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Message from the CEO

04

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Dear Samsung Electronics Stakeholder:

Enriching brand value with astute marketing

In 2011, Samsung Electronics achieved record-breaking

Around the world, the Samsung Electronics brand is

sales despite the worldwide recession and increased

gaining strength and value. By launching judicious and

pressure from competitors. We realized sales revenue of

consistent marketing campaigns, particularly with sports

KRW 165 trillion and operating profit of KRW 16 trillion and

promotions and social contributions, we have elevated the

maintained a strong financial structure, with a liability ratio

brand. Our reputation and growth was confirmed by the

of 32.1% and capital adequacy ratio of 75.7%.



Interbrand Best 100 Global Brands 2011, which ranked
Samsung Electronics 17th, with an estimated brand value

Creating greater value brings
us closer to you

Robust performances across our business areas

of USD 23.4 billion.

Last year, we maintained strong synergy between our set



and component business areas while also expanding

brand by launching market-specific innovative products

market share with differentiated premium product lines in

that deliver new and exciting customer experiences. In

our core areas, including mobile phones, TVs and memory

addition, our sponsorships at the London 2012 Olympics

chips. Led by growth in the AP and sensor segments, we

will provide strong profile and brand power.


We expect to add further value to the Samsung

also saw good performances in our emerging business
lines, such as the System LSI Business.

Well loved by customers and partners alike



The vitality of the Samsung Electronics brand and products

The stellar Samsung GALAXY S II sold more than 10

million units worldwide, helping us to achieve the No. 1

comes from the continued trust and appreciation of our

global market share for smartphones. In addition, we

customers, from shared social values and our

sustained the top share in the worldwide TV market for the

companywide ethical principles. We believe in “shared

sixth year in a row. In the Memory Business, we developed

growth.” We establish programs and comply with laws and


a 20-nano-class product and expanded our line of highly

ethical standards that will safeguard healthy markets.

profitable products, such as DRAMs for mobile devices

Guided by “right path” management, we are committed to

and servers, again securing our No. 1 market share

making Samsung Electronics loved and respected by our

position.

customers and communities.





We expect to continue our dominance while

maintaining robust growth and performance.

In 2012, Samsung Electronics will continue to bring

greater value to our customers, communities and
employees. Our ultimate goal is to build more prosperity

From cutting-edge hardware to strengthened software


and a brighter future for everyone.

capability
Having achieved unmatched global competitiveness in



Thank you.

hardware, we have been focusing on enhancing our
software capabilities in user interface, user experience,
design and brand awareness.


Those efforts are paying off. Samsung Electronics

again won the German iF Design Awards and a total of
seven IDEA 2011 awards from the Industrial Designers
Society of America. We also ranked second on the list of
top US patent assignees, registering a total of 4,894
patents in 2011.


Looking ahead in 2012, we expect to further

enhance our software capabilities, develop additional
competitive business models and offer a trendsetting range
of content for business and consumer solutions and
services by building distinctive platforms and ecosystems.


Geesung Choi
Vice Chairman & CEO
Samsung Electronics



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