EXECUTIVE SUMMARY

Originally starting as a value priced tech manufacture in Korea, Samsung has

developed into a top marketer for premium priced global electronics. Throughout
the years, Samsung has released a continuous stream of innovations stressing
product quality and manufacturing flexibility (Kotler, 343).High end cell phones,
memory chips, and state of the art LCD TVs have been the primary growth drivers
over the years for Samsung. As hard economic times hit in the US and Asia,
Samsung took another turn cutting profit margins and operating capital, while
investing heavily in tech R&D, powerful ad campaigns, and strategic partnerships.
This strategy proved successful as Samsung recorded sales of 110 billion in 2008.I
believe Samsung is just scratching the surface, as they will continue their
dominance in electronics while expanding into are as outside home/individual
electronics.

INTRODUCTION
As rapid socio-economic changes sweep across India, the country is witnessing the
creation of many new markets and a further expansion of the existing ones. Indias
consumer market is riding the crest of the countrys economic boom. The Indian
consumer durables industry has witnessed a considerable change in the past couple
of years. Changing lifestyle with access to disposable incomes, easy finance
options and a surge in advertising has been instrumental in bringing about a sea
change in the consumer behavior pattern. According to a study conducted by
FICCI on the Indian consumer durables industry, a shift in consumer preferences
towards higher-end, technologically advanced branded products has been quite
discernable. This shift can be explained by narrowing differentials between the
prices of branded and unbranded products added with the high quality of after sales
service provided by the branded players. The shift has also been triggered by the
availability of foreign branded products in India owing to lower import duties
coupled with other liberal measures as introduced by the government.

INDUSTRY SIZE, GROWTH AND TRENDS

The consumer durables market in India was estimated to be around US$ 5
billion in 2007-08. More than 7 million units of consumer durable appliances have
been sold in the year 2006-07 with colour televisions (CTV) forming the bulk of
the sales with 30 per cent share of volumes. CTV, refrigerators and Airconditioners together constitute more than 60 per cent of the sales in terms of the
number of units sold.

THE KEY DRIVERS BEHIND THE GROWTH

The sector has been witnessing significant growth in recent years, helped
by several drivers such as the emerging retail boom, real estate and housing
demand,

greater disposable income and an overall increase in the level of affluence of a

significant section of the population. The key trends that impact the Indian
Consumer Durables Industry today are reflected in the diagram.

COMPANY PROFILE
The Samsung Group is a multinational conglomerate corporation headquartered in
Samsung Town, Seoul, South Korea. It is the world's largest conglomerate by
revenue with annual revenue of US$173.4 billion in 2008 and is South Korea's
largest chaebol. The meaning of the Korean word Samsung is "Tri-Star" or "three
stars".

The Samsung Group is composed of numerous international affiliated businesses,

most of them united under the Samsung brand including Samsung Electronics, the
world's largest electronics company, Samsung Heavy Industries, the world's second
largest shipbuilder and Samsung C&T, a major global construction company.

Samsung has been the world's most popular consumer electronics brand since 2005
and is the best known South Korean brand in the world. Samsung Group accounts
for more than 20% of South Korea's total exports and is the leader in many
domestic industries, such as the financial, chemical, retail and entertainment
industries.

HISTORY
In 1938, Lee Byung-Chull founded Samsung, a small trading company with
forty employees located in Daegu. The company prospered until the Communist
invasion in 1950 when he was forced to leave Seoul and start over in Busan.
During the war, Samsung's businesses flourished and its assets grew twenty-fold.
In 1953, Lee started a sugar refinery. The company diversified into many areas
such as insurance, securities, and retail. In the early 1970s, Lee borrowed heavily
from foreign interests and launched a radio and television station.
Samsung Group later formed several electronics-related divisions, such as
Samsung Electronics Devices Co., Samsung Electro-Mechanics Co., Samsung
Corning Co., and Samsung Semiconductor & Telecommunications Co., and
grouped them together under Samsung Electronics Co., Ltd. in 1980s. Its first
product was a black-and-white television set.

In the late 1980s and early 1990s, Samsung Electronics invested heavily in
research and development, investments that were pivotal in pushing the company
to the forefront of the global electronics industry. By the 1980s Samsung was
manufacturing, shipping, and selling a wide range of appliances and electronic
products throughout the world. In 1982, it built a television assembly plant in

Portugal; in 1984, it built a $25 million plant in New York; and in 1987, it built
another $25 million facility in England.

