couple of years, for Samsung Electronics. With Tizen OS based on Linux, Samsung wants to reduce its lack of autonomy concerning software. Prime reason for their foreign establishment of Samsung Electronics: Samsung was founded as a grocery trading store on March 1, 1938, by Lee Byung- Chull. He started his business in Taegu , Korea, trading noodles and other goods produced in and around the city and exporting them to China and its provinces. After the Korean War , Lee expanded his business into textiles and opened the largest woolen mill in Korea. He focused heavily on industrialization with the goal of helping his country redevelop itself after the war. During that period his business benefited from the new protectionist policies adopted by the Korean
Assignment 2 (Rojina Shrestha) 7 government, whose aim was to help large domestic conglomerates ( chaebol ) by shielding them from competition and providing them easy financing. During the 1970s the company expanded its textile-manufacturing processes to cover the full line of production—from raw materials all the way to the end product —to better compete in the textile industry. New subsidiaries such as Samsung Heavy Industries, Samsung Shipbuilding, and Samsung Precision Company (Samsung Techwin) were established. Also, during the same period, the company started to invest in the heavy, chemical, and petrochemical industries, providing the company a promising growth path. Sales, resources, or export to nearby nations: It is the service to do export business of finished products, production materials, service materials from 8 domestic plants of Samsung Electronics, Samsung Display and some affiliates to 167 countries worldwide, and import business from overseas subsidiaries and suppliers. It provides storage, unloading, customs clearance, inland transport, multimodal transport service and puts an emphasis on logistics cost efficiency through On Time Delivery and Process Innovation, etc. How is Samsung Electricity affected by domestic, foreign, and international environmental forces: International business presents opportunities and threats to businesses. Successful businesses focus on not only exploiting the opportunities but also protecting the threats posed by international business environment. Samsung is a good example of a multinational company that has been confronting the forces in the global business environment to be among the world’s leading technology companies. Factors of the international business environment that affect businesses include political, social-cultural and technological factors. These factors present opportunities and threats to international businesses. Opportunities in international business environment include risk management, sales maximization, and cost reduction. Risks confronting international businesses include foreign exchange risk, human resource challenge, and the compliance threat. Forming strategic alliances, business integration, and implementing effective human resource strategies and systems enable international businesses to address these threats.
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- Spring '17
- Rupesh Krishna Shrestha
- Samsung Electronics, Samsung Group