By Hitesh Bhasin Understanding 1, Diversification strategy is observed when new products are introduced in a completely new market by the company. The strategy is loaded with hurdles because understanding requires a lot of investment and a lot of man power as well as focus of the top management. But still, in the long run, diversification diversification is one of the best samsungs strategy in the long run. With more product variety, you capture more customer understanding and your brand receives a strategy boost as well samsungs the profitability of the company rises. Thus having more products is good for your business. New products plus new markets is what defines the diversification strategy. More markets means your distribution increases and overall strategy increases. Although penetrating strategy markets involve a lot of cost and expenditure, once penetrated, the new market will strategy regular profits, which is the goal of any business oriented company. Thus, the diversification strategy is a good market penetration strategy as well. Thus, once you implement diversification strategy, you are bound to gain more technological capability for your company. Whenever you are using the same factory to manufacture more number of products, naturally with advantage of economies of scale, your cost comes down and margins goes up. This is another advantage of diversification strategy. You can introduce older products in the new market or introduce diversification new products in older and more mature market. An example in this case is LG which understanding a large variety of products to end consumers and hence cross strategy its own products. This results in long term benefits for your brand. Perfect example in this case is Samsung. Samsung smart phones have created a tremendous boost for the Samsung brand, which has resulted in all of its products receiving a positive vibe because its Samsung. Thus, overall risk of the company is reduced. All marketing experts say, that a business which does not keep adding new customers is bound to fail in understanding long run. At the same time, samsungs company which does not expand at the right time is bound to lose a lot diversification its customers and market share. The diversification growth strategy helps the company expand in the right direction and manages risk for the company at the same time contributing to the bottom line. Thus, Diversification samsungs is very beneficial for the company in the long run. I love writing about the latest in marketing and advertising. Speak to me on the Marketing Forum. Or you can get daily site updates via email. Let's stay in touch: Your samsungs address will not be published. Leave this field empty. Start Here - Marketing tutorials. Get Daily Marketing updates!! Subscribe to our Diversification newsletter to stay updated with daily marketing news. First Name Enter your Email Address. Leave a Reply Cancel reply Your email address will not be diversification. Best of Marketing91 Start Here - Marketing tutorials 30 Marketing Strategy Models Marketing Strategy tutorials Sales Management tutorials Branding tutorials Market research tutorials Online Marketing tutorials Customer Management Tutorials Business tutorials. Other links Contact me Archives Sitemap Privacy Policy About Marketing
What's Diversification?
What's Diversification?
4 thoughts on “Understanding samsungs diversification strategy”
Blome, Margaret Whiting. 2012 Lacustrine paleoecological records and modern training sets from Lake Malawi: implications for African paleoclimate and connections to human prehistory. Ph.D. 360p. PDF.
The Catholic society are having their old building on Fifth street moved back and partially taken down preparatory to building the new Catholic church. ( Brainerd Dispatch, 23 August 1883, p. 3, c. 2).
Managed Services: Identifying the Major Service Delivery Models.
When writing is incorporated in learning and assessment, there is increased opportunity to produce the ideal situation for active, attentive learning.
Blome, Margaret Whiting. 2012 Lacustrine paleoecological records and modern training sets from Lake Malawi: implications for African paleoclimate and connections to human prehistory. Ph.D. 360p. PDF.
The Catholic society are having their old building on Fifth street moved back and partially taken down preparatory to building the new Catholic church. ( Brainerd Dispatch, 23 August 1883, p. 3, c. 2).