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Communication stratergy for samsung

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Họ và tên: Trần Mai Hương

sinh
Khoá lớp: k104
1873403013044
STT: 41
Ngày thi: 07/10/2021
Id phịng thi: 103
Giờ thi: 14h00

viên:

BÀI THI MƠN: GIAO TIẾP TRUYỀN THƠNG
Hình thức thi: Bài tập lớn/ Tiểu luận
Mã đề thi: 01

Thời gian thi: 24 giờ
ĐỀ THI:

WHAT IS COMMUNICATION? HOW DOES A COMMUNICATION
PROCESS HAPPEN? DESIGN A COMMUNICATION STRATEGY TO
LAUNCH A NEW PRODUCT OF SAMSUNG


TABLE OF CONTENTS
INTRODUCTION.....................................................................................................1
I. THEORETICAL FRAMEWORK......................................................................2
1.1. Definitions of Communication.................................................................2
1.2. Communication process............................................................................2
II. SITUATION ANALYSIS....................................................................................3
2.1. Market Trends...........................................................................................3


2.2. PEST Factors.............................................................................................4
2.3. SWOT Factor.............................................................................................4
2.3.1. Strengths of Samsung in SWOT Analysis...........................................5
2.3.2. Weaknesses of Samsung in SWOT Analysis.......................................5
2.3.3. Opportunities for Samsung in SWOT Analysisopportunities for
Samsung.........................................................................................................6
2.3.4. Threats for Samsung in SWOT Analysis.............................................6
2.4. Current Marketing Communications Strategy......................................7
III. SOLUTIONS.......................................................................................................7
3.1. Objectives...................................................................................................7
3.2. Communications Tools.............................................................................8
3.3. Media Selection..........................................................................................8
3.4. Control........................................................................................................9
3.5. Marketing Research..................................................................................9
CONCLUSION.......................................................................................................10
REFERENCE..........................................................................................................11

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INTRODUCTION
Product launch is perhaps the most expensive, risky, and poorly managed
phase of new product development process, in the sense that firms must commit
enormous time, financial, and managerial resources, and the average failure rate is
as high a 40% for consumer and industrial new products (Hultink, Hart, Robben, &
Griffin, 2000) and more than 60% in high-tech industries. Despite the risks inherent
in commercialization, launch efforts often are decisive in securing new product
success. In this challenging context, a firm that is proficient in communicating the
positioning of its new products and leveraging its affiliated brands may maximize
its chances of achieving profitable product acceptance in the target market.

Launch planning involves both strategic and tactical decisions. Whereas the
former entails details such as product innovation, market targeting, and market
leadership, the latter pertains to choosing marketing mix elements, of which
marketing communications represents the central concern. In the launch process,
marketing communications refer to all of the information and attitude efforts
expended to influence product adoption, including product attribute expressions and
strong persuasion attempts. Existing literature clearly supports the positive
relationship between effective marketing communications and new product success.
In response to such environmental complexity and turbulence, high-tech
marketers may use marketing communications to build strong brand names and
assuage customers' fear and doubt involved in product adoption.

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I. THEORETICAL FRAMEWORK
1.1. Definitions of Communication
Communication is the transfer of information/messages from one
individual/organization to one or more other individuals/organizations.
Communication is the process through which people express their views or express
their feelings.
=> Communication is a process in which people exchange information to
understand each other and respond to suit a particular situation.
1.2. Communication process
The Communication Process consists of eight stages and is shown in the
diagram below:

