Table of content: Page No.

1. Background history 1
2. About Report 2
3. Management of Samsung Electronics 3
I) Human Resource Management 4
II) Green Management 5
4. Financial Statement 6
5. Marketing Strategy 9
6. Manufacturing 10
7. Stakeholders 12
8. S.W.O.T Analysis 13
9. Globalization 15
10. Corporate Social Responsibilities (CSR) 18
11. Ownership Structure 19
12. Conclusion 20
13. Appendix and References 21
I) Mission Statement 22
II) Techniques 22
III) References 22


































Executive summary:
This report is about the Electronic Appliance maker, Samsung. In this paper, we analyzed the
company and its strategies from a variety of perspectives including agenda analysis. The
companys strategy, its competitors and its entry strategy into foreign markets have also been
analyzed. The focus throughout the paper would be on understanding the company from
various perspectives. Charts are also provided with details from various categories of their
operation.

Samsung is an ideal company for analysis because of its unique and innovative approach to
business. The paper is divided into separate parts that are concerned with the introduction to
the company; with the policies and the strategies of the company following as well as the
conclusion about the future outlook of it. Here, we showed the company profile of Samsung
Electronics and its vision and mission Strategies in the market, displayed the varieties of
product such as LCD TV, Mobile Phones, Microwave Oven, MP3 players, Laptops, Cameras
etc.

Limitation: The period of the project is not sufficient to study all the factors in deep.













Background history:
Unlike other electronic companies Samsung origins were not involving electronics but other
products.
In 1938 the Samsung's founder Byung-Chull Lee set up a trade export company in Korea,
selling fish, vegetables, and fruit to China. Within a decade Samsung had flourmills and
confectionary machines and became a co-operation in 1951.
From 1958 onwards Samsung began to expand into other industries such as financial, media,
chemicals and shipbuilding throughout the 1970's. In 1969, Samsung Electronics started
producing what Samsung is most famous for- Televisions, Radio's, Computer components
and other electronics devices. In 1993 Samsung developed the 'lightest' mobile phone of its
era, the SCH-800.
1987 founder and chairman, Byung-Chull Lee passed away and Kun-Hee Lee took over as
chairman. In the 1990's Samsung began to expand globally building factories in the US,
Britain, Germany, Thailand, Mexico, Spain and China until 1997.
In 1997 nearly all Korean businesses shrunk in size and Samsung was no exception. They
sold businesses to relieve debt and cut employees down lowering personnel by 50,000.
However, Samsung managed to curb this and continued to grow.
Then they developed smart phones and a phone combined mp3 player towards the end of the
20th century. To this date Samsung was dedicated to the 3G industries. They are now
manufacturing various electronics at a speed to keep up with consumer demand.










About This Report
This is the Sustainability Report of Samsung Electronics.
Samsung Electronics continues its endeavors to overcome the global economic crisis and to
solidify its global presence and reputation as a world leading company. This report conveys
the efforts and sustainability performances of the company during the year 2008. Opinions
and suggestions for the improvement of this report are welcomed.
This report includes the companys profiles as well as its economic, environmental, and
social performance indicators to ensure the full sharing of information across all sectors. The
financial data included in this report generally represents the corporations consolidated
figures that encompass the performances of Samsung Electronics overseas plants. The
environmental and social performance information mainly reflects the domestic subsidiaries
of Samsung Electronics. Based on the analysis results, major sustainability issues were
identified for this report. Samsung Electronics will continue to strengthen its data collecting
process to expand the scope of its reporting for future periods.










Management of Samsung Electronics:

With determined dedication and a universal outlook, the management of Samsung Electronics
is leading the way to evolution and invention. Innovation, alliance and excellence are the
characteristics of leadership at Samsung.
Dr. Oh-Hyun Kwon is Vice Chairman of the Device Solutions of Samsung Electronics.
Samsungs Device Solutions unit consists of three major businesses: Memory, System LSI
and LED. Dong-Soo Jun is president of the Memory Business of Samsung Electronics
Device Solutions. Dr. N-S(Stephen) Woo is President of the System LSI Business of
Samsung Electronics Device Solutions. Dr. Nam-Seong Cho is Executive Vice President of
the LED Business of Samsung Electronics Device Solutions. These respectable leaders are
contributing for the overall development of Samsung Electronics.
The Board of Directors (BOD) is the highest decision-making body of Samsung. Currently,
the BOD is composed of seven members, with four of them being outside directors. The
outside directors hold the majority of the BOD. The outside directors gather together at
separate meetings to discuss overall management issues and work on recommendations. All
directors are prohibited from engaging in business activities within the same industry without
the approval of the board.
At Samsung Electronics, their board follows effective and responsible corporate governance
systems that support top management and maximize corporate value through logical and
well-founded decision-making. Their tasks include the establishment of basic management
policies and guidance on strategic business decision. They are committed to providing
outstanding corporate and stakeholder value by keeping accurate checks and balances.
Samsung Electronics should promote outstanding corporate and stakeholder value in order to
achieve record performance in their management. By doing all the management tasks
proficiently, they can strengthen their competitive lead in both services and content.

