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SAMSUNG

BCG Matrix

CC

QM

D

S

Samsung

1969 : Foundation in Taegu as Samsung Electric Industries, the electronic division of the Samsung Group.

1974 : Acquisitions of Korea Semiconductors and start of the production of various products.

1977 : First export of a color television.

1980 : Creation of the first branch abroad in Germany

1989 : Reached the 20 million color TV products and acquisition of various companies in the telecommunications sector.

1992 : Started the production in China.

1997 : Asian financial crisis but emerged strengthened and as an international company.

2000s : World's leading producers of televisions.

2010s : Technological innovations and creation of numerous production facilities in different areas of the world.

Vision

Samsung commitment is to inspire its communities by taking advantage of its key strength, creative solutions, innovative products and new technology, as they continue to promote its new values for Samsung core networks. This includes industry, partners and employees.

Vision and Mission

Mission

“At Samsung, we follow a simple business philosophy: to devote our talent and technology to creating superior products and services that contribute to a better global society.”

Chairman of Samsung

Lee Kun-Hee

BCG Matrix

BCG Matrix is a framework created by Boston Consulting Group to evaluate the strategic position of the business brand portfolio and its potential. It classifies business portfolio into four categories based on industry attractiveness and competitive position.

BCG Matrix of Samsung

Refrigerators and Washine Machines

CASH

COW

Samsung Home appliances include Refrigerators, Washing Machines and Cooking Appliances which are the Cash Cows for the company.

Over the years, Samsung Home Appliances have become a household name and stand for quality and trust.

Samsung has been able to attain a good market share across different industry segments and still holds a good potrential to grow in the coming future.

CASH COW

Strategy

Cash cow products do not require a lot of investment to maintain a high market share, every company should establish a cash cow to produce a reliable source of income.

The money produced by cash cows can be invested in "star" products to help establish them as the market leader.

Smartphones and TVs

STARS

Samsung Galaxy and Note Series are quite a hit among customers' smartphone and have their own base of loyal customers. In order to mantain its market share, Samsung launches new smartphone with new features and design.

LED and OLED TV are gaining good traction from the global market and can be considered as the Stars of the company. The company is experimenting with new technologies and it is coming up with new TV's with technologically advanced features to gain customers.

STARS

Stars are big cash generators and cash users. They shine in high growth markets. It is for this reason that companies should invest heavily in star products or brands.

Successfully promoted star products will become cash cows.

Strategy

Printers

QUESTION

MARK

Samsung is one of the most active company in the electronic sector and one of those that try to emerge in the printer sector.

The solutions the company offers satisfy all the needs requested by the customers.

Printers' sector is expanding every year more and more.

Despite this, since 2017, HP acquired this Samsung sector.

QUESTION MARKS

Strategy

These products are the hardest ones to determine if they will be successful or not. They often have a low market share and consume lots of cash and investment resources.

With high levels of investment behind them, they have the opportunity to become Stars. Conversely, if they fail to gain traction in a fast high growth market, they will become dogs

Smartwatches

DOGS

With an aim to cater the growing need of the digital world, Samsung launched its Samsung Smartwatch but the product failed to achieve the success that it was expected.

Tough competition from competitors such as Apple watch led to the downfall of the product.

Despite these difficulties Smartwatches produced by Samsung are increasing their Market Growth Rate and, in a 3 years timelapse, they can be considered as Question Marks.

DOGS

Dog products or brands have low growth and low market share. These are not worth further investments.

They do not consume a lot of cash to produce or market, they also generate low returns.

Strategy

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