Introduction
Samsung is a South Korean company that consists of multiple affiliated businesses. As of 2020, it had the eighth highest international brand value. It was founded in 1898 by Lee Byung-Chul as a trading company. Three decades after founding, the group diversified into other areas, including insurance, food processing, textiles, securities as well as retail. It entered the electronics sector in the late 1960s, plus the construction as well as shipbuilding industries in the middle of the 70s (Kang, 2018). These are the areas that have led to the immense growth the company boasts of currently. Following the founder’s death, the company separated into five groups, that is, Shinsegae Group, Samsung Group, Joongang Group, CJ Group, and Hansol Group. In the electronics sector, the Samsung Group has faced stiff competition from companies such as Apple and Huawei. This paper looks at the comparison of the three companies in regard to vision, goals, strategy as well as an investment philosophy.
Vision
Samsung Inc.’s vision is to inspire with innovative technologies, products as well as designs that enrich individuals’ lives plus contribute to social prosperity by creating a different future. This statement forces someone to pay attention to its leadership position as well as how it directs the market plus upgrades life with its products as well as services (Kang, 2018). The vision statement’s characteristics include inspiring the world, focusing on innovations, and contributing to social prosperity (Chang et al., 2019). It is obvious that the company does not develop products without precision as it aims to inspire (Omer, 2019). It accomplishes this by understanding the diversity of people in the world (Yun et al., 2019). This way, it can design every product to cater to the needs of everyone regardless of their location.
The standard for designing its products is very high, possibly the highest in the industry. The company has developed an image of showcasing highly innovative products with the most advanced technologies, for instance, smartphones as well as personal computers (Kang, 2018). Samsung also considers its presence in the market as a great chance to modify how individuals live as well as relate for better. The care plus individualized needs that it considers while producing products says a lot about how it recognizes the ease of utilization as a compulsory factor in all things it develops. This betters how individuals work, interact as well as carry out other social duties.
Goals and Strategy
Samsung has devoted all its human resources as well as technology to enable them to create superior products plus services, thus contributing to a better global society. According to its business operations as well as current global industry positioning, the company has focused on human and technological resources, the superiority of products plus services, and the betterment of society. To achieve its goals, the company has to remain competitive in the market against others such as Apple and Huawei (Omer, 2019). It thus applies a broad differentiation generic competitive strategy (Browne et al., 2021). The strategic aim of this approach is maintaining a competitive edge by offering peculiar products that target a wide market.
To attain the company’s strategic plans for growth as well as expansion in the international market, this approach needs the application of product development as a key intensive growth strategy to rival others mentioned earlier. Its investments in product development are an approach implication of the generic approach (Almeida et al., 2021). For instance, Samsung invests in technological innovation to support the competitiveness of its products in the market (Haizar et al., 2020). The second implication of this approach is the company’s marketing mix as well as approaches that promote products as different options to the majority of competitors.
The marketing approach, as well as technological innovation, sustain Samsung’s competitive advantage plus value chain effectiveness in satisfying consumer needs. Other strategies applied in the company operations include differentiation focus, cost leadership as well as cost focus, which enables the company to be the best cost provider (Zhou, 2020). Lastly, regarding investment philosophy, the company believes in devoting its talent plus technology to creating products as well as services that lead to a better society.
Comparison to Apple and Huawei
Apple Inc.
Vision
Apple Inc.’s vision is to create the best products on the planet and leave the world a better place. The Vice President of the company for Environment, Policy, as well as Social Initiatives, stated that they aim to create not only the best products on earth but also the best products for the world. Therefore, the vision statement is in line with the company’s corporate social responsibility approach as well as stresses sustainability, the overall betterment of ecological influence of the business, and environmental conservation.
Goals and Strategy
Apple Inc.’s goal is to bring the best personal computers and support students, designers, educators, engineers, scientists, business people, as well as consumers worldwide. This shows that the company considers the changing landscape that impacts the probabilities of what it can do (Podolny & Hansen, 2020). For example, it recognizes changes and trends in the market as well as the industry environment. As mentioned earlier, Samsung Inc. uses a generic strategy and intensive growth. Apple, too, utilizes this approach as it relates to the firm’s approaches in marketing, pricing, plus other business areas (Amron, 2018). This approach is designed to help the firm maintain competitiveness in the consumer electronics as well as information technology plus service market.
