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Braddock Industries Inc 4 Case Study Solution and Analysis


Historically, the business's core customers consist of the Original Equipment Manufacturers (OEMs), which used to sell Braddock Industries Inc 4 Case Study Analysis items withtheir own brand name. Its client circle consists of Original Equipment Manufacturers (OEMs), who utilized to sell Samsung products with their own brand name. He rearranged Samsung as a global brand and informed his divisional managers to understand marketing and its importance.

Issue Statement

Samsung's transition from a product based to a marketing business is not going as efficiently as planned.Overcoming the unwillingness of divisional managers to include marketing successfully is still a significant difficulty. Producing a consistent brand identity across the whole world and using marketing strategies that best fits the regional culture is no simple task. The M-net program analysis have been truly practical in identifying the high and less prospective development locations, but allotment of resources accordingly is not well received amongst the managers. There is no consensus amongst the hierarchy concerning the very best suited future method.

Situational Analysis

Braddock Industries Inc 4 Case Study Help efforts for building its brand name throughout the world was begun after presenting the "brand-new management initiative" by Chairman Lee in 1993. The objective was to change Samsung from a low-cost OEM to a high value-added product supplier. To make the vision of Samsung a reality, Chairman Lee designated Yun as a vice chairman in 1997. Yun had a rather clear image in his mind about how Samsung can change from a low end to a luxury product company. He understood that change can only be done through placing Samsung as a business offering high-end products and this could just be done through high level of marketing.

In spite of having a clear vision about how to build Samsung brand name, with a possible assistance of its executives, Yun dealt with several marketing difficulties in early years of its efforts.

One of the marketing challenges for Yun was the perceptions of executives about the worth of marketing. They thought about marketing and selling as exact same tools and thought that quality products do not required marketing for increasing sales. As their focus towards marketing was quite low in their previous company practices, and the present marketing requirement was excessive high, the gap was too larger and to fill this space with incorrect understandings about marketing was quite difficult for Yun.

Along with it the item variety of the company was increasing with the ripening of brand-new product ideas by the R&D sector of Samsung. Yun had an obstacle to perform marketing planning and to create marketing budget plans for existing as well as for new products from the very start, and this would take a huge time.

A huge shift would be needed in existing marketing expenses to develop the Braddock Industries Inc 4 Case Study Solution brand. This would lead to increased marketing expenditures for Samsung and could interrupt the administration concerning increased expenses, as they hesitated to marketing expenditures previously and a sudden big shiftwould make them interrupt. This could lead to decreasing executive support for worldwide marketing. In this situation, Yun faces an obstacle for validating increased marketing expenditures by demonstrating the long term worth of big marketing expenditures.

Internal Analysis
SWOT Analysis

Braddock Industries Inc 4 Case Study Solution strengths lie in its huge product portfolio. Samsung has largest number of patents in the industry with overall number of 15499 patents given in US( USP).

Another strength of Braddock Industries Inc 4 Case Study Help is its capability to develop ingenious products at a continuous rate. It significant proves for the innovation and product creating of Samsung is that the company has actually gotten so many awards for its development and product design.

Unlike Apple and other competitors, Samsung is concentrated on producing devices which can be easily incorporated with any type of open source Os (OS) and software application. This supplies Samsung an edge over Apple devices.

Samsung's ability to produce high-end items at low expense of production is likewise among the major strength of Samsung as it allows the company to capture more market by supplying quality products with expense control.

Weak points

Braddock Industries Inc 4 Case Study Analysis weak points are hidden in the company's dependence on outsourcing software for its gadgets due to company's failure in establishing software, unlike Sony. Samsung also has low revenue margins as compare to Apple due to big distinction in the rates of Apple and Samsung with a much lower distinction in quality. The diverse focus of the business due to large number of items in its portfolio, lead to the less efficient production and make the business unable to charge higher costs like Apple. The company is likewise inefficient in managing its patents and often faces the issue of patent violation.


