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Santander C The Integration Of Abbey Case Study Solution & Analysis


Santander C The Integration Of Abbey Case Study Analysis is a popular worldwide brand in innovation industry, established in 1938 by Lee Byung Chul, in South Korea. Santander C The Integration Of Abbey handle a great deal of item categories including Semiconductors, Telecommunications, Digital Media, Digital Appliances and many more other electronic products. Historically, the business's core clients include the Original Devices Manufacturers (OEMs), which utilized to offer Enterprise products withtheir own trademark name. Till early 1990s, the core competency of Business lie in its low price offerings than its competitors by producing existing products at economies of scale. Its client circle includes Original Equipment Manufacturers (OEMs), who utilized to offer Santander C The Integration Of Abbey Case Study Help items with their own trademark name. Company was not merely understood outside Korea. There were likewise no or little interest in constructing the brand name worldwide. Marketing budget plan was controlled by production department with a prime focus on providing inexpensive products.During the 1997 Asian Financial Crisis the company nearly got insolvent, however with the Vision of Chairman Lee it completely turn its fortune around and in 2002 was noted the top 25 most valuable business in the world. When Kim was hired as a Chief Marketing Officer in 2000 the business was not even listed. He rearranged Org as a worldwide brand name and informed his divisional managers to comprehend marketing and its value. Now their goal is to arrive 10 by 2005.

Issue Statement

Enterprise's shift from an item based to a marketing company is not going as smoothly as planned.Overcoming the hesitation of divisional supervisors to integrate marketing efficiently is still a major difficulty. Producing a constant brand identity across the whole world and employing marketing strategies that finest fits the regional culture is no easy task.
Executive Summary
Situational Analysis

Santander C The Integration Of Abbey Case Study Help efforts for constructing its brand throughout the world was started after introducing the "new management effort" by Chairman Lee in 1993. The goal was to change Company from a low-cost OEM to a high value-added product service provider. To make the vision of Company a reality, Chairman Lee designated Yun as a vice chairman in 1997. Yun had a rather clear image in his mind about how Corp can change from a low end to a high end item company. He knew that improvement can only be done through placing Enterprise as a company providing high-end items and this might just be done through high level of marketing.

In spite of having a clear vision about how to develop Enterprise brand, with a prospective assistance of its executives, Yun dealt with numerous marketing obstacles in early years of its efforts.

Among the marketing obstacles for Yun was the understandings of executives about the value of marketing. They considered marketing and selling as exact same tools and believed that quality items do not needed marketing for increasing sales. As their focus towards marketing was quite low in their previous business practices, and the existing marketing requirement was excessive high, the gap was too larger and to fill this space with wrong perceptions about marketing was quite tough for Yun.

As mentioned above, marketing focus was really low in previous practices, therefore there were no correct marketing spending plans for each of the item on the portfolio. There was no marketing preparation provided for the existing items. Together with it the product variety of the company was increasing with the ripening of brand-new product concepts by the R&D sector of Corp. Yun had a challenge to perform marketing preparation and to develop marketing budget plans for existing as well as for brand-new items from the very beginning, and this would take a substantial time.

A big shift would be needed in current marketing expenses to develop the Company brand name. This would result in increased marketing expenditures for Corporation and could interrupt the administration relating to increased expenditures, as they were reluctant to marketing expenses previously and an unexpected huge shiftwould make them interrupt.

Internal Analysis
SWOT Analysis

Santander C The Integration Of Abbey Case Study Solution strengths lie in its big product portfolio. Org has largest number of patents in the industry with overall number of 15499 patents given in United States( USP).

Another strength of Santander C The Integration Of Abbey Case Study Help is its ability to establish innovative products at a continuous rate. It major shows for the innovation and product creating of Corp is that the business has received a lot of awards for its innovation and product style.

Unlike Apple and other rivals, Enterprise is concentrated on producing gadgets which can be easily integrated with any type of open source Os (OS) and software application. This offers Venture an edge over Apple devices.
Porter's 5 Forces Analysis
Business's ability to produce luxury items at low cost of production is likewise among the significant strength of Org as it enables the company to capture more market by offering quality items with cost control.