Figure 1: 8 Stages of The Communication Process
The 8 stages of the communication process are:
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 Sender: The person who wants to communicate.
 Message: The information the sender wishes to communicate.
 Encoding: How the message is to be communicated e.g. verbally or written.
 Channel: How the message is sent e.g. face to face or by email.
 Receiver: The person to whom the sender sends the message.
 Decoding: How the receiver understands or interprets the message.
 Feedback: The receiver’s response to the message.
 Noise: Anything that might interfere with communication or reduce the
chance of successful communication.
The sender will decide on the aim of their message and who the receiver is.
From this, they will construct their message and determine how it is to be sent. To
avoid miscommunication it is important for the sender to keep their audience in
mind when constructing their message and selecting their channel.
Decoding begins when the recipient has received the message and starts to
digest it. If the receiver is confused by any part of the message the feedback loop
enables them to seek clarification by asking questions. The feedback loop also
provides a mechanism for the receiver to provide both positive and negative
feedback to the sender.
II. SITUATION ANALYSIS
The purpose of this part is to develop an integrated marketing
communications campaign for Samsung Galaxy S21. The campaign will be used to
market the product in Vietnam. Samsung Galaxy S21 is a new product that will be
launched to replace Samsung Galaxy S20.
2.1. Market Trends
Despite the impact of the Covid-19 pandemic, the Korean firm increased its
sales by 4% year-on-year, Singaporean technology market analysis firm Canalys
said in a recent report, according to VOV. Vietnam's Oppo and Vivo followed with
17% and 12% share of the market, respectively. But their sales trends diverged

wildly, with Oppo's falling by 26% and Vivo's increasing by 246%.
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In the Southeast Asian market, Samsung continues to be the leading
smartphone company with a 21% market share in the second quarter. However,
sales over the same period in 2019 decreased by 26%.
According to We Are Social, a social media marketing and advertising
agency, around 75 million people, or almost 80 percent of Vietnamese population,
use smartphones.
2.2. PEST Factors
Deregulation of the Vietnamese advertising industry is the most important
political factor since it has enabled several firms to join the market. The resulting
competition will reduce the cost of advertising in Vietnam (Ranchhod & Marandi
2005, p. 91).
Rapid economic growth in Vietnam has improved the demand for
smartphones. Thus, investing in marketing communications activities such as
advertising and public relations is likely to have a high return on investments.
High literacy level, access to print, and electronic media will improve the
effectiveness of marketing communications initiatives since a large number of
potential customers can be reached.
Increased access to advanced technologies such as the internet and social
media will also improve the effectiveness of marketing communications in
Vietnam.

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2.3. SWOT Factor


Figure 2: Swot factor of Samsung

2.3.1. Strengths of Samsung in SWOT Analysis
Brand Image: Samsung Electronics Co. Ltd is a renowned brand throughout
the world. According to the famous Forbes Magazine, Samsung ranked 8th in the
world’s most valuable brand in 2020. This strong brand value takes the company
closer to its target market and reaches them more easily.
Strategic Partnerships: Developing strategic partnership with software
developers and online firms are always an opportunity to grow revenue for
Samsung. Thus the company gets more functionalities from the developers that can
be used to enhance their electronics quality. For example, Spotify has a nonexclusive agreement with Samsung that allows users to use Spotify as an integrated
music streaming service.
Variety of products: Though it is known as an electronics company,
Samsung also produces and sells semiconductor parts, LCD panels, memory, SIM
chip to other manufacturers which is notable. Thus, the company can keep
expanding itself in different ways. Also, Samsung is very successful in every type
of product it produces from TV to smartphones and refrigerators.
2.3.2. Weaknesses of Samsung in SWOT Analysis
Dependance on the American market: Though Samsung has diversified its
products, resources, and market, it is still highly dependent on the American market.
Roughly 70% of its smartphones are sold in the US. But as the American economy
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is very unpredictable, it can not only cause damage to Samsung’s sales but also can
jeopardize its total infrastructure.
Drop-in profit: Since 2017, the sales of smartphones have been declining in
the covid-19 pandemic and the company has observed a fall in its profit since then.
The lack of safety in Samsung smartphones also contributed to this loss. Many
smartphones of the Samsung Galaxy Note 7 series showed overheating batteries