Opportunities for Samsung depend on the growing Mobile phone market and the business's effectiveness in the market. It can increase its market share and incomes from mobile phone as the business is quite efficient in smart phone market. Samsung presently runs in about 80 countries and the business has an opportunity to increase its geographical expansion by moving towards more emerging markets outside Asia. Samsung can move towards acquisitions to acquire patents. It would allow the company to increase its product portfolio with an increase in its wealth.


The dynamic market environment of innovation market position an extreme hazard on Samsung's survival and require the business to invest much of its earnings share on R&D in order to endure in the long run. The marketplace saturation in developed nations i.e. saturation of mobile business is likewise a huge risk for the company's growth in the presence of strong competitors like Apple.

4 P's of Marketing


Braddock Industries Inc 4 Case Study Help provides quality items and has a rather abundant portfolio which accommodates different sectors. The majority of the products are in the top three of their respective industries. LCD and smart phones are the most significant items of Samsung, whereas DRAM is likewise not far behind in comparison of them. Following is the product line of Samsung:

• Laptops.
• Cellphone.
• Air conditioning system.
• Personal computers.
• Hard disk drives.
• Washing machines.
• Fridges.
• Cams.
• Microwaves.
• Flash memory.


Braddock Industries Inc 4 Case Study Help utilizes both market competitive and market skimming prices strategies for its wide range of items. In competitive rates it changes the price according to the competitors in order to acquire advantage, whereas, it uses market skimming strategy where the product has actually an added value and by offering a few products it can reach break-even.


It has one of the very best supply chain networks, with retail suppliers, their own sole suppliers, E commerce channels like Amazon etc. All its products are prompt supplied to the selling location/ delivered to the clients directly in case of online order.


It utilizes both offline & online channels of promo to market their products. Paid product advertisements, social promo and digital advertisements are uses to develop awareness about Samsung products.

Value Chain Analysis.

It's an analytical structure for recognizing service activities that include value or competitive advantage for the business.

Incoming Logistics.

For its inbound logistics it owns numerous logistics companies as it subsidiaries. It looks after its suppliers and creates a harmonious relationship with them and even minimized their payment cycles to improve this relationship further which adds value to their chain network.


Samsung's core proficiency is its mass manufacturing it produces 90% of its items in-house. Divided into 3 various divisions its operations are namely IT & Mobile Communications, Device Solutions and Customer Electronics. It is preserving operation hubs worldwide to even more add worth to its value chain network.

Outbound Logistics.

Its outgoing logistics system efficiency is among the primary reasons Braddock Industries Inc 4 Case Study Analysis has the ability to compete with Apple. Samsung's own Electronic Logitec system plays a major role in the outbound logistics operations. It even performs the tasks of collection of payment, settling insurance claims, etc. on behalf of Samsung.

Marketing and Sales.

Drawing in target consumer attention towards the item is done through marketing and sales to interact with them the worth and competitive advantage the product offers. Braddock Industries Inc 4 Case Study Help marketing budget is continuously rising considering that they started their repositioning internationally and will continue to do so as they are continually aiming to expand and invest in high prospective development markets. The spending plan is invested in occasions, print and media ads, public relations etc.

Samsung put their consumers at the leading and constantly aim to deliver unmatchable client service requirements. By including a direct assistance line to contact them 24 hours they have further increased the included value of Samsung service.


Braddock Industries Inc 4 Case Study Solution has diversified market division, based upon its provision of vast array of products to a great deal of consumers. Samsung target client sections can be divided into 3 categories i.e. Braddock Industries Inc 4 Case Study Analysis IT and Mobile Communications, Samsung Customer Electronic Devices and Samsung Gadget solutions.


Braddock Industries Inc 4 Case Study Analysis geographical segmentation is based upon 2 requirements i.e. area and density. Samsung serves about 80 nations worldwide with its products offered to Urban as well as Rural areas of the nation. The Samsung is also growing its worldwide existence and the business's versatility in locating its plants encourages global expansion of Samsung.


