Marketing Management- Samsung Case

1465 Words6 Pages
In 1990’s, SEC implemented different turnaround strategies to transform the company’s image to a blockbuster brand. These key strategies can be classified as follows: Human Resource Management: Creating a high level of brand awareness required the education of everyone within the organization about the essence of the ‘SEC’ brand name. To this end, SEC developed a marketing career path to attract, train, and retain talented marketers. Success also required a shift in the perceptions of senior managers, toward a recognition of the importance of marketing expenditure and strategic brand building Infrastructure: Due to multiple technological capabilities, speedier decision making and fewer levels of organizational bureaucracy, SEC maintained a five month product cycle - twice as fast as its Japanese rivals. This placed Samsung in an excellent position to be the winner in the digital era Technical Development: SEC focused on hardware; unlike Sony, SEC did not produce proprietary software. This “Open architecture” approach, combined with SEC’s collaboration with content providers, allowed users more freedom. Furthermore, SEC avoided the challenges presented by piracy. Procurement: SEC retained manufacturing as a core competency under the view that not everybody could produce an advanced product. Internal manufacturing groups competed with external companies, reducing both cost and manufacturing time. Operations: Instead of outsourcing production, SEC continued its own manufacturing and set up its plants and R&D facilities in China and India, respectively, resulting in cost reduction. SEC also customized its production that was allowed by in-house manufacturing. Marketing & Sales: The “New Management Initiative” represented the reimaging of SEC as a premium brand. SEC’s product diversification and customization, and its focus on mid-range and high end products,
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