leading to an explosion. At the same time, some refrigerators and washing machines
were reported to start firing.
High price: To maintain the high quality of its products, Samsung products
has always been high priced. Its competitors like Apple, Huawei, and Xiaomi are
trying to outperform each other by improving quality and price range. Samsung
should focus on balancing quality and finances so that they can cope up and survive
in this immense competition.
2.3.3. Opportunities for Samsung in SWOT Analysisopportunities for Samsung
New markets: As the government has agreed to lend a hand to the economic
development there are new markets in the making. This will help Samsung broaden
its already wide horizon of business.
Business Diversification: Even though Samsung has plenty of products to
sell, there are many new products that it could launch. People are now aware of its
presence. So this will be advantageous for the company. Business diversification
can get people more interested and invested in the company. This will work as
publicity and raise the profit.
2.3.4. Threats for Samsung in SWOT Analysis
Impact of Pandemic: This is the time of pandemics. Samsung is one of the
leading companies in the consumer goods department. Even though this pandemic
has failed to make any big impact on the sales figure, that does not mean that the
magnitude of the situation is any less. This pandemic has affected the
manufacturing, distribution, and purchasing of Samsung products. This has fueled
major changes in Samsung’s business strategies.
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Government Regulation: The rules and regulations that the government
imposes may be a major threat for Samsung, especially if it does not abide by its
profit-based agenda.
Strong Competitors: Though, the main competitor of Samsung is Apple. But

newer Vietnamese brands like Xiaomi and Huawei are rapidly progressing in the
marketplace. These new companies are manufacturing and selling smartphones at a
much cheaper price than Samsung which may become a matter of concern. On the
contrary, though Apple is not providing cheaper products, its marketing policy is
trying to make a better impression on the market than Samsung.
Scandals: The president of the company was found guilty of bribing the
government which caused his imprisonment for about a year. Also, since its
founding, Samsung has always been under the leadership of the founding family
members. But many scandals of these leaders have shown up which could really
break the image of the company and for which the president of the company has
publicly announced about not handing over the leadership to his children in 2020.
2.4. Current Marketing Communications Strategy
Currently, the company’s marketing communications mix includes
advertising, public relations, and sales promotions (Pride 2004, p.212). The main
objective of these communications tools is to create brand awareness and to
differentiate the company’s products in the market.
Consequently, the messages conveyed to the public focus on highlighting
product features. The main strength of the strategy is that it will enable the company
to build a strong brand image (Kitchen & Pelsmacker 2004, p. 217).
However, the company adapts its adverts to suit the needs of each market.
This increases the risk of conveying inconsistent messages to the public (Pride
2004, p.213).

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III. SOLUTIONS
3.1. Objectives
The main objective of the communications plan is to create product
awareness. Product awareness will enable the customers to identify with Samsung

Galaxy S21 (Ouwersloot & Thompsons 2008, p. 92).
The resulting improvement in brand image will enable the product to
penetrate the market (Kim 2006, pp. 126-137). The second objective is to use
various tactics to stimulate desire among customers so that they can purchase the
product.
3.2. Communications Tools
A variety of marketing communications tools will be used to reach the target
audience. The tools include public relations, advertising, personal selling, sales
promotions, exhibitions, sponsorship, point of sale merchandising, and internet
marketing.
Public relations will involve attracting media coverage by hosting events to
brief key stakeholders and potential customers about the product and its launch date.
Sales promotions will include competitions and coupons that will enable customers
to win prizes by purchasing the product (Yang & Trim 2008, pp. 272-278).
The company will sponsor one popular TV show to reach as many customers
as possible. To convince customers to purchase the product, the sale team of the
company in retail stores will do exhibitions and personal selling.
Internet marketing will involve advertising the product through its brand
website and popular websites such as Face book, Google+ and Twitter.
3.3. Media Selection
The target market consists of customers with different lifestyles and socioeconomic backgrounds. Thus, it is important to use different types of media to reach
the target audience (Hackley 2010, p. 278). The print and electronic media will be
used to market the product.