Human Resource Management

Employees are the most valuable assets as they perform their business activities based on the
principles of human respect. Samsung Electronics follows the international labour standards
and local labour regulations to increase employee value, while eliminating discrimination
based on gender, race, religion, social position etc. They are attracting and keeping the most
talented employees to increase the development of their company. They also offer their
employees various training programs to foster a globally competent workforce

Green Management

Samsung Electronics operates Environment and Safety Committee to implement Green
Management. They are committed to the development of environment-friendly products and
reduction in greenhouse gases. They are addressing the climate change and increasing the
number of eco-friendly products. Samsung Electronics inspires implementation of Green
Management program and evaluates its results under the involvement of employees and
executives putting head of the workplace in main position.
The outstanding management performance of Samsung Electronics will bring it closer to its
vision of becoming one of the worlds most trusted and respected companies.









Financial Statement:
Despite the rapidly changing climate and challenging management environment, we are
increasing corporate value and achieving record performance.
TO THE BOARD OF DIRECTORS AND SHAREHOLDERS OF SAMSUNG
ELECTRONICS CO., LTD.
They have audited the accompanying consolidated financial statements of Samsung
Electronics
and its subsidiaries which comprise the consolidated statements of financial position as of
December 31, 2010, December 31, 2009, and January 1, 2009, the related consolidated
statements of income, comprehensive income, changes in equity and cash flow for the years
ended December 31, 2010 and 2009, and the related notes.
Our responsibility is to express an opinion on these consolidated financial statements based
on our audit. We did not audit the financial statements of certain subsidiaries, whos financial
Statements represent 9.2% and 10.0% of the consolidated total assets as of December 31,
2010 and 2009, respectively, and 23.2% and 24.8% of the consolidated total sales for the year
then ended, respectively.

2012 Samsung Electronics Financial and Strategic Highlights

- Increases of 13% in sales and 58% in operating profit over 2009
- Demonstrated continuous increases in sales, operating profit and net income growth ratios
- Maintained sound financial structure with 50.3% liability ratio, 66.5% capital adequacy
ratio and 18.0% return on equity ratio
- Estimated global brand value at USD 19.5 billion, up 11% over 2009. Currently ranked 19th
among the top 100 global brands in the
2010 Business Week and Inter brand survey

The sales of the business were affected. Below we have shown the charts of sales and profit
and operating profit and net income of the recent years





Divisional/Geographical Performance
(1) Sales by Division (Sales between parent and subsidiaries included)

(2) Operating Profit by Division















Graphs of Net Sales, Total Assets, total liabilities, total employees






2011 Financial Overview (WON/DOLLARS/EUROS)
AMOUNTS IN BILLIONS WON DOLLARS EUROS
Net Sales* 254,561.5 220.1 165.9
Total Assets 391,391.9 343.7 258.7
Total Liabilities 230,688.5 202.6 152.5
Total Stockholder's Equity 160,693.5 141.1 106.2
Net Income* 24,497.9 21.2 16.0









Marketing strategy:
Samsung Electronics has proven to the business world that they are one of the most
prestigious technology companies in the industry. Samsung has paved the way for the future
in electronics. It still have very detailed strategies and tactics that will give an increased
competitive advantage over its competition. The main advantage that the company has over
its competitors is that it has a product range that is marked by a high degree of quality and
responsiveness to the needs of the customer. With the beginning of innovative products,
Samsung took the market for consumer electronics and managed to gather the maximum
market share. The companys main emphasis the past couple years has been on integration,
union, and encouraging innovation.
While Samsung has shifted to a more strategic focus on its marketing efforts by allocating
resources based on need and maximized projected returns instead of the historic percentage
of sales. Despite its supplier mentality, Samsung has seen great successes.
They know how to launch their products and attract their customer. They have demonstrated
their new products which are state of the art in Consumer Electronic Show 2012 and
Samsung Forum 2012 most of them being available by the end of 2012. By performing in
CES they are upgrading their working capability with so many hopes and can get connected
with the consumers directly that help them to understand the future demand of the consumers.
This process is helping the company to plan the marketing strategies ahead.
After adapting the Google Android as their OS. The demand of their products increased
which influence marketing strategies that added more concentration on their marketing field
to stable the interest of the customer on their product.
In the future, they plan to enter the 3D video gaming market with a partnership with
Microsoft. This will give them access to all of Microsofts gaming technology. Seeing these
policies we think the Company should introduce low cost products to satisfy the needs of low
or middle class and can distribute free key chain, calendar, t-shirts for making brand popular
among people.