The 1990s saw Samsung rise as an international corporation. Samsung's

construction branch was awarded a contract to build one of the two Petronas
Towers in Malaysia, Taipei 101 in Taiwan and the Burj Khalifa in United Arab
Emirates, which is the tallest structure ever constructed. In 1993 and in order to
change the strategy sold off ten of Samsung Group's subsidiaries, downsized the
company, and merged other operations to concentrate on three industries:
electronics, engineering, and chemicals. In 1996, the Samsung Group reacquired
the Sungkyunkwan University foundation. Samsung survived the Asian financial
crisis of 1997-98 relatively unharmed. However, Samsung Motor, a $5 billion
venture was sold to Renault at a significant loss. Additionally, Samsung
manufactured a range of aircraft from 1980 to 1990s.

Most importantly, Samsung Electronics (SEC) has since come to dominate the
group and the worldwide semiconductor business, even surpassing worldwide
leader Intel in investments for the 2005 fiscal year. Samsung's brand strength has
greatly improved in the last few years.

Samsung became the largest producer of memory chips in the world in 1992, and is
the world's second-largest chipmaker after Intel. In 1995, it built its first liquidcrystal display screen. Ten years later, Samsung grew to be the world's largest
manufacturer of liquid-crystal display panels. In 2006, S-LCD was established as a
joint venture between Samsung and Sony in order to provide a stable supply of
LCD panels for both manufacturers. Samsung Electronics, which saw record
profits and revenue in 2004 and 2005, overtook Sony as one of the world's most
popular consumer electronics brands, and is now ranked #19 in the world overall.
Behind, Nokia, Samsung is the world's second largest by volume producer of cell
phones with a leading market share in the North America and Western Europe.

ABOUT SAMSUNG ELECTRONICS

Founded in 1969 in Suwon, Gyeonggi-do, Korea, Samsung Electronics Co.,

Ltd. manufactures and sells a wide variety of electronic products, communication
devices, and semiconductors. In January 2009, we restructured our organizational
structure to better reflect the respective characteristics of each business sector and
the common technology, market and customer base denominators within its
businesses, thereby creating synergies. The previous six division-based system was

separated into a Digital Media & Communications (DMC) business unit and a
Device Solution (DS) business unit. Today, its global presence includes a total of
111 subsidiaries in the form of production subsidiaries, sales subsidiaries,
distribution subsidiaries, research laboratories and eight overseas business
divisions representing North America, Europe, China, Southeast Asia, Southwest
Asia, Central and South America, CIS, the Middle East and Africa.

LITERATURE REVIEW
REVIEW OF LITERATURE
MARKET MIX:
The term "marketing mix" was coined in 1953 by Neil Borden in his American
Marketing Association presidential address. However, this was actually a
reformulation of an earlier idea by his associate, James Culliton, who in 1948
described the role of the marketing manager as a "mixer of ingredients", who
sometimes follows recipes prepared by others, sometimes prepares his own recipe
as he goes along, sometimes adapts a recipe from immediately available
ingredients, and at other times invents new ingredients no one else has tried. The
marketing mix (price, product, distribution, promotion) forms the entire
promotional campaign. As stated in Management of a Sales Force by Rosann L.
Spiro, Gregory A. Rich, William J. Stanton, when these are effectively blended,
they form a marketing program that provides want-satisfying goods and services
for the companys market." The term became popular in the article written by Niel
Borden called, The Concept of the Marketing Mix, as explained on the site
netmba.com. He started teaching the term to many after he himself learned about it
with an associate of his. The marketing mix is a broad concept which includes
several aspects of marketing which all inquire to obtain a similar goal of creating

awareness and customer loyalty. The marketing mix is not only an important
concept, but a guideline to reference back to when implementing the price,
promotion, product, and distribution. Those are the four main ingredients of the
marketing mix, but there are other components not already mentioned on the
Wikipedia site, including, planning, branding, packaging, display, distribution
channels, personal selling, advertising, servicing, and physical handling. All in all
the current description of the marketing mix is accurate, but missing some vital
pieces of information which will allow individuals to gain a better understanding
and implement a more effective marketing mix. A prominent marketer, E. Jerome
McCarthy, proposed a Four P classification in 1960, which has seen wide use.

