Samsung's Strategy to Gain Market Share in The Indian Mobile Phone Market

Details

Case Code : CLMM072
Publication date : 2009
Subject : Marketing Management
Industry : -
Length : 03 Pages
Price : Rs. 100

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Key words:

Strategy, competition, distribution network, market-mapping, distribution strategy, channels, emerging market, market share, celebrity endorsement, brand, brand ambassador, positioning, pay-off line, mobile phone market, electronics, mobile phones, innovation, production capacity, manufacturing, demand, Samsung Telecommunications India Pvt. Ltd., Samsung India, Samsung Electronics Co. Ltd., Samsung, Nokia, Motorola, Sony Ericsson, LG, India, Aamir Khan, Shah Rukh Khan, Abhishek Bachchan, Hrithik Roshan

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Abstract:

In early 2008, Samsung Telecommunications India Pvt. Ltd. (Samsung India), a subsidiary of Samsung Electronics Co. Ltd. (Samsung), announced its various strategic initiatives to double its market share in the India mobile phone market by the end of the year. The company was bolstering is distribution network, rolling out new mobile phone models at different price points with a new brand positioning, and also planning to leverage on the popularity of its new brand ambassador Aamir Khan, in order to achieve its market share objective in this key emerging market.

Introduction In early 2008, Samsung Telecommunications India Pvt. Ltd. (Samsung India) announced that it was taking various strategic initiatives to increase its share in the mobile phone market in India. The strategy included bolstering its distribution network, rolling out a number of mobile phone models in all price segments, and adopting a new positioning for the brand supported by celebrity endorsement. With these initiatives, the company aimed to increase its market share in India by 100 percent in 2008. Sunil Dutt (Dutt), country head (mobile business), Samsung India, said, "We are looking at doubling our market share to 15 per cent in 2008, which at present is around 7-8 per cent. The company will make required investments in building the brand, expanding channels and rolling out new models."

Samsung India, the 100 percent subsidiary of Samsung Electronics Co. Ltd. (Samsung), had a manufacturing unit at Noida and also imported high-end mobile phones from the parent company.

Samsung, which had firmly established itself as the No.2 player in the global arena in 2007 with a 14.3 percent market share, trailed Nokia, Motorola, and Sony Ericsson in India...

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