AGENDA History of Samsung smartphones SWOT Analysis Distribution Strategy Competitive Advantage Testing of Hypotheses Analyses of Results Net Takeaway Interesting Trivia `

History of Samsung smartphones Samsung SPH-I300 October 2001 Internet Browsing/ Touchscreen Keypad Samsung BlackJack November 2006 Blackberry lawsuit Samsung Instinct June 2008 Advertising against Apple

History of Samsung smartphones Samsung Focus October 2010 Only Windows phone to feature a micro SD slot Samsung Galaxy S II May 2011 Made Samsung leader and earned Apple’s eternal emnity Samsung Galaxy Nexus December 2011 Won 3 contract for flagship Google Nexus devices

History of Samsung smartphones Samsung Galaxy Note February 2012 New product category “phablets” Samsung Galaxy S III July 2012 Solid hardware, wide availability and relentless marketing Samsung Galaxy S4 April 2013 Fastest selling smartphone in Samsung’s history

SWOT Analysis Strengths Hardware integration with many open source OS and software Able to market the brand through innovation, design and multiple sponsorships High market share in mobile smartphones and its continual growth Excellence in engineering and producing hardware parts and consumer electronics Diversification and differentiation of product line to meet changing customer needs Practice good leadership theory

SWOT Analysis Weaknesses Opportunities Patent infringement Low profit margin Main competitors are also large scale buyers Opportunities Growing India’s smartphone market Growing mobile advertising industry Growing demand for quality application processors Growing tablets’ market Varying products in existing line of business User friendly technology

SWOT Analysis Threats Rapidly changing technology Regulating price wars Saturating smartphone markets in developed countries Declining margins on hardware production Facing low cost competition from China (emulation mobile phones) Handling legal war with Apple and Nokia

Distribution Strategy Company’s manufacturing units (Noida and Chennai) C&F Agents (one in each state) Distributers Big Retailers Retail Chains Franchised Outlets Small Dealers/ Retailers Digital Plazas Digital Homes

Competitive advantage Products Technology driven niche products Wide range of products High brand value Resources and Facilities Strong infrastructure R&D facility at one single location thus exercising absolute quality control Financially strong and large resources at disposal Horizontal and vertical integration Economics High investment for research & development Higher economies of scale and scope Higher yield than most competitors Best Practices Non-traditional human resource practices based on meritocracy rather than seniority Attractive organizational hierarchy in terms of pay scale, bonuses and incentives yielding better output

Testing of hypotheses List of hypotheses Sampling details Target group Samsung has the highest brand awareness in the smartphone category Samsung smartphones enjoy maximum customer satisfaction Samsung smartphones have the best battery life Sampling details Total number of respondents = 50 Process of simple random sampling followed Target group Approximately within the age group 18 – 35 Preferably smartphone user (questionnaire filters them out) Mostly peers, friends and ex-colleagues Graphs Pie charts Bar graphs

Analysis of results Hypothesis 1: Samsung has the highest brand awareness in the smartphone category Thinking about smartphones, Samsung is the brand which comes to mind most often

Analysis of results Hypothesis 1: Samsung has the highest brand awareness in the smartphone category Of the 65% of respondents who currently uses a smartphone, nearly half of them owns a Samsung

Analysis of results Hypothesis 1: Samsung has the highest brand awareness in the smartphone category Of the current non-users, though Samsung is the brand majority of them would opt for, interesting insights observed on comparing Nokia and Apple

Analysis of results Hypothesis 2: Samsung enjoys maximum customer satisfaction in the smartphone class Nearly half the respondents believe that Samsung smartphones give the best value for money

Analysis of results Hypothesis 2: Samsung enjoys maximum customer satisfaction in the smartphone class Of the positive satisfaction segments, Samsung fares marginally better than the rest in After Sales Service rankings

Hypothesis 3: Samsung smartphones have the best battery life Analysis of results Hypothesis 3: Samsung smartphones have the best battery life Majority of respondents feel that battery life is most important while buying a smartphone

Hypothesis 3: Samsung smartphones have the best battery life Analysis of results Hypothesis 3: Samsung smartphones have the best battery life Having asked the respondents to rate various smartphone aspects across four competitive brands, Apple fared better than Samsung when it came to battery life, in terms of positive satisfaction segments

Net Takeaway Samsung has the highest brand awareness in the smartphone category Samsung smartphones enjoy maximum customer satisfaction Samsung smartphones do not have the best battery life

Interesting Trivia In Korean the word Samsung means “three stars”. The founder of the Samsung Group wanted to indicate that the company was big, powerful and numerous. Since 1993, Samsung Electronics has been the largest producer of memory chips in the world! Lee Byung Chull founded Samsung in 1938 as a trading company that dealt in local groceries and had 40 employees. At that point of time it used to produce noodles as well! Samsung's construction division built the Burj Khalifa, which is the tallest building in the world. Samsung Electronics has 370,000 employees worldwide. (Apple has 80,000. Microsoft has 97,106. GE has 305,000.) Samsung says it paid those employees 14.5 billion won, or $12 billion.

Interesting Trivia Samsung accounts for 17 percent of Korea's Gross Domestic Product! Samsung spent over $4 billion in advertising last year, plus an additional $5 billion in marketing. Its ad budget dwarfs everyone else. Samsung's net sales for 2011 were $247 billion. Samsung's electronics division sales were $179 billion. In calendar 2011, Apple did $127.8 billion in sales. Samsung Electronics' profit last quarter was $8.27 billion, much of it from smartphones. For comparison, Google's operating profit last quarter was $3.4 billion! Samsung shipped 215.8 million smartphones last year, which is more than the next three smartphone sellers (Apple, Nokia and HTC) combined! Samsung lists 145 products on its web site under the "cell phones" category (Apple has three phones in two different colors.)!