SWOT analysis of Samsung Essay Sample

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Do you know how many people are using Samsung products in the streets? Undoubtedly, you can find that there is at least one. It is proves that Samsung indeed is changing people’s lives; it is obvious to the universality of people.

In the past 70 years, SAMSUNG have been dedicated to make a better world through diverse businesses that today’s advanced technology, semiconductors, skyscraper and plant construction, petrochemicals, and more.

Samsung has been the basis of talent and technology, it aims to reach the highest quality and service, and contribute to the development of human society. They are committed to be a creative leader in new markets and become a truly no.1 business going forward.

After the introduction of Samsung, we are going to show you our work – analyzing Samsung with PESTEL1 framework that finding out how can it influence the business of Samsung.


Samsung Electronics Ltd supports the government policy – “maximum support and minimum intervention”. In view of this, the government does not suppress their product price but controls the product safety. Therefore, we can see there is a free market in the global, and Samsung possessed an integrity and transparency operating system. About the policy of Samsung, they believed “creativity, collaboration and excellence” are the hallmarks of leadership, so they provide different products and services to attract the customers. Also, the products which are usually high-techs mainly attract the teenage and businessmen.

Therefore, Samsung design multi-functional and different kinds of technological products. Most customers can find the products they need in an easy way because there are many choices which are suitable for them. They buy Samsung products since they are safe, durable and fashionable.


Samsung brand price increase 22% in the global between 1980 and 2001. Samsung is the world’s largest mobile phone maker by unit sales with a global market share of 25.4%. It is also the world’s second-largest semiconductor maker. At the same time, Samsung Electronics Ltd became the world’s largest mobile phone maker by unit sales, overtaking Nokia, which had been the market leader since 1998 and set a new high record.

According to the data, we can see how well Samsung does in the world in terms of revenue. Actually the net profit margin and gross profit of it are both quite low. One of the reasons is that the products’ price of Samsung is low. Samsung sets up production facilities in developing countries. Although it helps lower the production cost for low price sales, it lowers its profit. Samsung set the price not so high is because there is a price war between Samsung itself and other competitors like Apple.

Since Samsung cannot set the price much higher than the current price, Samsung is going to promote its products into new markets such as India (one of the developing countries), and putting more efforts to develop tablets as the demand of tablets is increasing.


Samsung has created a strong brand around innovation, cutting edge technology and world class design. It has boosted its profile to be one of the valuable brands in the world.

Obviously, we can easily figure out social implications in its marketing campaigns. For example, Samsung realizes young people and businessmen who are the main target markets, that is why it develops trendy, easy-handling and multi-functional products.

Samsung’s involvement with the Olympic movement was since the Seoul 1988 Olympic Games. It used Olympic Games, which shortened the distance between consumers and itself, as a platform to demonstrate new products and technology. Then people begin to pay attention to Samsung, especially businessmen who are always benefited as Samsung provides a lot of devices for business usage.

As the technology advancement, electronic technology plays a more and more momentous role nowadays. Smart technology is increasingly popular in recent days; it helps Samsung committed to being the best of the world.

Human-Computer Interaction Techniques are being used in smart high-tech products. It boosts the interaction with each other through easy controlling. For instance, voice and face recognition, and interactive gesture, etc… Consumers like these new functions as they are convenience to use, so Samsung puts lots of efforts to develop them. Its new products begin to add in these kinds of smart features, by doing so, Samsung have being well-known in the world wide. Furthermore, Samsung also create an app store by themselves. App store is very important for high-tech products. So Samsung create lot of apps attracting different markets. Some apps are unique which can only be downloaded in Samsung’s app store. Actually, many people buy Samsung products just because of this reason.

Electronic wastes (E-waste) are the electronic equipment such as smartphone, television and so on which are being thrown away. The total of E-wastes is increasing in the global rapidly.

E-wastes will release toxic substances. They are harmful to human beings and environment. The E-wastes will be disposed by different methods. Some countries will re-use them or throw them away in the landfill sites..

In addition, the utilization rate of Samsung products is much higher and higher in the global. As the speed of technology advancement is very fast, people usually change their electronic devices. This creates lots of E-waste.

Therefore, Samsung set up an eco-management framework. For instance, delivering innovative eco-friendly products to consumers, and is committed to product stewardship throughout the entire life cycle of their products.

PlanetFirst is the logo of the eco-management. It means always considering Samsung’s impact on the environment first as they produce products. Samsung is committed to providing a better green experience through eco-friendly products, technologies and solutions.


World Trade Organization (WTO) is an organization that intends to supervise and liberalize international trade. Every member country needs to trade each other with the trading system. There are some International Trade Agreements of the system.

Under this agreement, each of the member country can have some exclusive preferential. No matter the products are about and where it from, it can be traded to everywhere by the agreement.

Samsung can trade in a preferential market in each country of WTO members freely. It helps spread the reputation of Samsung since people in those countries can use and know more about Samsung, so the utilization rate of its products is rising.


After analyzing Samsung with the PESTEL framework, we can find out how the six factors can impact its business.

Samsung is a diversified company with operations throughout the world. Computer products make our work more efficient, home appliances allow us to enjoy life, digital products purpose for our leisure, and the most important is that mobile products are also facilitate to our day of modern. According to the data we have found, there is at least one Samsung product at someone’s home. That is, Samsung has been absolutely integrated into human life.

Samsung is not just success in business. It also develops a lot of different kinds of businesses as we have mentioned above. Therefore, PESTEL framework helps Samsung to analyze various aspects of opportunities and threats it will meet. That is why Samsung can be this successful now.


1. Samsung: http://www.samsung.com/hk/

2. Electronic Waste: http://en.wikipedia.org/wiki/Electronic_waste

3. Olympic Games: http://www.olympic.org/sponsors/samsung

4. Hanley and Partners: https://www.henleyglobal.com/countries/hong-kong/

5. WTO: http://www.wto.org/

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