Polygon Hotel Group In Dubai Harvard Case Study Analysis

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Polygon Hotel Group In Dubai Case Study Solution & Analysis


Historically, the business's core customers include the Original Equipment Manufacturers (OEMs), which utilized to offer Polygon Hotel Group In Dubai Case Study Solution items withtheir own brand name. Its consumer circle consists of Original Devices Manufacturers (OEMs), who used to sell Samsung items with their own brand name. He repositioned Samsung as a global brand name and informed his divisional supervisors to understand marketing and its significance.

Issue Declaration

Samsung's transition from a product based to a marketing company is not going as smoothly as planned.Overcoming the reluctance of divisional managers to include marketing efficiently is still a significant difficulty. Developing a constant brand identity throughout the whole world and utilizing marketing techniques that best fits the local culture is no easy task.
Executive Summary
Situational Analysis

Polygon Hotel Group In Dubai Case Study Analysis efforts for building its brand name throughout the world was begun after introducing the "brand-new management effort" by Chairman Lee in 1993. The goal was to transform Samsung from a cheap OEM to a high value-added item service provider. To make the vision of Samsung a reality, Chairman Lee designated Yun as a vice chairman in 1997. Yun had a rather clear picture in his mind about how Samsung can change from a low end to a high-end item company. He knew that transformation can just be done through placing Samsung as a company using high-end products and this might just be done through high level of marketing.

In spite of having a clear vision about how to develop Samsung brand, with a prospective support of its executives, Yun faced numerous marketing difficulties in early years of its efforts.

One of the marketing difficulties for Yun was the perceptions of executives about the worth of marketing. They considered marketing and selling as exact same tools and thought that quality items do not needed marketing for increasing sales. As their focus towards marketing was quite low in their previous organisation practices, and the current marketing requirement was too much high, the gap was too wider and to fill this space with wrong understandings about marketing was quite difficult for Yun.

As stated above, marketing focus was extremely low in previous practices, for that reason there were no proper marketing spending plans for each of the product on the portfolio. There was no marketing preparation done for the existing items. In addition to it the product series 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 carry out marketing preparation and to develop marketing spending plans for existing as well as for new items from the very start, and this would take a substantial time.

A big shift would be needed in present marketing expenses to develop the Samsung brand. This would result in increased marketing expenditures for Samsung and could disrupt the administration regarding increased costs, as they were hesitant to marketing expenditures formerly and an abrupt huge shiftwould make them disrupt.

Internal Analysis
SWOT Analysis

Polygon Hotel Group In Dubai Case Study Solution strengths lie in its big product portfolio. Samsung has biggest number of patents in the market with total number of 15499 patents granted in United States( USP).

Another strength of Polygon Hotel Group In Dubai Case Study Solution is its ability to develop innovative products at a continuous rate. It significant proves for the development and product designing of Samsung is that the business has actually gotten a lot of awards for its innovation and product style.

Unlike Apple and other competitors, Samsung is concentrated on producing devices which can be quickly integrated with any kind of open source Operating System (OS) and software. This supplies Samsung an edge over Apple devices.
Porter's 5 Forces Analysis
Samsung's ability to produce luxury items at low cost of production is likewise among the major strength of Samsung as it makes it possible for the business to catch more market by supplying quality products with expense control.

Weak points

Polygon Hotel Group In Dubai Case Study Help weaknesses are hidden in the business's reliance on outsourcing software for its gadgets due to company's failure in establishing software application, unlike Sony. Samsung likewise has low profit margins as compare to Apple due to big difference in the rates of Apple and Samsung with a much lesser difference in quality. The diverse focus of the business due to large number of items in its portfolio, result in the less efficient production and make the company unable to charge greater rates like Apple. The company is also inefficient in managing its patents and often faces the issue of patent infraction.


Opportunities for Samsung lie in the growing Smartphone market and the business's efficiency in the market. It can increase its market share and revenues from mobile phone as the business is quite efficient in cell phone market. Samsung currently runs in about 80 countries and the company has a chance to increase its geographical expansion by moving towards more emerging markets outside Asia. Samsung can move towards acquisitions to obtain patents. It would make it possible for the company to increase its item portfolio with an increase in its wealth.


