Write A Business Plan For Samsung Mobile In Singapore - 2475 Words

Write A Business Plan For Samsung Mobile In Singapore (Essay Sample) Content: SAMSUNG MOBILE SINGAPORE BUSINESS PLANby Students nameCode+ course nameProfessors nameUniversity nameCity, StateDate Table of Contents 1.0 Introduction Samsung mobile is a legend manufacture of the mobile phone such as the smartphones, tablets, and the ordinary phones. The company plans to expand its operations in Singapore and meet the standards of its' main competitor, Apple. This plan has, therefore, been developed to establish some of the areas the company is not performing well no, determine some of the opportunities in the market and develop a strategy for improving the organization's profitability.2.0 Situational Analysis2.1PEST AnalysisPolitical FactorsPolitical risk in Singapore as explained by Political and Economic Risk Consultancy (PERC) is very low, and it's one of the countries enjoying lowest political risk in Asia. Though it's a democratic country, the people always elect representatives who represent their interests. Thus, the country cherishes, pol itical instability more than anything else. The stability has, therefore, translated into better standard of living that the people of Singapore enjoy today, with both local and international business companies finding a space to operate on. Companies such as Samsung can find their space of operation as a result of the good political governance in the country, that does not interfere with the businesses and do not engage in direct control of the businesses.Economic FactorsSingapore is a vibrant free economy that is developing so rapidly. Within the ASEAN, Singapore holds the highest per Capita income, thus making it a destination for non-food companies such as Samsung. This therefore, means that the rate at which most of its citizens graduate to be middle-income earners grows very fast. In the globe today, Singapore is one of the most competitive countries for business, it has educated employees who are ready to provide employment on a global basis with well and established legal an d the financial business framework.Besides, Singapore is strategically located, thus providing it with a business opportunity that is lucrative to most businesses. This has led to the flourishing of other businesses such as the tourism industry and pharmaceutical industries. With the help of the government, Singapore has been able to diversify its economy, thus providing businesses opportunities to companies such as Samsung, who can as well afford a space in the market.Social FactorsJust like any other Eastern countries, Singapore strictly follows family values even though the younger generation follows the western culture and values. Besides, the residents of Singapore believe in hard work to help them fulfil their material desire thus contributing to a national productivity and most of the people in Singapore do not like the blue collar jobs such as construction. Purposely, this has a positive contribution to the Samsung products as people work hard, they increase the amount of mo ney and production in the market and as a result, they will tend to buy material goods such as sleek mobile phone like that from the Samsung. In addition to that, literacy in Singapore is a requisite as everyone has to pass through a primary school where they learn Basic English language necessary for communication, both for casual and business communication.Technological FactorsIT infrastructure in Singapore is something that can be praised. There is so much access to the internet in the country with over 70% of the homes connected to the internet. This therefore, introduces the E-commerce culture and eB2c models. This however, is positive as it provides the best platform through which Samsung goods can be sold and even get marketed easily over the internet. The government is also moving from a manual era to an electronic era, where all the business transactions can be done remotely.2.2 Industry AnalysisBased on Porter's Model, the structure of the industry examines the profit marg ins and how they vary among the industries as explained by Hill Jones (2008). For the Samsung Singapore, the industry can be analysed from the below perspectives as put across by porter.Industry rivalry In Singapore, the degree of rivalry with the existing firms is really high. Today, there are so many mobile phone companies such as HTC, Nokia, iPhone, and Lenovo. These companies equally have a share and might deter Samsung from gaining the right amount of market share.Threat of substitutes Samsung's ability to raise prices above what is in the market already has been affected by the wide base of the existing competitors, who might be relatively charging lower prices.Bargaining power of buyersWith the increased choices of mobile phones to choose from, the bargaining power of the buyers in Singapore is really high. The customers in Singapore therefore, looks for companies selling reliable mobile phones at a relatively low price.Bargaining power of suppliersConcerning labor suppliers , most of the Singapore citizens like white collar jobs, and there are a good number of graduates looking for job and this, therefore, reduces their ability to bargain thus giving room for Samsung to maximize their profits in the country.2.3 SWOT analysisStrengthSamsung enjoys a wide range of mobile phone portfolio thus making it easy to meet the needs of the customers through differentiation strategy as explained by Ferrell Hartline (2014). In addition to that, Samsung enjoys a global management experience which is relevant in managing all the business affairs in Singapore. Besides, as the world's number one mobile phone maker, the company accounts for 21% of the global mobile phones as at 2015.WeaknessesAs at 2015, Samsung in the US market, failed to meet the marketing standards of Apple and this is likely to translate in the Singapore market which might lead to the fall of the companys profits margin. Besides, companies such as the Xiaomi from China, are extremely working to re duce the company's profit margins. With the price strategy used by the companies, Samsung is soon loosing the battle in the Singapore market, where there an influx of the Chinese products. Today, Apple is maintaining a lead in the Singapore market share by 38% as compared to 26 % of Samsung (Tham 2015,p.1)OpportunitiesSingapore being a developing country, there is a promising future for Samsung as the demand for tablets and smartphones is tremendously increasing. Besides, new technologies such as the wearable tech allows the company to remain relevant and competitive in the market Singapore included. The same way, there is an increase in the growing number of the middle-income earners who are likely to buy from the company.ThreatsChinese companies such as the Xiao and Huawei are increasingly gaining market share and they are likely to affect Samsung's Market share in Singapore. Besides, just like in the United States, Apple might use the best strategy and overcome Samsung in Singapo re.3.0 Marketing ObjectivesWith so many competitors present in the Market, the main Marketing objective is to have Samsung's Market share increased from 26% to 30 %. This is primarily to reduce the dominant Apple's share by 4 %. This will therefore, ensure that the company equally remains competitive and relevant in the Market. In addition to that, by the end of the 2017, the company shall have launched three new technologies that will come a long product differentiation and also a strategy of beating it's competitors. This will also come along introducing new customer based desks in all the major towns in Singapore, as a way of taking back the services to the door steps of the customers. This will help in winning the trust of the customers and improving the relationship that has always existed between the customers and the company.4.0 Target MarketSamsung Mobile Singapore has its target Market to be everyone who can operate and own a mobile phone. Irrespective of their physical loc ation and the level income, there is a phone for everyone. As explained below is therefore, the main strategy that the company has used to segment its customers.Geographic SegmentationBased on this as a parameter, the Samsung geographic segmentation is looking for every potential customer living within the bourders of Singapore. The products will only have a slight variation in their appearance, but they will be universal.Demographic SegmentationAge Segmentation Bases on age, the Samsung mobile has segmented the market into teens, the young adults and the adults who are either in mid or early 30's. These age groups have diverse needs and requirements and therefore, through segmentation, it is easier to serve them with exactly what they require. The Teenage are mostly interested trending technology.Income SegmentationBased in this segment, the company will divide it's customers into three primary earning groups which are the Low-income earners, Middle-income earners, and the Hig inc ome earners.Family Life Cycle Segmentation and Gender Segmentation Singapore is a country that is based on family values and therefore, Samsung will segment its customers based on this notion. It will, therefore, learnt that the company will be targeting family life cycle which is either the young single, young married or divorced with or without children. This will come along way, designing products that will match status of the customers. In addition to that, based on the gender, the company will segment its customers as to either male or female. Since women in Singapore shop more than men, it is assumed that there will be more women buying compared to men thus creating the need for designing products that are women oriented.5.0 Marketing MixProductSamsung has a ran...