Tracking Smartphone Unveiled
The innovative product is an eye-tracking smart phone with a huge screen and impressive new features for its consumers. The eye-tracking feature allows users to control its 5 inches (12. 5cm) screen using their eye movement and to take two different pictures at once using its dual cameras. Samsung has given it a more appealing look by making it a slightly lighter and thinner than the Samsung galaxy S3 the new smart phone weighs 130g and 7. mm thick. It also has launched Samsung multimedia storage facility which can be shared across multiple Samsung devices. Samsung has been effectively competing in smart phone market by providing products that deliver variety and innovation to its consumers around the world. Popularity of this organization is due to the ability to successfully implement and execute its core strategy by utilizing the resources and capabilities efficiently. Company’s organizational structure in place supports this strategy efficiently.
Although not a market leader in smart phone market, Samsung is best known for learning from its competitors. The company keeps itself aware of competitors moves as to what they are doing, what will be brought to market first and by observing what is gaining attraction they quickly come up with their own version of that innovation. Samsung evolves its strategy to the market conditions and acts accordingly. Conducting market research to find out how market responds and wants is Samsung’s core strategy.
As a result it provides consumers with products with differentiation such as phones with larger screens, different features compared to iPhone and other smart phone manufacturers. Samsung’s ‘Note” a two in one Phone tablet has been an unexpected hit due to Samsungs capability to know what consumers want. Samsung puts their money to use and take risks as it spent 5. 7% of its revenue on research while its competitor Apple spent only 2. 4 %. Samsung also conducts aggressive marketing.
It increased its advertising budget from $78 million to $401 million $68 million more of Apple’s advertising. Samsung’s supply chain and distribution is done by its own as it is a world’s prime chip maker so it makes many of the components on their own that go into the making of smartphones giving it a more flexibility of production and cost advantage. Apple to some extent relies on external partners for supply chain and distribution which lead to delays and difficulties. Samsung has recently invested $111 million in Sharp Inc. Buying a 3% stake in company.
The partnership will help both companies. It will boost Sharp’s capital position and provide Samsung with a stable supply of large LCD pales for TVs and small and medium panels for mobile devices and notebook computers. Since Sharp supplies its LCD panels to Apple Inc. Apple can lose some of its preferential status with display supply. Samsung’s ability to successfully compete with its competitors and strategically position itself in the industry is due to its motivated and devoted management who carries out its planned strategy.
Samsung wants to be the principal player in the smartphone market and it has a strategy to do so, it does that by utilizing every tool to succeed. However making bigger screens and tweaking around new features is not the ultimate solution to stay ahead in smart phone market. It is strongly believed that Apple Inc. assimilates hardware and software very effectively. The hardware and software integration between Samsung devices and Android system is still an area needs improvement. The loyalty of consumers ultimately depends on product support and the quality of the experience consumers have with smart phone.