Competitative Spheres of Company

Assignment of Marketing Management


Competitative spheres of company


  • Industry
  • Products
  • Market segmentation ,Target and Positioning
  • Vertical channels
  • Geographic


The Samsung Group is a multinational conglomerate corporation headquartered in Samsung Town, Seoul, South Korea. It is South Koreas largest cabal and is the world’s largest private conglomerate by revenue with the annual revenue of US $172.5 billion in2009. The meaning of the Korean word Samsung means "Tri-Star" or "three stars". The word “three" represents something "big, numerous and powerful"; the "stars" mean eternity. The Samsung Group comprises numerous international affiliated businesses, most of them united under the Samsung brand including Samsung Electronics, the world’s largest technology company by sales; Samsung Heavy Industries, the world’s second largest shipbuilder. Samsung Group accounts for more than 20% of South Koreas total exports. In many domestic industries, Samsung Group is the sole monopoly dominating a single market; its revenue as large as some countries total GDP. Many businesses today use Samsungs international success as a role model.

The company Durables industry consists of durable goods and appliances for domestic use such as televisions, refrigerators air conditioners and washing machines. Instruments such as cell phones and kitchen appliances like microwave ovens were also included in category. The sector has been witnessing significant growth in recent years helped by several drivers such as the emerging retail boom, real estate and housing demand greater disposable income and an overall increase in the level of affluence of significant section of the population. The industry is represented by major international and loyal prayers such as BPL, Videocon, Voltas, Blue star, Titan etc.

The consumer durables can be broadly classified into two segments: Consumer Electronics and Consumer Appliances. Consumer appliances can be further categorized into Brown Goods and White Goods.

Products of SAMSUNG

Samsung‘s product range includes CTVs, video products, information technology products, mobile phones and home appliances. Its product range covers all the categories in the consumer electronics and home appliances. According, to the analyst’s wide product range of Samsung is one of the main reasons of its success in the market. The wide range products are as follows;

Home appliances

  • Microwave oven
  • Refrigerator
  • Air condition
  • Washing Machine

TV, Video and audio

  • TV
  • DVD
  • Camcorder
  • Audio
  • Home theater
  • Digital Audio player
  • Digital Still Camera

Mobile phones

  • GSM
  • CDMA

Information technology products

  • Note PC
  • HDD
  • CD Rom and DVD Read and Write solution
  • Monitors
  • Laser printers and Laser Based MFPs
  • Fax

Market segmentation

Segmentation means that dividing the market into groups, which are Geographic, Demographic, psychographic and Behavioral. Samsung ha s done its segmentation of its market based on the above categories. According to research Behavioral and psychographic happens to be current segmentation strategy of Samsung.

  • Demographic

Age: Samsung target young people, professional, Businessman and University students.

Family: Samsung products are available to every family size

Income: Samsung products are available to every income class with their own preferences.

  • Geographic

It sells their phones worldwide around 61 countries by making slight changes according the countries need. It has divided the market into different region of Asia such as northern, eastern and southern areas.

Target marketing

After segmentation of market into different parts Samsung must target based on the different groups and classes. Samsung mobiles targeted the following segmentation.

  • Young People
  • People living bin country sides
  • Business Professionals

Samsung targets wide range of consumers for the normal day-to- day use of mobile ranging from a professional user of the mobile. Age ranges from 20s and above it. Late 20s have not the ability to purchase and admire the product. This group of consumers has the most spending power compare to the other consumers.


Many multinational companies adopt a less developed countries mindset, assuming that these markets are at earlier stage of the same development path followed by the developed countries. To take the example of automobile industry .Food and GM launched their outdated models like ford IKon and Opel Astra in the markets. When these did not sell well the companies changed course and decided to launch newer models in market. In the case of Samsung the company from the very beginning launched its whole range of high technology products. It introduced products such as the Bio range in CTVs high- powered woofer series of color television in 21 inch and 29 inch conventional and 21 inch flat TV segments. And not to forget the latest DNie television

By positioning itself on the technology platforms, Samsung was able to differentiate itself from its competitors. Differentiation today is the key for a brand to be preferred by the consumer when there are so many other brands within the same product category. Without differentiation its loyal customer base cannot be created or sustained. But a true differentiator company must provide features that are meaningful to customer, Which is what exactly Samsung has been doing.

Vertical Channels

Another major part of the success of Samsung can be explained through their vertical integrations. Samsung possesses the capability to manufacture most products in house which enables them to react to market changes with more speed than other manufacturers . for instance Samsung fabricates their own LCD screen, has its own memory plants and semi conductor plants and fabricates its own comers sensors. Much of Samsung's success in the Smartphone game can be attributed to its vertical integration. ... Without a supplier, the vertically integrated company has no other entity to which to turn to offset either the reputational or financial damage caused by defective products


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