PRODUCTS OF SAMSUNG ELECTRONICS

Semiconductors
For more than 20 years since 1993, Samsung has kept the title of the worlds
largest memory chip maker. In 2009, it began a strategy of Green Memory by
which it increased the global DRAM market share to 33 percent. It also started
mass-producing 30 nm-classes NAND flash memories in the same year whose
world share rose as high as 42 percent. It succeeded in 2010 in mass-producing
30 nm-class DRAMs and 20 nm-class NAND flashes, both of which were the first
time in the world. According to market research firm Gartner, during the second
quarter of 2010 Samsung Electronics took the top position in the DRAM segment
due to brisk sales of the item on the world market. Gartner analysts said in their
report, Samsung cemented its leading position by taking a 35-percent market
share. All the other suppliers had minimal change in their shares. Samsung took
the top slot in the ranking, followed by Hynix, Elpida, and Micron, said
Gartner.]Another market researcher IC Insights predicted that Samsung would
become the worlds biggest semiconductor chip supplier by 2014 when it surpasses
Intel. For the ten-year period from 1999 to 2009, Samsungs compound annual
growth rate (or CAGR) has been 13.5 percent, compared with that for Intel paltry
3.4 percent. Extrapolating this trend to the future, Samsung will be able to catch up

with Intel by the year 2014, estimated IC Insights. IC Insights also said that Intels
2009 sales revenue had been 52 percent higher than that for Samsung, but that
differential narrowed to only 21 percent during the second quarter of 2010.

Another hitherto not-well-publicized area where Samsung had significant business

in for years is the foundry segment. Samsung had begun investment in the foundry
business since 2006 and now positioned it as one of the strategic pillars for
semiconductor growth.

Hard drives

Digital display: LCD displays, LED displays, plasma displays, OLED

displays

SLIMMER PANELS
Samsung Electronics TVs and display products have undergone a race toward
ever-slimmer panels. In 2009, the company succeeded in developing the super-slim
panel for 40-inch LED TVs, with the thickness of 3.9 millimeters (0.15 inch).
Dubbed the Needle Slim, the panel is as thick (or thin) as two coins put together.
This is about a twelfth of the conventional LCD panel whose thickness is
approximately 50 millimeters (1.97 inches).

While reducing the thickness substantially, Samsung could maintain the

performance as before, including full HD resolution, 120 Hz refresh rate, and
5000:1 contrast ratio. In October 2007, Samsung broke the 10-millimeter barrier by
introducing the 10-mm thick 40-inch LCD TV panel, followed in October 2008 by
the worlds first 7.9-mm panel. Samsung is leading the industry by developing
panels

for

24-inch

LCD

monitors

(3.5 mm)

and

12.1-inch

laptops

(1.64 mm). According to Samsung officials, the biggest factor in reducing the
panel thickness was the LED backlight. They are optimistic that their company
could cut TV width by 40 percent within two years from now.

Home

electronics: TVs, DVD

players, Blu-ray

players, home

cinema

systems, set-top boxes, projectors

TELEVISIONS
For years in a row, Samsung has taken the top spot in the world TV market, with
the launch of best-selling items. In 2009, it sold as many as 31 million flat-panel
TVs, maintaining the top position for four consecutive years in terms of world
market share. In early 2010, the company had set the years sales goal at 39 million
units (including 10-million LED TVs).

According to DisplaySearch, the U.S. market research and consulting firm,

Samsung is forecast to take a 27-percent share for the global TV market in the
second quarter of 2010 while LG Electronics accounts for 26.2 percent of the
market. The market researcher predicted that Samsungs leadership would continue
in 2014.

Samsung Electronics is creating a new market by introducing the Finger-Slim

LED TV. Launched in March 2009, the super-slim LED TV has thus far been sold
as many as 2.6 million units. In 2009 alone, it was sold more than 2 million units,
which brightens the future prospect.