The market division of Braddock Industries Inc 4 Case Study Analysis is based upon gender, age, life-cycle stage and profession. Samsung produces items that can be utilized by both females and males. The target clients for Samsung IT and mobile communication products have an age series of 18-65 with bulk at a young or newly wed life process phase. They are mostly experts, employees and students. Apart from it, Samsung Customer Electronics are targeted to a customer section with an age series of 25-65. They are primarily professionals and workers. Nevertheless Braddock Industries Inc 4 Case Study Solution Device Solutions are targeted at trainees, employees and experts with an age range of 25-65.


The psychographic division of Braddock Industries Inc 4 Case Study Solution s based upon the social class and the lifestyle of the customer. Samsung target consumers on the basis of social class are mainly upper middle, middle and working class consumers, as Samsung sell items like mobile phone very little less expensive i.e. Motorola as well as very little costly i.e. Apple. It supplies quality products to middle level customers at a slightly high cost than others targeting the exact same section.


Braddock Industries Inc 4 Case Study Analysis bulk target consumers have special behavioural qualities. It has customers with an ambitious, fashionable and determined character with moderate level of loyalty towards the brand name. Its customers have some degree of shift towards other distinguished brands i.e. Apple. The majority of Samsun consumers want quality along with expense control. They are attracted towards Samsung because of its moderate costs with a degree of quality.

Quantitative analysis.

Sales of Samsung has increased amazingly from 16 billion $ in 1997 to 44.6 billion $ in 2002, and the net profit of.48 billion $ to 5.9 billion $. It has actually likewise lowered its financial obligation from 15 billion $ to 4.6 billion $. Digital media is the biggest selling category of Samsung with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales. Profits/ sales are increasing however net profit is not increasing accordingly due to the fact that of the high overhead cost. New growths and employing's were the primary reason of the boost in the overhead costs, with china currently not offering any earnings to Samsung, however there is so much capacity in the current market with 75 % yet to be explored.

Qualitative analysis.

Whereas, the core strength of the company is currently producing however long gone are those days when excellent products were selling themselves. Kim has already started to enhance the marketing activities of Samsung and extremely soon it will become one of its core strength like making if not better.



Samsung operates designs, produces and offer a vast portfolio of consumer electronics. It runs in an incredibly competitive environment and has actually effectively positioned itself as the maker of quality products. The response is yes.


As, said earlier that Braddock Industries Inc 4 Case Study Help operates in an extremely competitive environment, which indicates all the business have comparable items. The response for rarity is no.


Due to the nature of the industry, it is really easy for rivals to understand the functionality of the items and quickly make their own models. Yes, Samsung is just behind IBM in registering new patents every year, but the benefit is really short term in this industry.


Chairman Lee has completely turnaround Samsung, from going nearly insolvent throughout the Asian monetary crisis of 1997 to the top 25 company on the planet. Definitely yes there is proper company in the business and the outcomes promote themselves.

External Ecological Analysis

PESTLE Analysis


Being a multinational brand name spread almost in every country worldwide, majority of the environments like USA, Europe, China and so on, are extremely conductive for its operations. Nevertheless, it deals with some political pressures in less industrialized countries where law and order situation is bad. Latin American, African and some Asian countries fall in this classification, where political instability do have an impact on Braddock Industries Inc 4 Case Study Help operations.


Purchasing power of clients is crucial for companies like Samsung to succeed and grow. Emerging markets like India, middle-eastern countries etc. supply growth opportunities, whereas, due to economic crisis even the consumers of industrialized nations suffer terribly. It is really crucial for the company to keep an eye on the continuous economic circumstance of the nation before entering the market.


International business have to face different social and cultural issues throughout its operations in a foreign nation. Samsung has actually likewise faced numerous concerns however have embraced to the local environments of most of the countries extremely well. It has tailored its products, practices, policies etc. appropriately in order to succeed.


With a yearly expense of 2.4 billion dollars in Research study & Advancement, and with consistent innovative item launches, Braddock Industries Inc 4 Case Study Solution is among the leading ingenious companies of the world. With a clear mission to be ahead of the rest when it comes to technological improvements, Samsung has actually risen to the no 25 of the leading successful companies of the world.


Each nation has their own laws and policies, being an international company Samsung have to strictly follow those laws in their jurisdictions. Failure to do so, will result in major legal repercussions. It has to study or employ a local law professional prior to starting its operations in a specific nation.


