Case Write UpSamsung ElectronicsThe Memory IndustryAnalysis of the Five ForcesThe Five Forces is actually important in the pains analysis . These results determine the assiduity s profit potential as well as its appurtenance and development in terms of industry s operations . These factors take on the following : little terror of new entrants , bargain mightiness of suppliers bargaining effect of obtainers , holy terror of new products , and rivalry among competing firmsIn the marrow of Samsung electronics , their chief(prenominal) problem is their tough competition with Chinese competitors in the callback industry (see exhibit 3 . However , in to set about the status of Samsung electronics in all aspects , the analysis of the five forces should be employedThreat of New EntrantsGiven the fact that Chinese Compet itors do not really take aim difficulty in financing their manufacturing semiconducting material-products because they be being supported by outside bodies , Samsung theme has the reason to be worried about their market status in semiconductor industry . Because of a large pot of capital , Chinese competitors pull in the guts to compete in the market tied(p) if they argon not really earning high wampum . thereof they can sell their products in cheaper prices than other firms unless to have greater share of marketAlso , the fact that other semiconductor firms and companies are also helping them in penetrating the market by having strategic alliances joint ventures , and partnerships , these could really make Chinese competitors stick Samsung Electronics . They are really learning from those firms and companies about new technologies , master key designs , and competitive strategies in to cope up with the change in the environment (i .e .

customers demandAll in all , it can be inferred root word on the prone situations that there is a high threat of new entrant in the semiconductor industry in particular in the memory industry which Samsung should really exact in to maintain their market statusBargaining Power of SuppliersWith regards to the bargaining military force of suppliers by Samsung Electronics , it can be said that Samsung has still the power oer the suppliers since its brand has already gained high-value in the market accordingly suppliers would not easily cut its total with SamsungYet , suppliers have the object to supply most of its products to other companies or firms if ever these firms would buy thos e products in relatively higher price than Samsung does . As mentioned in the case China can really afford to collapse profit-earnings just to penetrate the market industry . Thus , it is not unsurmountable that they would really try to buy most of the suppliers productsBy examining this force , Samsung has a high rate with regards to the bargaining power of suppliers given the prolific that it has already established a great relationship with its suppliers . theless , if Samsung would really want to increase its relationship with its suppliers or assure sufficient supplies , it may consider increasing its s from its suppliers or some(prenominal) better if it would do backward integration by getting its suppliersBargaining Power of BuyersAs...If you want to get a full essay, sociable club it on our website:
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