Weak points

Santander C The Integration Of Abbey Case Study Help weaknesses are hidden in the business's dependence on outsourcing software for its devices due to company's inability in developing software application, unlike Sony. Organization also has low profit margins as compare to Apple due to substantial difference in the costs of Apple and Company with a much lower difference in quality. The diverse focus of the business due to a great deal of items in its portfolio, result in the less efficient production and make the company not able to charge greater prices like Apple. The company is likewise ineffective in managing its patents and regularly deals with the issue of patent offense.


Opportunities for Corp lie in the growing Mobile phone market and the company's effectiveness in the market. It can increase its market share and earnings from mobile phone as the business is rather efficient in cell phone market. Company currently runs in about 80 countries and the business has an opportunity to increase its geographical growth by moving towards more emerging markets outside Asia. Venture can move towards acquisitions to get patents. It would allow the company to increase its product portfolio with an increase in its wealth.


The vibrant industry environment of technology market posture a severe hazard on Org's survival and force the business to spend much of its earnings share on R&D in order to survive in the long run. The market saturation in developed countries i.e. saturation of mobile company is also a huge hazard for the business's development in the presence of strong competitors like Apple.

4 P's of Marketing
Swot Analysis

Venture provides quality products and has a rather abundant portfolio which caters to different sections. LCD and mobile phones are the greatest products of Corporation, whereas DRAM is also not far behind in contrast of them.

• Laptops.
• Cellphone.
• Air conditioning system.
• Personal computers.
• Hard disk drives.
• Washer.
• Refrigerators.
• Cams.
• Microwaves.
• Flash memory.


Santander C The Integration Of Abbey Case Study Help utilizes both market competitive and market skimming rates techniques for its wide range of items. In competitive rates it changes the rate according to the competitors in order to acquire benefit, whereas, it utilizes market skimming technique where the product has actually an included value and by offering a couple of products it can reach break-even.


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

Vrio Analysis
It utilizes both offline & online channels of promotion to market their items. Paid item advertisements, social promo and digital advertisements are uses to create awareness about Enterprise items.

Value Chain Analysis.

It's an analytical framework for determining company activities that include value or competitive benefit for the company.

Incoming Logistics.

It has among the most efficient and effective supply chain network and has over 2700 providers across numerous industries all over the world. Nearly 80% of which is based in Asia and the remaining all over the world. For its incoming logistics it owns various logistics firms as it subsidiaries. It looks after its providers and develops an unified relationship with them and even decreased their payment cycles to enhance this relationship even more which includes value to their chain network.


Org's core proficiency is its mass producing it produces 90% of its items in-house. Divided into 3 various divisions its operations are specifically IT & Mobile Communications, Gadget Solutions and Customer Electronics. It is maintaining operation centers worldwide to even more include worth to its worth chain network.

Outbound Logistics.

Its outgoing logistics system performance is among the primary factors Santander C The Integration Of Abbey Case Study Help is able to compete with Apple. Corporation's own Electronic Logitec system plays a major function in the outbound logistics operations. It even carries out the tasks of collection of payment, settling insurance coverage claims, etc. on behalf of Business.

Marketing and Sales.

Drawing in target customer attention towards the item is done through marketing and sales to interact with them the worth and competitive advantage the item provides. Santander C The Integration Of Abbey Case Study Help advertising budget plan is continuously growing considering that they began their repositioning worldwide and will continue to do so as they are continuously looking to broaden and invest in high possible development markets. The budget plan is spent on events, print and media ads, public relations etc.

Org Service. Corporation put their consumers at the top and continuously strive to deliver unmatchable customer service standards. As after sales service is ending up being extremely crucial to keep customers delighted and engaged, they even conduct studies through third parties to find out their client's feedback and implement it in the positive method to decrease or if possible entirely eliminate their customer problems. By including a direct assistance line to contact them 24 hours they have even more increased the added worth of Santander C The Integration Of Abbey Case Study Analysis service.