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The print media include popular magazines, newspapers, brochures, and
product catalogue. The print media will target institutions and customers who have
time to read.

The electronic media include radio channels, mobile phones, TV channels,
and the internet (Percy 2008, p. 241). The electronic media will target customers
who have access to multimedia devices such as radios.
The marketing communications tools will be used to position Samsung
Galaxy S21 as a smartphone that enhances the lifestyle of its user. In this regard, the
message to be conveyed by the communications tools will focus on three themes
namely, excellent functionality, reliability, and affordability.
These brand attributes will be reflected in the marketing mix. Specifically,
different color and screen size options will be provided to suit customers’ needs
(McCray, Gonzalez & Darling 2011, pp. 240-255). Moreover, a three-level
distribution channel will be used to enhance brand visibility.
3.4. Control
The success of the communications campaign will be tracked by measuring
sales, brand awareness, expenditure, and market share. Monthly sales will be
reviewed to determine the extent to which the company is able to achieve its targets.
In addition, monthly sales will be compared with those of the competitors to
determine the product’s market share (Kazmi 2007, p. 211). Two surveys will be
conducted to measure brand awareness. Monthly expenditures will be reviewed to
ensure that the resources that have been allocated for the campaign are used
appropriately.
3.5. Marketing Research
The objectives of marketing research will include measuring brand
awareness, as well as, obtaining customers’ feedback concerning the product and
the suitability of tactics such as sales promotions and adverts. Online surveys will
be used to collect data from the public concerning brand awareness and sales
promotions.
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Interviews will also be used to collect information about the market from key

informants such as the industry’s regulator. The results of the marketing research
will be used to improve the campaign and the product (Histrich 2000, p. 314).

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CONCLUSION
This research shows that in high-tech industries, what to say and how to say
it are both essential for marketing communications designed to support a product
launch. We explore the strategies for designing messages according to
informational/transformational and elaborational/relational dimensions and propose
that high-tech customers, who are relatively motivated and able to process new
product-related information easily, may be better swayed by informational
messages, which increase their awareness of, interest in, and comprehension of new
products and lead to their adoption of the product. That is, the use of informational
messages is more effective for launching high-tech products than is the use of
transformational messages.
Moreover, it is beneficial to use relational messages, which emphasize the
association of the new product with its parent brand, than elaborational messages,
because the high speed of product innovation in high-tech industries increases
customers' perceived adoption risks associated with product obsolescence or
network externality. Marketers can overcome adoption resistance by delivering
messages that link products to their parent brands, which, if they possess strong
brand equity, can generate customer trust and confidence in the new products.

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REFERENCE
1. Caemmerer, B 2009, ‘The planning and implementation of integrated

marketing communications’, Marketing Intelligence and Planning, vol. 27.
no. 4, pp. 524-538.
2. Chen, P 2012, ‘The importance of marketing strategy: gaining the
competitive edge with integrated marketing communications (IMC)’,
Strategic Direction, vol. 22. no. 8, pp. 23-25.
3. Drummond, G, Ensor, J & Ashford, R 2010, Strategic marketing, Oxford
University Press, London.
4. Gabrielli, V & Balboni, B 2010, ‘SME practice towards integrated marketing
communications’, Marketing Intelligence and Planning, vol. 28. no. 3, pp.
275-290.
5. Hede, A & Kellett, P 2011, ‘Marketing communications for special events:
analyzing managerial practice, consumer perceptions, and preferences’,
European Journal of Marketing, vol. 45. no. 6, pp. 987-1004.
6. Johnsons, M 2012, ‘Attraction and retaining customers in a competitive
market’, Strategic Direction, vol. 28. no. 1, pp. 17-20.
7. Shimp, T & Andrews, C 2013, Advertising promotion and other aspects of
integrated marketing, Taylor & Francis, Boston.

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