 7(3), 240-263.

Kumar, D. (2016). Enterprise growth strategy: Vision, planning and execution. Routledge.

Filatotchev, I., Su, Z., & Bruton, G. D. (2017). Market Orientation, Growth Strategy, and Firm Performance: The Moderating Effects of External Connections. Management and Organization Review, 13(3), 575-601.