Santander C The Integration Of Abbey Case Study Help has diversified market segmentation, based upon its arrangement of wide range of products to a great deal of consumers. Organization target customer sections can be divided into 3 categories i.e. Santander C The Integration Of Abbey Case Study Solution IT and Mobile Communications, Business Customer Electronic Devices and Org Device options.


Santander C The Integration Of Abbey Case Study Solution geographic segmentation is based upon 2 requirements i.e. region and density. Company serves about 80 countries worldwide with its items provided to Urban along with Backwoods of the country. The Corp is also growing its international presence and the business's flexibility in finding its plants encourages global expansion of Venture.


The group segmentation of Santander C The Integration Of Abbey Case Study Solution is based upon gender, age, life-cycle stage and profession. Corp produces products that can be utilized by both males and women. The target clients for Venture IT and mobile interaction items have an age series of 18-65 with bulk at a young or newly married life process stage. They are mostly workers, specialists and trainees. Apart from it, Organization Consumer Electronics are targeted to a client sector with an age range of 25-65. They are primarily professionals and staff members. Enterprise Device Solutions are targeted at trainees, employees and specialists with an age range of 25-65.


The psychographic division of Santander C The Integration Of Abbey Case Study Solution s based upon the social class and the lifestyle of the consumer. Venture target consumers on the basis of social class are mainly upper middle, middle and working class consumers, as Corp sell items like cellular phone not much less expensive i.e. Motorola as well as not much pricey i.e. Apple. It supplies quality products to middle level consumers at a somewhat high rate than others targeting the same section.


Santander C The Integration Of Abbey Case Study Help bulk target customers have distinct behavioural characteristics. They are drawn in towards Corporation because of its moderate rates with an extent of quality.

Quantitative analysis.

Sales of Santander C The Integration Of Abbey Case Study Analysis has increased remarkably 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 category of Org with sales of 13.9 billion $, whereas, Telecommunication and Semiconductors sectors both reached 11 billion $ in sales.

Qualitative analysis.

Yes, this choice is based upon the mission of Kim to target the younger audience and develop a worldwide brand image of the company. Whereas, the core strength of the business is presently manufacturing but long gone are those days when great products were offering themselves. In the current age marketing is very essential and business can not be successful without it. Kim has already started to strengthen the marketing activities of Company and soon it will turn into one of its core strength like producing if not better.



Company runs styles, produces and sell a vast portfolio of consumer electronic devices. It operates in an incredibly competitive environment and has actually successfully positioned itself as the maker of quality items. The response is yes.


As, stated earlier that Santander C The Integration Of Abbey Case Study Solution runs in a highly competitive environment, which implies all the companies have comparable items. The response for rarity is no.


Due to the nature of the industry, it is extremely easy for competitors to understand the performance of the items and easily make their own designs. Yes, Enterprise is just behind IBM in signing up new patents annually, but the advantage is really short term in this market.


Chairman Lee has totally turn-around Corporation, from going practically insolvent during the Asian financial crisis of 1997 to the top 25 company in the world. Certainly yes there appertains company in the company and the results promote themselves.

External Environmental Analysis

PESTLE Analysis


Being a multinational brand spread almost in every nation worldwide, majority of the environments like U.S.A., Europe, China and so on, are very conductive for its operations. Nevertheless, it deals with some political pressures in less developed countries where order circumstance is not good. Latin American, African and some Asian countries fall in this category, where political instability do have a result on Santander C The Integration Of Abbey Case Study Help operations.


Purchasing power of customers is essential for business like Organization to prosper and grow. Emerging markets like India, middle-eastern countries etc. offer growth chances, whereas, due to recession even the clients of developed nations suffer terribly. Thus it is really essential for the company to keep an eye on the ongoing financial scenario of the nation before going into the marketplace.


Multinational business have to face different social and cultural problems during its operations in a foreign country. Company has likewise faced many concerns but have actually adopted to the regional environments of most of the countries exceptionally well. It has actually customized its items, practices, policies and so on appropriately in order to succeed.


