Samsung, the South Korean consumer electronics giant, includessix main components in its smartphones: (1) display and touchscreen, (2) memory chip, (3) processor, (4) camera, (5) wirelesselectronics, and (6) battery. Samsung manufactures a wide rangeof electronic products in addition to the smartphone, includingtelevisions, monitors, tablets, cameras, and a variety of chips.Required1. What strategy (cost leadership or differentiation) do you thinkSamsung uses and why?2. Consider the six components of Samsung’s smartphones listedabove. Which do you think are manufactured by Samsung?Which components do you think are purchased from othermanufacturers? That is, how much does Samsung rely on itsown manufacturing in the value chain for its smartphones?3. Apple has a very similar set of components for its smartphones.How similar do you think the two firms’ value chains are likelyto be?
Samsung, the South Korean consumer electronics giant, includes
six main components in its smartphones: (1) display and touchscreen, (2) memory chip, (3) processor, (4) camera, (5) wireless
electronics, and (6) battery. Samsung manufactures a wide range
of electronic products in addition to the smartphone, including
televisions, monitors, tablets, cameras, and a variety of chips.
Required
1. What strategy (cost leadership or differentiation) do you think
Samsung uses and why?
2. Consider the six components of Samsung’s smartphones listed
above. Which do you think are manufactured by Samsung?
Which components do you think are purchased from other
manufacturers? That is, how much does Samsung rely on its
own manufacturing in the value chain for its smartphones?
3. Apple has a very similar set of components for its smartphones.
How similar do you think the two firms’ value chains are likely
to be?
Step by step
Solved in 4 steps