The dynamic industry environment of technology market present an extreme risk on Samsung's survival and require the business to spend much of its revenues share on R&D in order to make it through in the long run. The market saturation in industrialized nations i.e. saturation of mobile company is likewise a big threat for the business's development in the existence of strong competitors like Apple.

4 P's of Marketing
Swot Analysis

Polygon Hotel Group In Dubai Case Study Analysis provides quality products and has a quite rich portfolio which caters to various sectors. The majority of the items are in the leading three of their particular markets. LCD and cellphones are the most significant products of Samsung, whereas DRAM is likewise not far behind in comparison of them. Following is the line of product of Samsung:

• Laptops.
• Mobile phones.
• Air conditioning system.
• Personal computers.
• Hard drives.
• Washing machines.
• Refrigerators.
• Video cameras.
• Microwaves.
• Flash memory.


Polygon Hotel Group In Dubai Case Study Analysis uses both market competitive and market skimming prices techniques for its variety of items. In competitive prices it adjusts the cost according to the competitors in order to get advantage, whereas, it uses market skimming method where the product has actually an added worth and by offering a couple of items it can reach break-even.


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

Vrio Analysis
It uses both offline & online channels of promo to market their items. Paid product ads, social promo and digital advertisements are uses to create awareness about Samsung products.

Value Chain Analysis.

It's an analytical structure for identifying organisation activities that include worth or competitive benefit for the company.

Incoming Logistics.

It has among the most efficient and efficient supply chain network and has over 2700 suppliers across different industries around the globe. Nearly 80% of which is based in Asia and the remaining worldwide. For its inbound logistics it owns various logistics firms as it subsidiaries. It cares for its suppliers and produces a harmonious relationship with them and even reduced their payment cycles to enhance this relationship further which adds worth to their chain network.


Samsung's core competency is its mass making it produces 90% of its items internal. Divided into 3 different departments its operations are namely IT & Mobile Communications, Device Solutions and Customer Electronics. It is keeping operation hubs worldwide to further include worth to its worth chain network.

Outbound Logistics.

Its outgoing logistics system performance is among the primary reasons Polygon Hotel Group In Dubai Case Study Solution is able to compete with Apple. Samsung's own Electronic Logitec system plays a major role in the outgoing logistics operations. It even carries out the jobs of collection of payment, settling insurance coverage claims, etc. on behalf of Samsung.

Marketing and Sales.

Attracting target client attention towards the product is done through marketing and sales to interact with them the value and competitive benefit the item uses. Polygon Hotel Group In Dubai Case Study Help marketing budget is constantly rising because they started their rearranging globally and will continue to do so as they are continually wanting to invest and broaden in high prospective growth markets. The spending plan is invested in occasions, print and media ads, public relations etc.

Samsung Service. Samsung put their customers on top and constantly make every effort to deliver unmatchable customer care standards. As after sales service is ending up being very important to keep customers delighted and engaged, they even conduct studies through 3rd parties to learn their client's feedback and implement it in the favorable way to decrease or if possible completely remove their consumer problems. By adding a direct assistance line to call them 24 hr they have actually even more increased the added worth of Polygon Hotel Group In Dubai Case Study Analysis service.


Polygon Hotel Group In Dubai Case Study Help has actually diversified market division, based upon its arrangement of wide variety of products to a great deal of consumers. Samsung target customer sections can be divided into 3 categories i.e. Polygon Hotel Group In Dubai Case Study Solution IT and Mobile Communications, Samsung Customer Electronic Devices and Samsung Gadget services.


Polygon Hotel Group In Dubai Case Study Help geographic segmentation is based upon 2 criteria i.e. region and density. Samsung serves about 80 nations worldwide with its products provided to Urban along with Backwoods of the country. The Samsung is also growing its international presence and the business's versatility in finding its plants encourages international growth of Samsung.


