Question

By making use of appropriate frameworks to identify the core competencies of a chosen company, and...

By making use of appropriate frameworks to identify the core competencies of a chosen company, and by stating how this will be matched to the external environment and fit in the strategy of that company, thus you should choose an organisation or business that has clearly identifiable core competencies and where secondary data is also available for analysis of the following case study. (This case study also needs to be structured, systematic and must use theories, models, and concepts . Your case study may be structured however you think best to present your analysis). The analysist you should provide a/an:

  1. Description of the scope of the organisation/company. This includes a brief description of their activities, which sector and industry they operate in and key products, service and customers. It is important for you to describe the context.
  2. Description of the key core capabilities evident within the organization; how they are being matched to external opportunities and threats in order to contribute to the business strategy.
  3. An analysis of the external environment including a thorough analysis of the industry environment
  4. A concise conclusion on how core competencies are linked to the company’s business strategy.

Homework Answers

Answer #1

It is though the core competencies that Samsung has become a part of global business companies. The company is competent in the core business strategies i.e. Integrity in Leadership, Huge operating cash flows and customer awareness.

Samsung deals in a wide range of industries like biotechnology, electric vehicles, constructions, hardware telecom integration, solar technology, electrical appliances such as air conditioning systems, refrigerators, TVs, computer systems, etc. But Samsung is globally recognized as a mobile smartphone selling company.

Five Forces Analysis:

Bargaining power of Suppliers - The market supply is huge in this industry therefore the bargaining force in supply is less flexible due to high competition between suppliers.

Bargaining power of buyers- Since Samsung operates either in perfectly competitive market or Oligopolistic market across globe, buyers have higher choices and hence higher bargaining power as the global market is constitutes thousands of suppliers therefore the consumer has a wide range of choices.

Threat of Entry of New Firms- There is a cut throat competition at global market therefore makes it tough for any company to stand in such completion. Some companies enjoy additional benefits due to lenient international trade polices of their countries such as companies based in China.

Threat of rivalry with existing firms- Threat of rivalry is very high in a smartphone marke as compared to other industries because constant advancement and innovations in technology makes it difficult to keep launching new products along with other competitors.

Barriers to entry- Due to huge investment expenditure and high cost of advertising and distribution around the world makes it difficult for the new firms to entre the market.

PESTEL analysis of samsung is as follows :-

1. Political - The markets of South Korea, North Korea and India are the toughest markets because of their strict taxation laws and political boundaries.

2. Economical - In recent years the brand is seeing just stagnant growth in already established and matured markets. The economic conditions all over the world is also a sign of tension for the brand.

3. Socio-cultural - The brand has successfully able to renovate itself and cope up with the ever- changing customer's demand in the dynamic global market.

4. Technological - In last 10 years the smartphone market has completely changed with the rise of the brands like Vivo, Xiaomi and oneplus etc along with the apple and have at times been a threat to the Samsung. But the brand has always come back strongly with latest technology and innovations and still owns that premium segment in the market.

5. Environmental - The brand tries be follow the business ethics and follows the environmental guidelines of the respective countries.

6. Law - The biggest problem samsung faced was the end of its device samsung galaxy s9 because of various malfunctioning incidents and loosing the copyright case to apple.

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