Samsung – Creating Customer Value

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Founded in 1938 ◦

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1950’s Economic Stabilization ◦

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exporter of dried fish, vegetables, and fruits flour mill and confectionery machines Korean War - Samsung lost all assets aimed to help rebuild Korean economy; entered the manufacturing industry (sugar,fabrics) became a leader in modern business practices (recruiting from outside)

1960’s Expansion of Key Industries ◦

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entered electronics and chemical industries 1969 established Samsung Electronics Co.

% of Sales ($427B) •

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distribution hotels amusement theme parks trading construction textile advertising baseball team security

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Other 38%

Electronics 28%

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Financial Services 26% •

home appliances wireless communication semiconductors

life insurance credit card services securities trading finance and trust management services

Machinery & Heavy Equipment 6%

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cameras aircraft ships dump trucks oil trucks

Chemicals 2%

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polymerized compounds plastics specialty chemicals

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Understand what drives value for Samsung customers? Understanding Samsung value proposition Identify the customers and segments where Samsung can create more value relative to competitors Create a win-win price Focus investments on most valuable customers

40

50 40

30

30

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20

10

10 0

0 Highly Dissatisfied

20 15 10 5 0

Dissatisfied

Satisfied

Highly Satisfied

Highly

Dissatisfied

Satisfied

Dissatisfied

Not Use Products 50%

Highly Satisfied

Use Products 50%

No 16%

No 19%

Yes

Yes

84%

81%

No 23%

No 26% Yes 74%

Yes 77%

Samsung electronics

Innovation, Advance Technology, Price

LED TVs, Smart phones, ACs, Semiconductors, Smart Cameras, etc

Samsung Engineering

Advance and Green Technology, Fast project execution, competitive cost and excellent communication

Upstream oil and gas facilities, oil refining plants, petrochemical plants, gas plants

Samsung Heavy Industries

Advance and Green Technology,Faster Execution

Bulk carriers, container vessels, crude oil tankers, cruisers, etc.

Samsung Semiconductors

Less energy, high speed, Green technology

SRAM, DRAM, LSI products, AP( Application processor

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By Earning its customers interest.

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Catering to the needs of the Customer.

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Valuing the employees who share the vision.

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Intel Core i5 4 GB DDR3 RAM 15.6 Inch Screen

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14.2 Megapixels Optical Zoom: 5x CCD Image Sensor With 2.7 inch LCD

Customers the life blood of any business  “Retention by service”.  Online support portal.  Customized products and services for Indian consumers.  Large no. of service centers across globe. 

Hardware=5% Software=75% Handset=10% Others=10%

UNKNOWN=18 DISLIKED=24 INDIFFERNT=8