With a yearly expense of 2.4 billion dollars in Research study & Advancement, and with continuous innovative item launches, Santander C The Integration Of Abbey Case Study Analysis is one of the leading innovative companies of the world. With a clear objective to be ahead of the rest when it pertains to technological developments, Business has actually risen to the no 25 of the leading effective business of the world.


Each country has their own laws and policies, being an international company Venture 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 regional law expert before starting its operations in a particular country.


With the rising awareness amongst consumers about the ecological & ethical offenses of business, Company has to make sure that it follows all the security standards. Ecological damages, ethical misbehaviors are not appropriate and in some nations the repercussions can be extremely severe. On the other hand it has to do some Corporate Social Obligation practices to show the residents that it cares about their environment and individuals.

Porter's 5 Forces

Risk of Alternative

Risk of alternative for Business's each product category is rather considerable. Factors for high danger of replacement for Santander C The Integration Of Abbey Case Study Solution Smartphone include the existence of high number of providers and Market saturation in industrialized countries, which make the expense of switching for consumers nearly absolutely no. Along with it, Venture printing solutions products are threatened by the increasing destination of clients towards cloud storage.

Competition Among Existing Firms:

The rivaly amongst Venture and its close competitors is intense. The significant reason behind this is the method of market saturation in different number of item classifications, requiring Org to introduce more ingenious functions in existing products and brand-new ingenious items to keep its growth. The significant rivals for Santander C The Integration Of Abbey Case Study Help samrtphones consist of Apple, Motorola, LG, Nokia, Huawei, OPPO and so on.

( Enterprise Sustainability Report, 2016) Provider's bargaining power for Corporation is low as Organization runs economies of scale and its orders are of potential size and worth. Due to incapability of Santander C The Integration Of Abbey Case Study Help to develop its own software application, it has to outsource its software application advancement to Google, which becomes a potential provider of software for Corporation, resulting in high bargaining power of Google.

Bargaining Power of Purchasers:

Market saturation in most of the item categories also make the bargaining power of buyers more extreme in for Business. In spite of igh bargaining power Company is rather capable of offering its products at a greater price than much of its rivals, due to high end quality product and a fair brand name image.

Danger of New Entrants:

Risk of brand-new entrants for Corporation is quite low. One of the major factor for low risk of brand-new entrants is the high competition in the market. The requirement of substantial amount of capital to enter in the market is likewise among the potential barrier to entry. Along with it, requirement of huge know-how and research and advancement expenditures for survival in the industry also make new entrants unwilling to enter in the marketplace. Market saturation is also among the barrier of entry in technology market. High bargaining power of suppliers require the gamers in the industry to charge as low costs as possible and this can only be attained by production efficiency. Brand-new firms, in bulk cases, do not have the production performance, for this reason increasing the dangers for entrance in the technology industry.

Competitive Analysis

Enterprise's high item diversity supplies it differentiation from its competitors. Unlikely to its close rivals consisting of Sony, Intel and Nokia, who focus majority on a single product classification with Sony focusing on customer electronic devices, Nokia on cell phones and Intel on chips, Santander C The Integration Of Abbey Case Study Analysis had a big R&D costs on all of its product classifications which enable the company to earn prospective income from sales of almost all of its items.

The company ranks first in 4 product classifications i.e. DRAM Chips, LCD Displays, Big Screen Televisions and Microwave ovens, in regards to worldwide market share, among 8 various product classifications. Corporation was the global leader in producing DRAM, SRAM and NAND flash chips. Although, Organization profits from chips was less than Intel but its earnings from chips was growing quicker than Intel and has actually grown near the revenue levels of Intel, as given up the case Display 2.

Along with the chips Org mobile market was also flourishing at a high rate than its competitors i.e. Motorola and Nokia. Enterprise's mobile phone's sales growth was 51% as compare to Motorola with just 4% and Nokia with no sales development. The major reson behind Corp's high development despite of higher prices than Nokia and Motorola was the business's high-end quality cellular phone.

Organization was also profiting from increasing market share of luxury LCDs as given up case Display 3. The major reason, making the company allow to avail the chance is its mass production at low expense. Sony was the biggest competitor for Santander C The Integration Of Abbey Case Study Analysis in LCD market, nevertheless, it had actually also begun joint endeavor with Enterprise in 2003 for LCD manufacturing, reducing the competitors for Org.

