STRATEGIC

ANALYSIS FOR
SAMSUNG
Introduction
• Samsung is a global conglomerate that operates in the “White
Goods” market or the market for consumer appliances and
gadgets.
• The company that is a South Korean family owned business.
• shows that it wants to cover as many countries as possible.
• Samsung was founded by Lee Byung-chul in 1938 as a trading
company.
PEST Analysis of Samsung
• can learn the success, power, and influence of a
company with the four macro-environment factors
like political, economic, social, and technological.
Political Factors
• Samsung is a big name in the electronics market.
• It is important for the company to follow post and pre-
existing regulations from the government.
• Political stability is also an essential factor in which Samsung
operates.
Economic Factors
• The biggest secret of Samsung’s success is the strong
position of the Korean won.
• The value of Korean currency was declined in 2014 which
results in the decrease of profits of Samsung.
Social Factors
• Samsung is a South Korean company and its products are
shipped all over the globe.
• It is imperative for Samsung to acclimatize and modify its
products according to the local markets.
• In order to provide the best products and services to users,
it is necessary to identify the needs of consumers.
Technological Factors
• In the present world, technology plays an important role
and it is a double-edged sword.
• In the case of Samsung, it is the biggest strength of
Samsung.
• hey offer ultimate innovation in their offerings including
smartphones, tablets, televisions, and so on. 
• The company introduces innovation in its products every
couple of years which is a major strength of Samsung.
PESTLE Analysis of Samsung
Legal
• As mentioned in the last section, Samsung has had to face
heavy penalties for its alleged imitation of the Apple’s iPad and
iPhone and this has led to the company taking a beating as far
as public perceptions and consumer approval of its strategies
are concerned.
• It remains to be seen as to how the company would wriggle out
of the legal maze that it finds itself in the developed markets
because of the various lawsuits.
Environmental
• With the rise of the ethical consumer who wants his or her
brands to source and make the products in a socially and
environmentally responsible manner, Samsung has to be aware
of the need to make its products to satiate the ethical chic
consumer.
• This means that it has to ensure that it does not compromise on
the working conditions or the wages it pays to its labor who are
engaged in making the final product.
STEEPLE Analysis of Samsung
The STEEPLE analysis of the business environment of
Samsung is part of the company’s strategic analysis for
the medium and long term. The goal of this study is to
assess the prospects of Samsung.
Social
•  Samsung is a South Korean, this means it is a family-owned
multinational. 
• Despite its global image, the firm still operates as a Korean
company from within.
• they change many aspects of global operations according to
the local conditions.
Technological
• Samsung is among the world’s leading innovative companies. 
• The company has an advantage in using the power of
technology.
• It can drive innovation for sustainable business advantage.
• The aim is to always stay ahead of the technological and
innovation curve.
Economic
• This factor is very critical for Samsung.
• The opening up of some developing markets meant it had to re-
think the economic factor.
• While the company could expand its global footprint, it also
had to worry about the ongoing global economic crisis.
• The reduced purchasing power of buyers in many markets
forced to find a profitable solution.
Environmental
• All businesses impact its environment.
• Some have a positive impact while others have a negative
effect.
• The degree of impact varies too.
• Samsung must keep pollution or waste in mind.
• It can also have a positive impact on the environment by
processing and cleaning waste.
• These factors will affect the company, but they will not have an
immense toll on its trade and profit generation.
Political
• The political environment is favorable to Samsung’s
operations.
• Still, there are minor problems in some of the foreign markets.
• Samsung had to consider not only political instability.
• It worried that war would break out in the Korean Peninsula. 
• Samsung also faces political pressures in many Latin American
and African countries. The political environment is unstable in
these locations.
• They are prone to frequent changes in governing structures.
Legal
• Samsung had to pay heavy penalties for charges that it imitated
the Apple’s iPad and iPhone.
• This accusation led public perceptions of the company to
worsen. The consumer approval of its strategies was also
hampered.
• There were concerns that the event hampered Samsung’s
reputation permanently.
Ethical
• The number of ethical consumers who want brands to make
products in a responsible manner, both socially and
environmentally, has increased.
• Samsung must be aware of the need to make products in a way
which satiates the ethical consumer.
• This means it has to make sure it does not compromise on the
employees’ working conditions or on their wages. It must take
good care of the labors that make the final product. It should
also give importance to other ethical factors.
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