Samsung: Building a Great Brand

Samsung Building a Great Brand Presented By Michael Baccus, Marcial De Castro, Judith Dupin, Monica ONeil, and Jose Santillan market Management- MAR 3023-P80 October 5, 2011 Samsung grew its distinguish equity by 186 percent in just five classs from 2000 to 2005. Brand equity is the value of the brand chance on, its worth as an asset to the company. (Marketing Principles, 2011, Module 6 p. 1). When unseasoned management came into the South Korean establish firm, it scraped the all the various brand names that the company was selling beginning end electronics under, and consolidate by branding all of the companys mathematical merchandises as Samsung. Ten years later,Samsung is a cart to be reckoned with to its competitors and a global brand name. However, the decision to only use the brand name Samsung is not the critical key to its supremacy. Samsung has focused on aim and product throw to base its brand equity and it is working. Samsung implemented different advance (a) ways to beatify and deliver great designs. The former chairman employ hundreds of natural designers, implemented usability laboratories, and opened design centers almost the world. The coronation in product design, the progressive culture, and Samsungs ability to step outside the misfortune has all been invaluable in uilding a great brand. The critical act in the process of Samsungs transformation into a world- beating developer of new cell phone handset designs and other product line designs was its innovation with investment in product design and quality. Samsung built its brand into a superior brand by thinking and acting outside of the box. kinda of focusing on text product discipline funnels, it focused on more cutting edge methods such as the implementation design centers staffed with highly trained, creative, and skilled young designers and no bureaucratism to get in the way of design and innovation.According to Roll (2011), Samsung has created a strong brand ar ound innovation, cutting edge technology and world class design. (para. 1). Samsung Chairman downwind Kun Hee concluded that great design and innovation would be the way to build Samsung into a great global brand, and he was correct (Marketing Principles, Module 6, p. 1). sooner of forming panels and hiring managers or more marketers to come up with new gimmicks, he hired hundreds of designers. The designers were from prestigious colleges of design and had an average age of just 33. The design force at Samsung multiplied y over cd% to over 400 designers in 10 years. This out of the take on product education allowed Samsung to transform its product line into world class. Competitors such as Sony obligate also followed in Samsungs footsteps. According to Kunkel With nearly 250 industrial designers graphic, packaging, and logotype designers user- interface specialists and Web designers working in offices from Tokyo to San Francisco to Cologne, the Sony Design revolve around is responsible for nearly 2,000 new products, concepts, packaging schemes and design strategies every year, crusade sales of products nd services totaling nearly $50 billion per year (Product Description, para. 2). Although Sony also employs a lot of designers, Samsung still leads the industry in allowing their designs to inspire innovation. Samsungs progressive culture of effective, efficient, and fast implementation is part of its good over competitors. According to the dynamic theory of competition presented in Marketing Principles (2011) Suppliers with an insatiable overture drive are more competitive. Suppliers who implement effectively, efficiently, and high-speed are more competitive. (Module 1 p. 6).Samsung changes its product line three clock as fast as its competition such as Motorola. Samsung has shown agility, match to Marketing Principles (2011) i. e. the ability to implement change to change processes to introduce new technologies, new skills into the organizati on very quickly and effectively (Module 1 p. 7). diverseness is managed very well at Samsung and they have lower manufacturing cost on top of their time to market existence faster than that of competitors. Samsung avoids bureaucracy at its 24/7 design centers. Designers can work through problems without being delayed by non-productive orporate presentations and politics. Samsung has a constant focus on improvement and being faster and implementing the next innovation onward the completion. Fackler (2006) explained, Our TVs are better, Nobuyuki Oneda, Sonys headman financial officer, said in an interview earlier this year. But Samsungs funds flow is amazing. It is hard to invest in and develop products at the selfsame(prenominal) pace as Samsung. (para. 23). Samsungs use of usability laboratories have been key in its market orientation skills and understanding the user interface. Samsung does not follow the textbook best-practice of product development, which is idely now cons idered yesterdays best practice in product development. According to Marketing Principles, Samsung uses con electric current engineering and fast prototyping in an around the clock set out to problem solving (Module 6 slick 2 p. 1). The traditional best practice only produces a success rate of 50 percent in product development. This out dated way of thinking is burdened with gates. These gates are where bureaucracy in an organization can delay forward movement of the product design. Samsung has decentralized and broke away from this way of development.It is actually criticized in the typeface study with the example of the use of Samsungs design centers. Product development is free to develop in a creative environment without lawyers or other hold ups. Samsung has taken its out of the box approach and its investment in design and turned it into profits. As Marketing Principles explains, according to the current CEO of Samsung we still have a lot of things to do before we are a gre at company. (Module 6 Case 2 p. 2) With that approach and its constant drive to beat itself, The Samsung brand equity is likely to hold on to grow. ReferencesMarketing Principles. (2011). Portsmouth, NH Backbone Press Frackler, M. (2006). Electronics company aims to create break-out product. The New York Times, p. C. 1. Kunkel, P. (1999, family 4). Product Description Review of the book Digital Dreams The Work of the Sony Design Center. Amaonz. com. Retrieved from http//www. amazon. com/Digital-Dreams-Work-Design-Center/dp/0789302624 Roll, M. (2011). Samsung Building brand equity through brand community. Venture Republic. Retrieved from http//www. venturerepublic. com/resources/Samsung_Building_brand_equity_through_brand_community. asp