Porter's Competitive Strategy

Low Cost Leadership method of porter is totally carried out by Org the way they achieve economies of scale by strengthening their core competencies of production. They always bring something brand-new and ingenious whether it's an item or a service.


Alternative Option 1

The Chief Marketing Officer (CMO) of Santander C The Integration Of Abbey Case Study Solution would produce a new brand image by targeting the younger generation of the particular nation. As, specifically mobile phones of Enterprise are incredibly popular among the younger market.


1. It is the very best technique to develop Consumer Life time Worth (CLV) by developing a long-term relationship with customers. Develop commitment through delivering value and profit for long-lasting, as research has actually revealed it is more affordable to retain present clients than to attract brand-new ones.
2. Another pro of this alternative is that word of mouth spread quicker among younger people and which in turn will bring in brand-new customers for my items.


1. Old clients who were associated with Org before might not like this brand-new image the business is trying to represent.
2 It will sustain further expenditures to reposition some items and it might not even bring success as the patterns alter really rapidly among the more youthful market.

Alternative option 2.

Org has made making its core competency for the many part of their business and due to which its managers are not scared to totally get out of their comfort zone. It would be done by arranging training workshops throughout which value of marketing will be taught and numbers will be given. Failure to get the passing scores will get benched. Marketing environment need to be developed internally first as genuine marketing starts inside the corporation.


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


2. Its con can create an extremely unhealthy environment in the work environment, as people frequently withstand modification due to the fact that they fear it.

Recognize the best option

First alternative is the best as it clearly has more pros since once a Client Life time Worth is built the business will make money from it till that consumer is alive and has buying power also. Plus, our target consumers are the younger generation which are bound to live longer than the existing old age people. Nonetheless, Company's primary goal is to produce loyalty amongst its consumers and make them redeemed it from them and even buy their various products as well.

Implementation Strategy

• Targeting younger generation through social marketing, producing a relate to them like Pepsi finish with music. And set the expectations achievable and realistic.
• A group consisting of finest marketing and sales specialists must be assemble, and both views ought to be considered before protecting the resources required to implement the plan.
• Thorough communication of the plan ought to be done as it is very essential for everybody to be on the same page to make it work.
• Tasks and timelines ought to be construct and interacted appropriately to each individual accountable.
• The supervisor ought to use a dashboard which shows the development of all the tasks which have actually been done or about to be done and by whom.
• The manager ought to keep track of and keep a consistent look at the overall and private efficiency.
Because any brand-new pattern or policy might come in due to which all the things currently prepared have to be adjusted, • Everybody must be willing to adjust midway. It's much better to have contingency plans already prepared.
• At the end of the project the supervisor must communicate the outcomes and if successful must celebrate with the group.

Budget plan

The M-net program revealed compelling analysis about the low and high development potential locations and just how much advertising spending plan ought to be allocated accordingly. This change the spending plan allowance of various nations and many supervisors were unhappy and argued but the analysis done by the program was accurate and showed figures like North America and Russia development possible warranted a 35% allowance while they were getting 45%. Whereas, China and Europe should be receiving 42% but were instead given 31%. It really assisted to fairly disperse the resources and record more clients by spending more on advertisements on the high growth potential regions of the world.

Santander C The Integration Of Abbey Case Study Help is a top 25 company on the planet now and plans to get ahead of Sony who sits presently at no. 20. Its continuous financial investment in R&D and ingenious practices have propelled them to brand-new heights but for them its' just the start and they want to be amongst the top 3 brand names worldwide. They completely turn-around from practically going bankrupt throughout the Asian Financial Crisis to a world renowned brand, understood for quality and innovation. Their worth chain and their core competency their production ability, along-with global brand image building have 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 should be directed towards more youthful market amid the internal arguments about marketing and need to produce Client Lifetime Value as it will not only provide advantages now however will continue to enjoy it till the client life time. As the cost of retaining the client is much cheaper than drawing in a new one.