The group division of Polygon Hotel Group In Dubai Case Study Help is based upon gender, age, life-cycle phase and profession. Samsung produces items that can be used by both females and males. The target clients for Samsung IT and mobile communication products have an age variety of 18-65 with bulk at a young or freshly married life process phase. They are primarily professionals, trainees and employees. Apart from it, Samsung Consumer Electronics are targeted to a client section with an age variety of 25-65. They are primarily experts and employees. Nevertheless Polygon Hotel Group In Dubai Case Study Help Device Solutions are targeted at trainees, employees and specialists with an age series of 25-65.


The psychographic segmentation of Polygon Hotel Group In Dubai Case Study Solution s based upon the social class and the life style of the consumer. Samsung target consumers on the basis of social class are mainly upper middle, middle and working class clients, as Samsung offer items like cellular phone not much cheaper i.e. Motorola as well as very little pricey i.e. Apple. It supplies quality items to middle level consumers at a slightly high rate than others targeting the same section.


Polygon Hotel Group In Dubai Case Study Analysis majority target clients have unique behavioural characteristics. It has customers with an enthusiastic, trendy and figured out personality with moderate level of loyalty towards the brand. Its customers have some degree of shift towards other popular brand names i.e. Apple. Most of Samsun consumers desire quality as well as cost control. Because of its moderate costs with a level of quality, they are attracted towards Samsung.

Quantitative analysis.

Sales of Polygon Hotel Group In Dubai Case Study Help has actually increased astonishingly from 16 billion $ in 1997 to 44.6 billion $ in 2002, and the net profit of.48 billion $ to 5.9 billion $. Digital media is the biggest selling classification of Samsung with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales.

Qualitative analysis.

Yes, this choice is based on the objective of Kim to target the younger audience and produce an international brand name image of the company. Whereas, the core strength of the company is currently manufacturing however long gone are those days when good items were offering themselves. In the current age marketing is very essential and companies can not be successful without it. Kim has currently started to strengthen the marketing activities of Samsung and very soon it will become one of its core strength like manufacturing if not much better.



Samsung operates styles, makes and offer a vast portfolio of customer electronics. It runs in an exceptionally competitive environment and has effectively placed itself as the maker of quality items. The response is yes.


As, stated previously that Polygon Hotel Group In Dubai Case Study Analysis operates in an extremely competitive environment, which indicates all the business have similar items. So, the response for rarity is no.


Due to the nature of the industry, it is really simple for rivals to comprehend the performance of the products and easily make their own models. Yes, Samsung is only behind IBM in registering brand-new patents yearly, however the advantage is very short term in this industry.


Chairman Lee has entirely turn-around Samsung, from going practically insolvent during the Asian monetary crisis of 1997 to the leading 25 business in the world. Definitely yes there appertains company in the company and the outcomes speak for themselves.

External Environmental Analysis

PESTLE Analysis


Being a multinational brand spread almost in every nation worldwide, majority of the environments like USA, Europe, China etc., are extremely conductive for its operations. It faces some political pressures in less developed countries where law and order scenario is not great. Latin American, African and some Asian countries fall in this classification, where political instability do have a result on Polygon Hotel Group In Dubai Case Study Help operations.


Buying power of consumers is important for business like Samsung to grow and be successful. Emerging markets like India, middle-eastern countries and so on provide development chances, whereas, due to recession even the consumers of industrialized nations suffer severely. It is extremely essential for the business to keep an eye on the ongoing financial situation of the nation before entering the market.


International companies have to face various social and cultural concerns throughout its operations in a foreign country. Samsung has also dealt with numerous problems but have adopted to the regional environments of most of the countries remarkably well. It has actually tailored its products, practices, policies etc. accordingly in order to achieve success.


With an annual expense of 2.4 billion dollars in Research & Advancement, and with continuous innovative product launches, Polygon Hotel Group In Dubai Case Study Analysis is one of the top innovative business of the world. With a clear objective to be ahead of the rest when it concerns technological developments, Samsung has actually risen to the no 25 of the top effective business of the world.


Each nation has their own laws and policies, being an international company Samsung need to strictly follow those laws in their jurisdictions. Failure to do so, will lead to serious legal consequences. It has to study or work with a local law specialist before starting its operations in a particular country.


