Transcript SAMSUNG DIGITAL - 2005

Best in France
case study
SAMSUNG IN FRANCE
ES2-E
Christopher Boyle
Raffaele Coccuci
Thierry Fornas
Mi Sun Park
Best in France
Case study
OVERVIEW
I
SAMSUNG in FRANCE, EUROPE
II
SAMSUNG Mobile Business in FRANCE
III
Constraints & Benefits in France
IV
Adaptation to France
V
Essential Advice
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Best in France
Case study
SAMSUNG in FRANCE, EUROPE

First entered the French Market as SAMSUNG
Electronics France in 1988
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Initially introduced home appliance products
- Niche market: cheap yet of reasonable quality
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Transferred to high technology products
- Second largest semi-conductor producer
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SAMSUNG Mobile Business in FRANCE -1

Entered the French Mobile Market in 1999
- As a gateway to the Continental European Market
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Initial obstacle to market
- Stereotyped as home appliances company
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Partnership with France Telecom
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Initial goal to change mindset
- By conveying its overall image as a mobile phone
provider, a dynamic enterprise and an innovator
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SAMSUNG Mobile Business in FRANCE -2
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Great success of “Samsung 600”
- Gained market confidence on quality and model
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0.7M units sold for the first year (1999)
- France telecom made more profit thru partnership
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In 2000, received orders amounting to $200M
from France Telecom
- Sold 0.5M units
- Proved that a reliable product = a great-selling product
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SAMSUNG Mobile Business in FRANCE -3
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SAMSUNG = MOBILE
Introduced new models, in each of the proceeding
years, with great success
- Brand image as a qualified model
- Maintained a partnership with France Telecom
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Turning point for SAMSUNG as a whole
Much more influence with other product lines
- 30% sales increase for white products
- Image of innovative technology and high-end
products
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Benefits in FRANCE
 Labor market is efficient and qualified, one of
the best in European market
 Workforce ranks high in efficiency
 Abundant supply of high quality workforce.
 Outstanding performance due to French
education policies
 Tax credit policy of up to 30% for high-end
technology companies
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Constraints in FRANCE
 Language barrier
 Working mentality
- Business urgency and working overtime
 Adaptation to French culture was difficult at
the start
- Shorter work week, more vacation time
 Network infrastructure is not well-prepared
- 2.5G (current) vs. 3G (required)
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Adaptation to FRANCE

Adapted corporate culture
- Rented the “Hall of Mirrors” at the Chateau de
Versailles for a VIP conference
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Adapted French workforce
- Hard-working and efficient during the working day

French market understands Samsung as a
French company
- 99% total turnover
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Essential Advice
 Increase market penetration by maintaining
high quality and product designs
 Expand global presence to include the rest
of Europe
 Strengthen competitiveness by adding
customer-oriented value to products
 Enhance corporate image by global
campaigns and commercials
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WE THANK
SAMSUNG ELECTRONICS FRANCE
56,Quai de Dion Bouton 92806 PUTEAUX Cedex

Yong Sung Chun, Executive Sales Manager
[email protected]

tel: 01 55 68 4023
Namionne Kim, Supply Chain Manager
[email protected]
tel: 01 55 68 4053
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References
 www.samsung.com
 www.samsung.fr
 www.sec.co.kr
 www.seri.org
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