Published on 17 Nov 2020

Samsung Mobile - Technological Giant Losing In Competition

Case Study by Guan Chong

Samsung is the largest South Korean multinational conglomerate company headquartered in Samsung Town, Seoul. Samsung Electronics, particularly the mobile phone business, has been its most important source of income. In 2012, Samsung has outperformed Nokia in the global mobile phone market and became the market leader. However, in the high-end smartphone market in recent years, despite its enormous marketing expenditure, Samsung could hardly keep up with Apple’s iPhone's massive profit margins. It has lost its market share to Apple’s premium smartphones and low-budget, high-volume brands such as China’s Huawei and Xiaomi. Besides declining profit and market share, Samsung Electronics faces other issues such as negative publicity related to intellectual property infringement, labour abuse, and product safety violation, much to the detriment of Samsung’s brand image.

Read the report here.