Investment Philosophy
Investment decisions at Apple Inc. are based on value factors as well as financial criteria. Value investing is a critical technique in-stock selection (Tien, 2019). It is important to effectively choose the value stock while considering basic analysis as well as assessing fiscal ratios. The idea of value investment was first suggested by David Dodd and Benjamin Graham (Kang, 2018). Later, Warren Buffet made it popular among investors due to his research and practice. The study on value investment has been conducted to explore its effectiveness in the market as well as asset return.
Huawei
Vision
Huawei has the vision to bring digitalization to all people, at home as well as in the organization for a completely connected and intelligent world. The company has stated that it will offer ubiquitous connectivity to provide every individual with equal access to connections (Dmitrijevs, 2020). It will also offer pervasive intelligence to steer businesses in the forward direction (Wu et al., 2021). Thirdly, the company has stated that it will build digital platforms to aid all the sectors and firms become more efficient, agile as well as vibrant (SHUHUA, 2018). Lastly, it will deliver an individualized experience to everyone, respecting the peculiar characteristics of people and allowing the full potential of all to be realized.
Goals
Huawei aims to connect all the people, firms, and homes that are still not online. It also aims to continue driving broadband as well as ultra-fast broadband adoption. Additionally, the company is infusing artificial intelligence connectivity so that its networks can adapt to the ever-changing needs of consumers (Dmitrijevs, 2020). Going forward, the intelligent networks will require to adapt to bandwidth plus latency in real-time so that the company can offer consumers a user-oriented experience.
Strategy
The core of Huawei’s pricing approach has been to guarantee lower prices than its competitors, such as Apple Inc. and Samsung Inc. It does with care so that it does not go too low on the prices to bring to question the quality of its products. Companies that have offered very low prices have appeared to the public as low-cost, low-quality (Benatallah, 2019). Thus, the company prices itself only five to fifteen percent lower than its major rivals in the industry (Alkhawajah, 2019). For customers in mature markets such as Europe and the United States, the company may have to consider another pricing approach.
Consumers use pricing as a reliability and quality indicator, whether consciously or unconsciously. In the market, premium pricing shows a premium or high-quality product. Additionally, pricing is important for the company to avoid the adverse perception as low-cost low-quality. Regarding investment philosophy, Huawei’s strategy is to keep a considerable profit margin, invest more later plus share more value with consumers, suppliers as well as partners. Competition, openness as well as collaboration, are the fundamental principles the company adopts to improve its core competencies plus build a good business ecosystem.
Conclusion
Ever since its founding, Samsung Inc. has been focused on providing consumers with the best products in the industry while also maintaining uniqueness. The company has devoted much of its resources, both human and technological, to enable them to produce products that contribute to a better society. To achieve organizational goals, the company utilizes a generic competitive strategy which is the same as Apple Inc. This approach helps the two companies to remain competitive and top their rivals by giving out new and unique products. Companies, especially the ones in the same industry, have been known to apply different strategies in their operations so that they appear different in the eyes of the consumers. However, businesses can also use a similar approach as long as it helps them achieve their goals.
This paper has aimed to compare three companies in regard to their vision, goals, strategy as well as an investment philosophy. For instance, on the one hand, Samsung Inc.’s vision is to inspire with its innovative technologies, products, and designs that improve people’s lives as well as contribute to social prosperity. On the other hand, Apple Inc. aims to create the best products and leave the planet a better place. Lastly, Huawei has the vision to avail digitalization to every individual in both homes and firms to ensure complete connectedness. These vision statements guide how the companies approach their operations. Employees recruited are taught and trained to understand what they are expected to achieve.
The paper has also shown that pricing is a very important aspect of marketing. Consumers want products that are of high quality but at reasonable prices. For instance, they want to be able to afford the items. This is why many companies aim to offer electronic devices that are of lower prices than others. However, they cannot go too low with their prices as this might be a bad indicator. Consumers perceive very low-priced items as low quality, which means that they tend to avoid them. It is thus important when setting prices that a company sets a limit on how low they could get.
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