Analyzing Business Research Methods

Business Research Methods

The company selected for this particular analysis is Samsung Group. This public company is one of the biggest companies in the mobile industry. The following table will outline the SWOT analysis of the company.

Strengths

Easy integration with different operating systems and software

Customer loyalty

High level of innovation and design

Low production costs

Strong brand marketing

Significant share market in many products

Weaknesses

Too reliant on other software companies

Place emphasis on too many products

Patent infringements

Minimal profit margin

Key rival companies are largest buyers

Opportunities

Increased growth in tablet market

Developing mobile advertising market

Great prospects for diversification

Growing Indian market

Threats

Rival companies place emphasis on one product

Price wars

Change in innovation and technology

Depletion of one product line impacts the others

Competition from Chinese commodities

Strengths

1. Easy integration with different operating systems and software: Samsung places great emphasis on creating products that are compatible with numerous software and OS. This gives the company an upper hand over Apple.

2. Customer loyalty: Samsung has a loyal customer base that sticks to its products and this is a competitive advantage over other companies.

3. High level of innovation and design: Samsung in recent years has been awarded and acknowledged for the innovative products that it has unveiled into the market.

4. Low production costs: The manufacturing firms for Samsung are located in low cost areas making the production costs to be minimal and at the same time generating high profit margins.

5. Strong brand marketing: Samsung has been able to market the brand in different approaches and this has created a greater growth in market share for the firm.

6. Significant share market in many products: Samsung is known for its diversity in different products that it offers. This in turn means the company enjoys market share in these different product lines.

Weaknesses

1. Too reliant on other software companies: Unlike Apple Inc., Samsung does not have its own software or operating system and therefore relies on the other companies.

2. Place emphasis on too many products: Samsung offers a wide variety of products and this deters them from focusing on one product to produce more quality.

3. Patent infringements: Samsung has been sued numerous times and even lost because of the infringement of patents of other firms. This ruins the brand as well as the financial health of Samsung.

4. Minimal profit margin: Due to price cuts, the company enjoys very low profit margins, which is not healthy financially for the firm.

5. Key rival companies are largest buyers: Major competitors such as Nokia and Apple are the key buyers of Samsung products. This implies that the buyers have bargaining power over Samsung as it cannot afford to lose its major buyers.

Opportunities

1. Increased growth in tablet market: This is a chance for Samsung to increase its dominance and market share in the tablet market.

2. Developing mobile advertising market: This presents an opportunity for the firm to dominate the mobile industry through marketing.

3. Great prospects for diversification: Through research and development, Samsung can acquire small companies to boost diversity in its products.

4. Growing Indian market: India's smartphone market is the least market that is dominated in the Asian or Pacific region. Samsung has a resilient manifestation in India's market and can easily employ this prospect to enlarge its sales.

Threats

1. Rival companies place emphasis on one product: Major competitors such as Nokia place focus on one single product, which implies more quality. This might impact the market presence of Samsung.

2. Price wars: Presently, Samsung attains minimal marginal profits due to price cuts. If rival companies decided to reduce prices, this would mean that the company would lose its profits altogether.

3. Change in innovation and technology: Due to the incessant change in technology, companies are forced to come up with new products as the prevailing ones become obsolete really fast.

4. Depletion of one product line impacts the others: Having a diverse range of products means that the decline of one product line would have an impact on the rest and thus dilutes the company's brand all the same.

5. Competition from Chinese commodities: Chinese companies are starting to offer lower cost products to clients, deterring them from products such as those for Samsung.

SWOT Analysis is a valuable and constructive method employed for apprehending the Strengths and Weaknesses of a company and for classifying and acknowledging both the Opportunities exposed to it and the Threats it is bound to experience (Bohm, 2009). The firm can make use of this method to ascertain whether something is an internal or external factor and the manner in which it impedes or benefits the company, not just in the contemporary state, but also in the forthcoming fiscal periods (Warner, 2010).