With the rising awareness amongst consumers about the ethical & ecological offenses of business, Samsung has to make sure that it follows all the security standards. Ecological damages, ethical misconducts are not appropriate and in some countries the effects can be extremely severe. On the other hand it needs to do some Business Social Obligation practices to show the residents that it cares about their environment and people.

Porter's Five Forces

Danger of Alternative

Risk of substitution for Samsung's each item category is quite considerable. Elements for high hazard of replacement for Polygon Hotel Group In Dubai Case Study Analysis Mobile phone consist of the existence of high number of suppliers and Market saturation in industrialized countries, which make the expense of changing for consumers almost zero. Along with it, Samsung printing options items are threatened by the increasing attraction of consumers towards cloud storage.

Competition Amongst Existing Firms:

The rivaly amongst Samsung and its close competitors is extreme. The major reason behind this is the approach of market saturation in various variety of item classifications, forcing Samsung to present more innovative functions in existing products and new ingenious items to preserve its growth. Other element for the extreme rivalry among the competitors is the little product differentiation amongst the items. The prominent gamers in the technology market are rather familiar with the value of R&D spending for their survival and are encountering a race of marketing and R&D costs, to catch the marketplace. The significant rivals for Polygon Hotel Group In Dubai Case Study Solution samrtphones consist of Apple, Motorola, LG, Nokia, Huawei, OPPO etc. High competition rivalry results in the fluctuating market shares which can be seen in Exhibition F.

Bargaining Power of Suppliers:

Polygon Hotel Group In Dubai Case Study Help has a huge supply chain including about 2700 providers throughout the world.( 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. These huge orders enable Samsung to work out prices with its suppliers. Nevertheless, due to incapability of Polygon Hotel Group In Dubai Case Study Analysis to build its own software, it has to outsource its software application advancement to Google, which ends up being a potential provider of software application for Samsung, leading to high bargaining power of Google. In most of Polygon Hotel Group In Dubai Case Study Analysis has a power to work out prices, however it offer considerable rates to its providers to build a strong supply chain and to have strong relationships with its providers.

Bargaining Power of Buyers:

Market saturation in many of the item classifications likewise make the bargaining power of buyers more intense in for Samsung. In spite of igh bargaining power Samsung is rather capable of selling its items at a greater rate than much of its competitors, due to high end quality product and a reasonable brand name image.

Hazard of New Entrants:

Risk of new entrants for Polygon Hotel Group In Dubai Case Study Analysis is rather low. Along with it, requirement of huge competence and research study and development expenditures for survival in the industry likewise make brand-new entrants reluctant to go into in the market. Market saturation is likewise one of the barrier of entry in innovation industry.

Competitive Analysis

Samsung's high item diversification offers it distinction from its rivals. It is among the three leading brand names by market share. Unlikely to its close rivals including Sony, Intel and Nokia, who focus majority on a single product category with Sony focusing on consumer electronics, Nokia on mobile phone and Intel on chips, Samsung had a substantial R&D costs on all of its product categories which enable the company to earn possible profits from sales of nearly all of its items. (See Display) Nevertheless, due to the wide item range the company deals with high number of competitors.

The business ranks first in 4 item classifications i.e. DRAM Chips, LCD Displays, Big Screen TVs and Microwave ovens, in terms of global market share, amongst 8 different product classifications. Samsung was the global leader in manufacturing DRAM, SRAM and NAND flash chips. Although, Samsung earnings from chips was less than Intel but its earnings from chips was growing faster than Intel and has grown near the revenue levels of Intel, as given in the case Exhibition 2.

Together with the chips Samsung mobile market was also flourishing at a high rate than its competitors i.e. Motorola and Nokia. Samsung's cell phone's sales development was 51% as compare to Motorola with only 4% and Nokia with zero sales growth. The significant reson behind Samsung's high development despite of greater costs 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 in case Exhibit 3. The major factor, making the company make it possible for to obtain the chance is its mass production at low expense. Sony was the greatest competitor for Polygon Hotel Group In Dubai Case Study Help in LCD market, nevertheless, it had actually also started joint endeavor with Samsung in 2003 for LCD making, reducing the competitors for Samsung.