Samsung has led the flat-panel TV market for the past five years with the 2006
introduction of its Bordeaux line, followed by the 2007 Bordeaux model, the
2008 Crystal Rose line, and the Finger-Slim in 2009. The company retained
the leading position by successfully selling more than 1 million 3D TVs as of
August 2010.
As rivals are jumping on the bandwagon, Samsung outstrips them by consistently
introducing new, better models. Today the company offers the full line of TVs, at
many price point.
This company is developing new LED TV models too. After expanding its TV
lineups, Samsung became the industry-first 10-million-seller challenge. One of the
new products to watch is the full HD 3D LED TV that was launched the first time
in March 2010. Combining LED features with 3D functionality, the new 3D TV is
expected to lead the market for years to come. Samsung showcased the new TV in
the International Consumer Electronics Show (CES 2010) held in Las Vegas early
this year.
In 2009, Samsung TVs were selected in major U.K. publications and retailers as
the best TV of the year. For example, Samsungs LED TV 7000 series was the
winner of the Gadget Awards 2009 by T3, U.K.s most prestigious electronics
magazine.

The T3 magazine in its news article on ten reasons why you should buy Samsung
LED TV listed as the reasons superior picture quality, slim design, energy
efficiency and connectivity.

3D experience
Samsung sold more than 1 million 3D TVs within six months of its launch. This is
the figure close to what many market researchers forecast for the years worldwide
3D TV sales (1.23 million units). It also debuted the 3D Home Theater (HTC6950W) that allows the user to enjoy 3D image and surround sound at the same
time. With the launch of 3D Home Theater, Samsung became the first company in
the industry to have the full line of 3D offerings, including 3D TV, 3D Blu-ray
play, 3D content, and 3D glasses.
The company is trying offer the 3D content streaming service on its 3D TVs. Just
like iTunes store, the Samsung 3D TV aims to allow the user to connect to its own
online store, Samsung Apps, and download applications on the users hard disk
drive.

Smart TVs and apps

Samsung has introduced the Internet TV in 2007 that enabled the audience to
receive information from the Internet while at the same time watching
conventional TV programming. Samsung is also developing a new Smart LED
TV from which consumers can download applications as well as view Internet
content. In 2008, the company launched the Power Infolink service, followed in
2009 by a whole new Internet@TV. In 2010, Samsung started marketing the 3D
TV while unveiling the upgraded Internet@TV, which offers free (or for-fee)
download of applications from its Samsung Apps store, in addition to existing
services such as news, weather, stock market, YouTube videos, and movies.

Samsung Apps will provide for-fee premium services starting the latter half of
2010, beginning in Korea and the United States, followed early next year by the
same services in Europe. The services will be custom-tailored for each regions
culture. Samsung plans to offer family-oriented applications such as health care
programs and digital picture frames as well as games.

SamyGO community created at 2009 for hacking Samsung B series TV firmwares,

and later supported A and C series TV's also, under GPLv2 license and deployed
new applications like a tool increasing subtitle size and changing its
color, enabling PVR functionality of TV, enabling internal video player on low
end models, supporting DTS codec on B Series TVs, work around for DLNA
problems by playing movies from SAMBA and NFS shares support etc. Also
placed web browser right into TV with mouse and keyboard support and many
more applications... Samsung started to release restricted firmware updates starting
from Feb 2010 for fixing security issues those used by SamyGO community and

disabled firmware downgrade option from TV menus, which believed to disable

the SamyGO project. But hackers find workarounds for those new restricted
firmwares.
Samsung expects that Samsung Apps would ultimately become a multi-device
application store attracting users of all kinds of electronic device such as mobile
phones, computers, and cameras. The company also reckons that its Smart TV will
be the future home entertainment hub.The UK consumers association (Which?)
writeup of the latest model in 2011 was highly complementary of the picture
quality.

METHODOLOGY

FINDINGS
Majority of the dealers i.e. 54% are having counter share of SAMSUNG LCD is
between 30%-50%. It shows that Samsung has got strong grip in the market and if
the dealers will contribute more enthusiastically than market share may grow
farther.

54% of the dealers are having counter size between 0-19 units per month. It shows
that majority of the dealers need to improve their counter size in order to expand
the market.

From the study, it is revealed that 62% of the dealers dont have any LCD display
stand in their counter.

Samsung is having healthy display share (between 55% to 75%) in 18% dealers
rather than i.e. it shows that many of the dealers are keeping Samsung in the
display. Different contest for displaying the LCD brings a new perspective in this
context.

