Samsung, being a technology company has been able to drive innovation to its competitive advantage. A Samsung Experience store in the Toronto Eaton Centre. The visionary company has ceaselessly launched innovative products in the market. In this type of strategy, a company gains competitive advantage by venturing into an existing market and building on the weaknesses of its competitors. Because, when outbound activities are timely managed with optimal costs and product delivery processes put a minimum negative effect on the quality, it maximises the customer satisfaction and increases growth opportunities for the firm. Samsung accounted for 37% of smartphone sales and Apple 29% in May 2016. Samsung Group can analyse and optimise the outbound logistics to explore competitive advantage sources and achieve its business growth objectives. Competitive advantage is essential for a company like Samsung in order to be sustainable and successful over the long term. Samsung’s Biggest Competitive Advantage against other smartphone vendors 21 March, 2013 Samsung Most of these smartphone makers have slight advantages over the … analysts cite Samsung’s vertical integration as a competitive advantage for the company. WTP – Customers have an increased WTP for a reliable supplier. Competitive advantage as explained by Michael Porter, (cited in Singh 2012, p. This Samsung SWOT analysis reveals how the second largest technology company used its competitive advantages to become a leader in consumer electronics, home appliances and semiconductors industries. 988 Words 4 Pages. (In answering this question, you will find helpful information in exhibits 6-k (but not only there)). Threats are obstacles in the market that the business might face. Samsung is committed to inspire its stakeholders and communities by leveraging new technology, creative solutions, and innovative products. As a result, the displayed image is noticeably sharper, live, and without distortion. Samsung Electronics: Strategy And Competitive Advantage 783 Words 4 Pages “A company’s ability to respond to an unplanned event, good or bad is a prime indicator of its ability to compete.” Samsung Galaxy S7/S7 Edge accounting for 16% of sales and the iPhone 6s/6s Plus at 14.6%. When Apple Inc., unveiled its latest smartphones iPhone 6 and iPhone 6 Plus in September 2014, industry experts, opined that Apple might finally have the right ingredients to sap the advantages of Samsung’s Galaxy line of smartphones and reverse Samsung… Buyer's’ behavior defines the future effectiveness of the company as it mostly depends on the way representatives of the target market are ready to buy top-notch products by Apple and Samsung. For Samsung, a low cost strategy has been a significant source of competitive advantage in the global smartphone market. What Is Competitive Advantage? Afterwards, by comparing their competitive advantages, I can conclude what these two companies are lacking and how they should catch up with each other in order to achieve sustainable development in the future. Since such social and environmental values are difficult to quantify, we took a ‘quality over quantity’ approach in setting and managing our sustainability management goals. Samsung does have competitive advantage on both ends of the “value stick”. Its authorized dealers represent a commitment to supporting Competitive advantage as explained by Michael Porter, (cited in Singh 2012, p. 19) is when a business is able to increase earnings despite its competitive pressures. This technology, android, is the core competency of Samsung smartphones. Samsung QLED TV brings the technology of the Quantum Dot to a higher level with HDR capability 1500 to 2000 nit. At Samsung, we strive to create social and environmental values as well as economic values through our sustainability management so as to contribute to the betterment of the global society. Thus, the competitive advantage benefit of core competency is limited and does not ensure an absolute position in the market. Limitation of Core Competencies This case study here is looking at the competitive marketing strategies used by each of these names and what they need to step ahead from their rivalry position in future. 3): Samsung’s overall cost was 24 per cent lower than the weighted average cost of the other four producers; two most significant elements of the cost structure, i.e. Apple vs Samsung: Competitive Dynamics . Samsung’s cost advantage is clearly visible from the comparison of costs (and their elements) that were borne by the company and its competitors in 2003 (Tab. At the top, Samsung is able to demand higher prices for its products, while also driving lower production costs by using various innovations and efficiencies. Unlike Apple Inc, Samsung uses the red ocean strategy. A competitive advantage is what makes an entity's goods or services superior to all of a customer's other choices. Today, Samsung smartphones can be found in virtually every country across the globe -- from North America and Europe to Africa, Asia, and Latin America. Does Samsung have a competitive advantage?   While the term is commonly used for businesses, the strategies work for any organization, country, or individual in a competitive environment. Look at your Samsung dealer as your trusted advisor, keeping you informed about new technology advancements, service options and cost-effective measures that can give your business a competitive advantage. Bouman, T. 2014, Samsung Enterprise Business: XChange Solution Provider. 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