Samsung Cooperation Overtook Panasonic
Case 9, Samsung: Overtaking Philips, Panasonic, and Sony in Consumer Electronics
Samsung cooperation overtook Panasonic Company because it gave more focus on innovative products. The competitiveness of Samsung cooperation was based on standardized, high quality, and satisfactory products that had been derived from innovation (Dyer, Godfrey, Jensen & Bryce 2015). This was effective because the consumers were in search for products that would satisfy their innovational needs. Process innovation for the cooperation was fast as it focused on exporting its sales to the international markets which helped I gathering research on market trends as well as innovative opportunities on products development. The company adopted divisional structure before Panasonic and Phillips which enabled every division to define its responsibility based on profit. Writers who offer strategic management assignment help at Edudorm essay writing service notes that the structure was essential as it created small surrounding of maintaining flexibility and growth. These provided divisions’ competitions as the involved divisions were responsible for product centralization and well as the innovational processes of the corporation (Dyer, Godfrey, Jensen & Bryce 2015).
Samsung Cooperation and Phillips Competencies and in-Competencies
The companies were characterized with different competencies and in competencies. Phillips competencies included its capability to adapt to local situations in the market, stronger national organizations, the centric value of its employees, product division, and technical development capabilities. However, it had too many innovations, no manufacturing scale in the economy and also its marketing capability was low (Dyer, Godfrey, Jensen & Bryce 2015). The company failed additionally in reorganization itself after the occurrences of the growing issues. The Panasonic Company had a broader line of products, faster strategy of followers and a more centralized structure. Experts who offer operations management assignment help at Edudorm essay writing service indicates that the company was however characterized by tough leadership, competition inabilities and lack of adequate resources in developing fresh products. The Samsung cooperation was characterized with adequate resources for product development, high level of coordination due to good leadership, centralized structure, innovativeness, differentiation and economy of scales. However, the company was faced with the issue of highly priced products which made it difficult in increasing the customers segment (Dyer, Godfrey, Jensen & Bryce 2015).
Challenges Faced By the Firms
Phillips cooperation was faced with the inefficiency issue due to the many divisions that it had developed. This was mainly because coordination becomes difficult due to resources inadequacy. The Panasonic cooperation, on the other hand, was faced with the issue of resources as it lacked adequate resources in maintaining its innovations. Samsung cooperation was faced with the issue of growing the market segment because although its products were characterized with high innovative and technology their pricing strategy was higher (Dyer, Godfrey, Jensen & Bryce 2015).
Key Success-Factors in the Industry during the 1920-1980 and How They Changed After Panasonic and Samsung Cooperation Over Took Phillips
The essential success factor during the period which Phillips was the leading in the electronic market was innovativeness, product development, and product research. This helped the cooperation in attaining a competitive advantage as the products were fully able to meet the needs of the customers. Authors who offer strategy assignment help at Edudorm essay writing service points that the company additional developed products divisions were products were able to distribute products globally. However, these factors changed when Panasonic and Samsung cooperation got involved because they were able to develop products in more innovative strategies. Additionally, the companies based their innovativeness on the needs of the customers which helped in handling the innovative demands (Dyer, Godfrey, Jensen & Bryce 2015).
Firm’s Recommendations
Phillips Company should focus on developing products and introducing them into the market as this formed the basis of their incapability before. They should, therefore, focus on developing better relationships with national organizations, they are headquartered and the PDs which will help in introducing new technologies in the market this will help the company in attaining a competitive advantage as they hold more capabilities than the competitors.
Panasonic cooperation is necessitated to decentralize organization to reduce issues and increase the responsiveness of the market. In order to sustain their market competitive advantage, they should focus on developing the global market. Tutors who offer marketing assignment help at Edudorm essay writing service acknowledges that Samsung Cooperation Company should give priority to low-cost manufacturing to ensure that it incorporates all the consumers in its products. Offering high quality and innovative products at a lowered price will increase their market base thus enable the company in maintaining the competitive position.
Reference
Jeffrey H. Dyer, Godfrey P., Jensen R., & Bryce D. (2015). Strategic Management Concepts and Cases. Wiley Binder Version.