With the increasing awareness among consumers about the environmental & ethical offenses of companies, Samsung has to make sure that it follows all the security guidelines. Ecological damages, ethical misbehaviors are not appropriate and in some countries the repercussions can be very serious. On the other hand it has to do some Business Social Obligation practices to show the residents that it appreciates their environment and individuals.

Porter's 5 Forces

Threat of Substitution

Danger of alternative for Samsung's each product category is quite substantial. Elements for high risk of replacement for Braddock Industries Inc 4 Case Study Help Mobile phone consist of the existence of high number of suppliers and Market saturation in industrialized nations, which make the expense of switching for customers practically absolutely no. Along with it, Samsung printing services products are threatened by the increasing attraction of consumers towards cloud storage.

Rivalry Amongst Existing Companies:

The rivaly among Samsung and its close competitors is intense. The major factor behind this is the technique of market saturation in various number of product categories, requiring Samsung to introduce more ingenious features in existing products and new innovative items to preserve its development. The significant competitors for Braddock Industries Inc 4 Case Study Solution samrtphones include Apple, Motorola, LG, Nokia, Huawei, OPPO etc.

( Samsung Sustainability Report, 2016) Supplier's bargaining power for Samsung is low as Samsung runs economies of scale and its orders are of possible size and worth. Due to incapability of Braddock Industries Inc 4 Case Study Solution to develop its own software, it has to outsource its software advancement to Google, which becomes a potential supplier of software application for Samsung, resulting in high bargaining power of Google.

Bargaining Power of Purchasers:

Market saturation in most of the product categories likewise make the bargaining power of purchasers more extreme in for Samsung. In spite of igh bargaining power Samsung is rather capable of offering its products at a greater cost than much of its competitors, due to high end quality product and a fair brand image.

Risk of New Entrants:

Hazard of new entrants for Samsung is quite low. Among the major factor for low danger of new entrants is the high competition in the market. The requirement of big amount of capital to go into in the market is likewise among the prospective barrier to entry. In addition to it, requirement of huge competence and research and advancement expenditures for survival in the market also make new entrants unwilling to enter in the marketplace. Market saturation is likewise among the barrier of entry in innovation industry. High bargaining power of providers require the players in the industry to charge as low rates as possible and this can only be attained by production effectiveness. New firms, in bulk cases, lack the production effectiveness, thus increasing the dangers for entrance in the technology industry.

Competitive Analysis

Samsung's high item diversification provides it distinction from its rivals. It is one of the 3 leading brand names by market share. Unlikely to its close rivals consisting of Sony, Intel and Nokia, who focus majority on a single product classification with Sony concentrating on consumer electronic devices, Nokia on cell phones and Intel on chips, Samsung had a huge R&D costs on all of its product classifications which allow the company to make possible earnings from sales of almost all of its items. (See Display) However, due to the broad item variety the business faces high number of competitors.

The business ranks first in 4 product categories i.e. DRAM Chips, LCD Displays, Cinema Televisions and Microwave ovens, in regards to international market share, amongst 8 different item classifications. Samsung was the international leader in producing DRAM, SRAM and NAND flash chips. Samsung incomes from chips was less than Intel but its profits from chips was growing faster than Intel and has actually grown close to the revenue levels of Intel, as offered in the case Exhibition 2.

Together with the chips Samsung mobile market was also growing at a high rate than its rivals i.e. Motorola and Nokia. Samsung's cellular phone's sales growth was 51% as compare to Motorola with only 4% and Nokia with absolutely no sales growth. The major reson behind Samsung's high growth despite of greater prices than Nokia and Motorola was the business's high-end quality cellular phone.

Samsung was also profiting from increasing market share of high-end LCDs as given up case Exhibit 3. The major factor, making the company make it possible for to obtain the opportunity is its mass production at low expense. Sony was the most significant rival for Braddock Industries Inc 4 Case Study Analysis in LCD market, however, it had actually also started joint venture with Samsung in 2003 for LCD making, lessening the competition for Samsung.

