Samsung Strategy

Introduction

Strengthening and sustaining company’s competitive position is not an easy task and it requires countless efforts in planning, strategizing and understanding the market and industry. We can see that companies are struggling to sustain its edge in today’s sluggish economy. There are several strategy options a company needs to measure. Company need to measure whether to go on the offensive or defensive strategies; or whether to merge with or acquire another firm; or whether to integrate backward or forward; or instead to enter into strategic alliances or partnership agreements.

Maximizing the Power of a Strategy

Samsung proved that sometimes, a company’s best strategic option is to seize the opportunity, launching on the offensive strategy and improve its market position. Among the ideologies of offensive attacks are company focused on conquering resources capabilities where rivals are least able to defend themselves, strengthening competitive advantage by concentrating on which elements rivals are weak and good timing to attack is important.

The first principal of offensive attack is to adapt and improve on the good ideas of existing products by any other companies. Apparently, the first strategy adopted by Samsung appears to be building a product that is similar to existing product but faster, better and at lower cost. This worked well as the market soon flooded with a wide range of models that were constantly updated at a speed its rival found hard to match.

The second principal of offensive strategy options is to offer an equally good or better value product at a lower price as a cost-based advantage to attack competitors. In June 2009, Samsung introduced its smartphones series called Samsung Galaxy. Just like Apple iPhone, Samsung used the Google Inc.’s Android software to create smartphones and tablets that closely resemble the iPhone and the iPad. Since 2009 to present, numbers of models were introduced ranging from low-end to high-end...