Porter's Competitive Strategy

Low Expense Management technique of porter is fully executed by Samsung the method they achieve economies of scale by enhancing their core proficiencies of manufacturing. Even to the point that their rival SONY decided to form an alliance with them to manufacture for them, since they were unable to compete with them on low expense. Distinction is another technique well implemented by Samsung by constant investment in the R&D and staying ahead of the competition. They constantly bring something brand-new and ingenious whether it's an item or a service.


Alternative Service 1

The Chief Marketing Officer (CMO) of Polygon Hotel Group In Dubai Case Study Solution would develop a brand-new brand image by targeting the younger generation of the specific country. As, specifically smart phones of Samsung are preferred among the younger demographic.


1. It is the very best method to develop Client Life time Value (CLV) by producing a long-lasting relationship with clients. Construct loyalty through providing value and profit for long-lasting, as research study has actually revealed it is more affordable to retain present consumers than to bring in new ones.
2. Another pro of this alternative is that word of mouth spread more quickly amongst more youthful people and which in turn will bring in new clients for my items.


1. Old customers who were connected with Samsung prior to might not like this brand-new image the business is attempting to portray.
2 It will incur additional expenditures to reposition some items and it may not even bring success as the trends alter very quickly amongst the younger group.

Alternative service 2.

It would be done by organizing training workshops throughout which significance of marketing will be taught and numbers will be provided. Marketing environment should be created internally initially as real marketing begins inside the corporation.


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


2. Its con can create a very unhealthy environment in the office, as people typically resist modification due to the fact that they fear it.

Identify the best option

Very first alternative is the best as it plainly has more pros due to the fact that when a Customer Lifetime Value is built the company will benefit from it till that client lives and has buying power as well. Plus, our target clients are the younger generation which are bound to live longer than the current aging individuals. Samsung's primary objective is to develop loyalty amongst its consumers and make them redeemed it from them and even buy their different items.

Implementation Strategy

• Targeting younger generation through social marketing, creating a link with them like Pepsi make with music. And set the expectations sensible and attainable.
• A group consisting of finest marketing and sales experts must be put together, and both views should be taken into consideration before protecting the resources required to carry out the strategy.
• Thorough communication of the plan should be done as it is extremely essential for everybody to be on the same page to make it work.
• Tasks and timelines ought to be build and interacted appropriately to each person accountable.
• The supervisor ought to utilize a control panel which reveals the development of all the jobs which have actually been done or about to be done and by whom.
• The manager need to keep track of and keep a constant examine the overall and individual efficiency.
• Everyone need to be willing to adjust midway since any new pattern or policy may can be found in due to which all the things currently planned need to be changed. It's better to have contingency strategies currently prepared.
• At the end of the project the supervisor need to interact the outcomes and if effective ought to commemorate with the team.

Spending plan

This change the spending plan allotment of lots of managers and various countries were dissatisfied and argued but the analysis done by the program was precise and showed figures like North America and Russia development prospective warranted a 35% allotment while they were receiving 45%. It really helped to relatively distribute the resources and record more customers by spending more on ads on the high growth capacity areas of the world.

Polygon Hotel Group In Dubai Case Study Help is a top 25 company worldwide now and plans to get ahead of Sony who sits presently at no. 20. Its constant financial investment in R&D and ingenious practices have moved them to brand-new heights but for them its' only the start and they want to be among the top 3 brand names worldwide. They completely turnaround from practically going bankrupt throughout the Asian Financial Crisis to a world prominent brand name, known for quality and development. Their worth chain and their core competency their manufacturing capability, along-with worldwide brand image building have actually seen their sales go from 16 to 44.6 billion $ from 1997-- 2002. With further expansion in China and other emerging markets those numbers will only increase even more in the future. Their marketing efforts ought to be directed towards more youthful group amid the internal arguments about marketing and ought to create Customer Life time Worth as it will not only give them benefits now however will continue to reap it till the client lifetime. As the cost of retaining the client is much cheaper than bring in a brand-new one.