Essays on Integrated Marketing Communications - the Samsung Electronics Company Case Study

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The paper "Integrated Marketing Communications - the Samsung Electronics Company " is a perfect example of a marketing case study. The Samsung Electronics Company is a multinational company in South Korea which deals with electronics, and its headquarters is situated at Suwon. However, even though the ownership structure of this company is quite complicated, in the year 2012 the Samsung Electronics Company accounted for 70% revenue in South Korea (Ledbetter, et al. , 2008). Moreover, Samsung Electronics is the second largest IT Company in the entire world after the Apple Company. The company has got numerous assembly plants and also sales networks in more than 80 countries, and the company has created job opportunities for more than 370,000 people in the whole world. Samsung’ s marketing communications Marketing communication in Samsung has been considered crucial in improving its brand image in the industry.

The Samsung Electronics Company has been transparent and open in its business activities, whereby it has established goodwill with the media. Therefore, in case the company faces a certain crisis, people can access the reports from the media. However, communication failure of this company has been reflected in the manner in which the company has responded to Note 7 which threatens to result in a huge PR disaster.

Even though the Samsung Electronics Company is expected to suffer a loss of around 5.4 billion dollars in profits in the year in the year 2017 (Senior, 2011). The company is capable of incurring the reputational damage cost for marketing its brand products. However, the crisis facing Samsung Company has been a challenge to its success in the industry. The preference for secretiveness in the company has been seen in its unwillingness to respond appropriately to various crises.

For instance, the Samsung Electronics Company has not provided clear information concerning what has led to the problem of Note 7 after their detection. Initially, the problem was associated with the lithium-ion batteries which were defective, but also other components might be at fault. Consequently, this problem has greatly undermined the confidence of the clients about the safety of Samsung products. Also, the problems that are associated with Note 7 have resulted in long-term uncertainty pertaining to the handset operation of the Samsung (Ledbetter, et al. , 2008).

Moreover, the recall program of the Samsung Electronics Company has provided different refund plans in various markets all over the world, thus undermined the confidence of the clients concerning whether they are being treated fairly. As a result of this inconvenience of this company, various rivals such as the LG and Huawei will grab its market share. The Samsung Electronics Company operates its business activities in the market through different channels. Moreover, the company operates on the concept of channel marketing whereby it has three segments which are; the service dealers, distributors, and modern retail.

The sales and the service dealers usually deal with the key accounts for the company and also get involved in corporate sales. The segment of the modern retail comprises of large retailers. The Samsung Electronics Company makes use of two major forms of promotion (Parvez, Dehghantanha and Broujerdi, 2011). Moreover, the company promotes its products by attracting customers through advertisement, but it makes use of strong tactics in pushing the products to the clients such as sales promotions.

The company provides discounts as well as offers to the trade partners to motivate them in selling the Samsung products. However, even though the pull strategy may be expensive, it is the most beneficial promotion method.

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