BCG MATRIX OF SAMSUNG COMPANY



 meaning  of SAMSUNG  is three star which describes the vision of company to become powerful and everlasting  like star in sky 

SAMSUNG electronic company is a largest electronic producer in Asia. It operates in mainly four division 
HOME APPLIANCE, INFORMATION AND TECHNOLOGY, SEMICONDUCTOR and DIGITAL MEDIA


Analysis of companies in BCG matrix

BCG – BOSTON CONSULTANCY GROUP MATRIX  is a portfolio planning model, .which is designed to help the organization in long-term strategic planning, it helps the business to decide where to invest and to discontinue their products or services

It can be categorized as cash usage and cash generation that is market growth and market share.

  • market share relate to total sale of products
  • market growth relate to demand of particular product, if demand is low then lower growth and high demand result higher growth

BCG classified as four-way 




STAR
 in this products in higher growth and higher market share. SAMSUNG  develop their product in the market to gain the larger market share and market growth and maintain the stronger position in the market.
Mobile phones and tablets can be seen in star category, 

  • SAMSUNG want to achieve their position as major phone supplier in international market.
  • With the change in technology, SAMSUNG manufactures the new mobile phones adding new feature to attract the target market like SAMSUNG galaxy note 8 and galaxy S created the strong brand value
  • Samsung plasma tv also star for companies, investment in smart tv can become source of long-term profit

QUESTION MARK: 
 some of  SAMSUNG product are still in that phase of development which a low market share but high demand for that product 
like SAMSUNG PRINTER, printer has higher demand in the market but in case of Samsung printer it can remain at the position of a question mark.
Also, Galaxy 7 has gained negative image due to battery overheated.

DOG
 in this product has less cash usage and less cash generation which mean both the market share and market growth are lower.  This is the declining stage

  • SAMSUNG TV business decline due to small demand from various countries. 
  • SAMSUNG WATCH  is not able to gain attention from a customer and higher competitor is APPLE watch.

CASH COW
  in this product is in low growth market with  high market share this is also called mature stage of business., return on investment is high but slow expansion indicate the lower market share.

 SAMSUNG HOME APPLIANCES, company sells home appliance in different region and reach in global market, but due to low  creativity and doesn't offer the latest technology  result in low market share which is in cash cow class,


CONCLUSION
 every business adopts the strategic planning and sees their product and service in a different stage that is high or low and take the decision whether to invest in this product or not.BCG matrix can be classified   into mainly four class with high market share and high market growth, 
MILK THE COW, DON’T WASTE MONEY ON DOG, INVEST IN STAR AND GIVE QUESTION MARK SOME EXPERIMENT FUND TO SEE IF THEY CAN BECOME STAR

Comments

Anonymous said…
It is not the Galaxy 7, it is Galaxy Note 7.
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