Manufacturing:
In recent times Samsung is expanding its manufacturing plant around the world. On 3 April,
2012 Samsung announced that it will spend $7 billion to build a NAND memory chip plant in
China. Samsung always tries manufactures innovative products and present it to their
consumer according to their demands. Their presentation in the Consumer Electronic Show
(CES) 2012 and in their Samsung Forum 2012 shows how much they are into
manufacturing innovative products. They are manufacturing world class products like
LED/LCD displays, Air cooler, Camera, Laptops, house hold machineries like washing
machine and so on. Their recent success is in the field of manufacturing smartphones and
LCD/Led display. Samsung uses state of the art technologies to manufacture their products
ensuring their quality. Their capabilities helped them when they only started in the television
manufacturing industry competing with leading company like Sony yet now Samsung is in a
leading position. Also Samsung is giving a head to head competition to its competitors like
Nokia, Sony, LG, and HP etc.





Ensuring high quality products at an affordable rate is the best thing about Samsung
manufacturing. As Samsung electronics expanded their products in every phase of day to day
life the manufacturing of these products also created the urge to expand their manufacturing
plant around the world. Their production network is in Europe, Commonwealth of
Independent States (CIS), China, Japan, North America, Central Asia, Southwest Asia,
Southeast Asia, Korea and Latin America which helps them to meet with the product quantity
demand of the entire customer. Their products are of two categories by the demand of usage-
1. Business Products-
Hospitality Solution
Semiconductor
LCD panel
Telecommunication
Storage
Fiber optics
2. Consumer Products-
Mobile Phones
Television
MP3
Cameras
Computers
Printers
Home Appliances
by categorizing it helps to set how and in which quantity the products needs to be produced.



Picture: Some of Samsung Electronics products




STAKEHOLDERS:


Their major stakeholders include customers, shareholders, investors, employees, suppliers,
industrial organizations, expertise groups, civic groups and the local communities. Their
stakeholders are those who have either direct or indirect impact on
engagement activities of Samsung Securities or those that they have social
responsibilities to. They have close relationship with the Company in all aspects of
management The Company is building deeper trust with the stakeholders by respecting their
concerns and integrating them into the management activities,









S.W.O.T Analysis:








Strengths
Has a heavy assets of technology and considerably known for
its technologically advanced products.
Its a strong corporate brand.
Produces one of the best quality products.
Good understanding about the customers and offer goods and
services according to their needs.
Has a huge capital to invest in technology, design and human
resource.
Good understanding about the Human Resource needs and
their priority, thus giving it more importance.
Highly focused towards innovation and to improve their
products.




Weaknesses
Lacks product differentiation.
Not proactive about introducing new products.
Products not being user friendly make it hurdles Samsung to
be a market leader.
Perceived as low quality products compared to other
competitors products because of their low price.



Opportunities
Making it distinctive from competitors.
Providing distinguish services to increase its customer base.
By introducing unique products and variation with the existing
products.
Mobile sector being one of their booming section, introducing
more user friendly and high specificities based low price
mobile phones.




Threats
Competitors being dominant in home appliance industry e.g.
Sony, Panasonic, LG etc.
Competitors being dominant in mobile and other industries
e.g. Nokia, Apple, HP, RIM etc.
Increasing rivalry in the telecommunication industry is making
it hard for them to be establishing in it.
Marketing strategies is weak compared to their rivals.
Globalization:
Samsung has been moving with a continuous growing brand value in the world through
advanced technologies in fashion, semiconductors, plant construction, finance, hotels and
many more for more than 70 years. Samsung is the one and only industry where innovation
and quality is always the first priority. Globally Samsung has been ranked amongst the top 30
largest employers in the world with more than 245000 employees.
Samsung global has more than 429 offices/facilities 68 countries, including 30 Manufacturing
Subsidiaries, 51 Sales Subsidiaries, one manufacturing and sales subsidiaries, two
distribution centers, six design centers, 18 R&D centers, 77 Branch Offices and others.

With a strong commitment towards R&D, Samsung has invested $5.3bn in 2005 gradually
increasing to $6.2bn in 2009. Samsung electronics is one of the worlds premier consumer
electronics/IT companies, currently operating in 124 various countries across the globe. With
a total sales of US$137 billion Samsung electronics is the #1 IT company in terms of revenue
and one of the fastest global brands. They produce a wide range of products that include
cellular phones, 3D LED TVs and monitors, digital household appliances, digital cameras,
computers and network devices as well as components like semiconductors and flat panel
LCDs.
In the past few years, when Samsung (as a mobile) was a relatively new company which
people didnt know much about. And thus the sales were poor compared with the other
competitors in the market such as Nokia and Apple. But with time when people came to no
more about Samsung as a whole, and started trusting the company and their products,
Samsung gradually showed a great deal of improvement in the market. Below in the graph is
a little example of how Samsungs smartphone eventually took over Nokia and Apple.