Porter's Competitive Strategy

Low Cost Management strategy of porter is totally carried out by Samsung the method they attain economies of scale by enhancing their core proficiencies of production. Even to the point that their competitor SONY chose to form an alliance with them to make for them, due to the fact that they were unable to take on them on low expense. Differentiation is another method well carried out by Samsung by constant investment in the R&D and remaining ahead of the competition. They always bring something new and innovative whether it's a service or a product.


Alternative Option 1

The Chief Marketing Officer (CMO) of Braddock Industries Inc 4 Case Study Solution would produce a brand-new brand name image by targeting the younger generation of the specific nation. As, especially smart phones of Samsung are incredibly popular amongst the more youthful market.


1. It is the very best technique to construct Customer Lifetime Value (CLV) by developing a long-lasting relationship with clients. Develop loyalty through providing value and reap the benefits for long-term, as research study has showed it is much cheaper to retain current clients than to bring in new ones.
2. Another pro of this option is that word of mouth spread more quickly among more youthful people and which in turn will generate new customers for my products.


1. Old clients who were associated with Samsung before may not like this new image the company is attempting to represent.
2 It will incur additional expenditures to rearrange some products and it may not even bring success as the trends alter extremely rapidly amongst the younger demographic.

Alternative option 2.

It would be done by organizing training workshops throughout which value of marketing will be taught and numbers will be offered. Marketing environment must be developed internally first as genuine marketing begins inside the corporation.


1. Its pro will be that all the marketing approach advocates will come out and likewise the opposite ones.


2. Its con can develop a very unhealthy environment in the workplace, as individuals typically withstand modification due to the fact that they fear it.

Recognize the very best alternative

Very first alternative is the very best as it plainly has more pros since as soon as a Consumer Lifetime Worth is constructed the business will make money from it till that customer lives and has buying power also. Plus, our target consumers are the younger generation which are bound to live longer than the existing aging individuals. Samsung's main goal is to develop commitment amongst its consumers and make them repurchase it from them and even buy their various products.

Implementation Strategy

• Targeting younger generation through social marketing, producing a relate to them like Pepsi finish with music. And set the expectations realistic and attainable.
• A team including best marketing and sales experts should be put together, and both views need to be considered prior to securing the resources required to implement the strategy.
• Thorough communication of the plan need to be done as it is really important for everyone to be on the very same page to make it work.
• Jobs and timelines need to be develop and communicated appropriately to each person accountable.
• The supervisor ought to utilize a control panel which shows the progress of all the jobs which have actually been done or about to be done and by whom.
• The supervisor ought to keep an eye on and keep a consistent look at the general and specific performance.
Due to the fact that any new pattern or policy may come in due to which all the things already planned have to be adjusted, • Everybody should be ready to adapt midway. It's better to have contingency plans currently prepared.
• At the end of the project the manager ought to interact the results and if effective ought to commemorate with the team.


This modification the budget plan allotment of numerous managers and various nations were unhappy and argued but the analysis done by the program was precise and revealed figures like North America and Russia growth possible merited a 35% allotment while they were getting 45%. It really assisted to relatively disperse the resources and capture more clients by investing more on ads on the high growth capacity areas of the world.


Braddock Industries Inc 4 Case Study Solution is a top 25 business in the world now and prepares to get ahead of Sony who sits presently at no. 20. Its continuous investment in R&D and innovative practices have actually moved them to new heights however for them its' just the start and they wish to be amongst the leading 3 brand names worldwide. They totally turnaround from almost going bankrupt throughout the Asian Financial Crisis to a world prominent brand name, understood for quality and innovation. Their worth chain and their core competency their production capability, along-with global brand image building have actually seen their sales go from 16 to 44.6 billion $ from 1997-- 2002. With more growth in China and other emerging markets those numbers will only increase even more in the future. Their marketing efforts need to be directed towards more youthful market in the middle of the internal arguments about marketing and ought to produce Customer Lifetime Value as it will not only provide advantages now however will continue to reap it till the client lifetime. As the cost of retaining the client is more affordable than bring in a brand-new one.