Among the different models like 22 inch, 26 inch, 40 inch, above 40 inch, majority
of the dealers (56%) finds 22 is the largest selling model in their counter.

Majority of the dealers i.e. 52% dont have the sufficient catalog of the product.
Samsung should strive to ensure that the catalogs are sent out regularly and
quickly, as this is the cause of most grievances of the channel partners.

Majority of the dealers are aware of current pricelist due to the effective
communication with the company. Without effective communication value cannot
be passed deliver superior value to the target market.

Some dealers are taking Samsung LCD from cheaper markets. This is creating
price instability in the market between retailers and system integrators.

% of the dealers are satisfied with the distributors. In turn, it helps to achieve
superior efficiency in making goods widely available and accessible to target
markets.

In 38% counters sales persons are visiting twice a week.

72% of the dealers rated the promotional service as good. The rating shows that
Samsung is successful in delivering distinctive customer value.

50% of the respondents think that advertising will facilitate to increase their
counter share. It might build conviction and purchase intent among the target
audience.

96% of the dealers are satisfied with SAMSUNG as a whole.

CONCLUSION

This study highlighted that Kolkata market is still a virgin market for SAMSUNG
LCD TVs. Customers need to be made aware of the productive usages of these
products if SAMSUNG want to target these untapped market segments of
customers. Also SAMSUNG need to modify their advertising strategies in order to
educate the target audience about the product. Hence SAMSUNG will be able to
win a major between the competitors.

SUGGESTIONS
SAMSUNG should redress the grievance of the dealers regarding the supply of
catalogs, so that the dealers can show various models to the prospects and endorse
to buy SAMSUNG LCD TV.
The company should modify some of the models as these models dont have any
output connection specially the 22 model as it is the largest selling model in most
of the counters.
Dealers in Kolkata dont have enough space to display LCD in their counter thats
why they are not willing to keep LCD display stand in their counter. Company
should customize the display stand so that it can be easily fix in the wall, in this
way SAMSUNG can improve the display share as SAMSUNG also believes that
JO DIKHTA HAI WO BIKTA HAI.
The rural counters are not getting the current price list of the product as sales
persons are visiting less in these counters company should focus on that matter
seriously.
Company should introduce low cost products to satisfy the needs of the low or
middle class as SONY is having 19 model in this segment.

Branding and promotional activities should be done effectively as it creates a long

lasting image in the mind of the customers.
As there is a bottle neck competition between SAMSUNG and LG, it is necessary
to take major steps to overcome the area of downfall in SAMSUNG with respect to
LG.

BIBLIOGRAPHY
BOOKS AND JOURNALS REFERRED:

SAMSUNG Electronics annual report, 2013

Current state of Indian Economy (FICCI), October 2012
Indian journal of marketing, June 2012
Marketing Management, 12th Edition

By: Philip Kotler and Kevin Lane Keller

WEBSITES:
http://www.google.com
http://www.ibef.org
http://www.displaysearch.com
http:// www.dnb.com
http://www.samsung.com.
http:// www.cygnusindia.com

QUESSTIONNAIRE
Q1) Which brand of TV do you have?
a)LG
b) SAMSUNG
c) SONY
d) OTHERS
Q2) When did you purchase it?
a) An year ago
b) year ago
c)% years ago
d)More than 5 year
Q3) why did you choose to Samsung over other brands ?
a)Trustful brand
b)Affordable
c)Recommended by friends/relatives
d)Any other
Q4)How do you come to know about Samsung Television?

a)Through newspaper advertisement

b)Through television
c)Through magazine
d) Through internet
Q5)Rate your satisfactory level with the picture quality of samsung
Television?
a) Highly satisfactory
b) Satisfactory
c) Average
d) Dissatisfactory
Q6) Have you ever faced problem related to Samsung television?
a) Yes
b) No
Q7)Rate the satisfaction level with the after sales support of Samsung
television?
a)highly satisfactory
b) satisfactory
c) average
d)Dissatisfactory
Q8) do you prefer buying Samsung television on special occasions?

a) Yes
b) No
Q9)Rate your overall satisfaction level with Samsung television?
a) Highly satisfactory
b) Satisfactory
c) Average
d) Dissatisfactory
Q10)would you recommended samsung television to other people?
a)Yes
b) No