SAMSUNGS GLOBAL MARKET SHARE
Products
Samsung's
Global Market
Share
Competitors
Market
Share
Year
DRAM 34.3% Hynix 21.6% Q1 2009
NAND Flash 40.4% Toshiba 28.1% 2008
Large-size LCD Panel 26.2% LG Display 25.8%
2009
February
PDP panel 30.5% LG Display 34.8% Q1 2008
Active-Matrix OLED 90.0% LG Display - Q2 2008
Lithium-ion battery 19% Sanyo 20% Q2, 2009
LCD Monitor 16.1% Dell 14.6% 2008
Hard disk drive 9.5% Seagate Technology 34.9% 2007
Multifunction printers 16.4% HP 19.2% Q1 2009
Television sets (LCD, PDP,
CRT)
23% LG Electronics 13.7 %
Q3'09
Revenue
Share
French
door refrigerator (U.S.
market only)
18.79% Whirlpool 23.83% 2009 January
Mobile phone 21% Nokia 37.8% Q3 2009
Digital camera 9.1% Canon 19.2% 2007
Drillship 80%
Daewoo
Shipbuilding &
Marine Engineering
20% 2000~2007





Corporate Social Responsibility (CSR):

Samsung Electronics makes every effort to pay attention to the views of internal and external
stakeholders and combine them into CSR initiatives. They believe that assimilation of CSR
into business activities is needed for sustainable growth. Intended for organized operation of
CSR, the CSR Liaison Office, which reports immediately to the CEO, was established in
January 2009. An official CSR meeting is held twice a year that decides CSR policies, checks
performances of each division, and comes up with follow up action items and measures
reflective of the major CSR issues and trends. Keeping contacts to its stakeholders to
assemble and reflect their opinions in the companys upcoming CSR activities, Samsung
Electronics will continue to share and implement its CSR initiatives. They certify that
business activities are intimated connected with their CSR activities in response to
stakeholder demands and major issues. Samsung has included CSR course in major training
programs for employees to focus on the importance of CSR. They try to keep advanced CSR
trends and issues, while completely abiding by universal regulations.
Samsung Electronics should encourage CSR activities among business partners because
business partners contribution in the CSR initiatives is essential to building sustainable
supply chain for the company.






Ownership structure:
The recent structure of the companys ownership shows that the numbers of common shares
outstanding and preferred shares outstanding are 147,299,337(86%) and 22,833,427(13%),
respectively. the number of total treasury stocks of Samsung electronics is
19,892,307(11.7%), with 16,912,614(11.5%) common shares and 2,979,693(13.0%) of
preferred shares. As of the end of December, 2011, the number of total shares outstanding of
Samsung Electronics is 170,132,764.








Conclusion:
Samsung is a Korean company which has risen to prominence in many fields over years. The
size and the scope of this company is beyond imaginable limits as they are one of the most
diverse companies in the world and is mostly known for their technology division such as cell
phones, radios, MP3 players, computer screens etc.
The company was launched in the late 1930s to be the largest company in Korea and the
second largest company in the WORLD. Apart from electronics, which is most profitable
and successful in the world, the company also has a hand in finance, chemicals, retail, and
straight-up entertainment.( All with a great deal of success)
The company employs many of the South Koreas finest employees, including many with
PHD level education. The company has been around for some time now and although there
has been some controversy about their strength and power in South Korea, there is no
denying that they benefit the economy greatly by providing jobs, exporting their services, and
doing all the other things that a small company would not be equipped to do. With many
people worldwide using their products, particularly the electronics such as cell phones and
MP3 players. Its not surprising that the company continues to thrive in the way it does and
may be always continue.














Appendix and References
Samsung follows its goals, vision and has its own technologies that let it to go ahead.
Goals:
Its goal is to develop innovative technologies and efficient process that creates new markets,
enriches peoples lives and continue to make the company a trusted market leader.
Vision:
Samsung is guided by a singular vision-to lead the digital convergence movement. . Their
vision for the new decade is, "Inspire the World, Create the Future. This includes Samsung
Electronics commitment to inspiring its communities by New Technology, Innovative
Products, and Creative Solutions. It has sated this motto as VISION 2020.










Mission statement:
Everything they do in a Samsung is guided by its mission- to be the best DIGITAL E-
COMPANY.


Techniques:
To go ahead or way to lead SAMSUNG people use some techniques. They lead the way in
brand marketing, manufacturing, research, and development design. For this they understand
the tomorrows markets and consumers along with collaborate for greater synergy or group.
Get connected with consumers lifestyle and make smart choices that grow markets. They
create such a value that cant be touched.

References:
For this report we have used some references and these are
Samsung sustainability report 2009 and 2011
www.samsung.com
http://www.wikipedia.org/
Google.