Restructuring / Turnaround Strategies Case Study

Rejuvenating Samsung

Abstract:
In 2001, Samsung is not content with being one of Korea’s most successful companies, or even with outsmarting its Japanese rivals. It wants to become Korea's first great global company. CEO Jong-Yong Yun (Yun) is trying to put in place international systems and practices to transform Samsung into a global company. Yun realises that Samsung can no longer succeed by gaining market share at the expense of profits. He departs from the company’s traditional Japanese business philosophy of life-time employment and respect for seniority. Samsung’s turnaround strategy is based on providing leading-edge, stylish products that can be sold for a premium. To make itself look and operate more like a Western-style multinational, Samsung opens its operations to foreigners. Yun realises that profits in the Digital Age were directly linked to being first to market. The case outlines Samsung’s initiatives to become a global brand.

Pedagogical Objectives:

• The case outlines Samsung’s initiatives to become a global brand.

Keywords : Global Branding Strategy; Global Marketing; Product Design; Innovation; R&D; Restructuring; Advertising Strategy; Work culture; Restructuring / Turnaround Strategies Case Study; Streamlining Product line; time to Market; Product Development Strategy; Empowering Design Department; Most Powerful Brand