New Product Development Argumentative Essay Example

crucial to evaluate if Samsung's product development approach aligns with customer requirements, employs collaborative teams, and adheres to a methodical process.

Samsung focuses on customer-centric product development, employing team-based and systematic approaches. The company prioritizes customer satisfaction and continuously strives to find groundbreaking solutions for their concerns. An excellent illustration of this strategy is Samsung's Luxia LED TV, which effectively tackled problems with size, image quality, and weight that were commonly experienced with competitor brands. By meeting customers' requirements and addressing their issues, this product provided a fulfilling experience for consumers.

The company is known for its team-based approach and dedication to producing top-quality products. The R;D department ensures that every new product passes the "Wow" test, emphasizing their commitment to excellence. This results in close collaboration between departments throughout the development process. Additionally, Samsung implements a systematic top-to-bottom strategy, promoting cooperation among various departments as they strive to become the leading brand.

It is creating more satisfying experiences for customers and is also a test of how Samsung reviews, evaluates, and manages new products. Samsung faces several challenges in managing its high-tech products based on the Product Life Cycle (PLC). After 17 years of remarkable success, Samsung's high-technology products are now in the decline stage. CEO Lee has mentioned that the current main products of the world's largest technology firm may likely become obsolete within the next 10 years.

To maintain innovation, the brand devised a $23 billion investment plan to stay ahead. If the newly launched product successfully satisfies the market and sales skyrocket, competitors may imitate it but attempt to differentiate it from Samsung. This would lead to

the product entering the maturity stage with declining sales, as numerous competitors offer similar products at much lower prices.

The possibility of Samsung having to reduce the price, intensify promotions and advertising for the product may result in a decrease in profit. This could subsequently lead to the decline phase, as the changing consumer preferences, advancements made by rival companies, etc., contribute to the decline stage. The consumer electronics industry is highly dynamic, continuously introducing new products and witnessing evolving customer preferences. Therefore, Lee acknowledges that achieving a prolonged state of maturity is unlikely in this industry.

Samsung, as a high growth company, faces the challenge of accurately determining when its products transition from growth to maturity and start declining. This poses difficulty for Samsung because product lines with limited growth potential can be problematic. Additionally, Samsung must develop and introduce successful products in the future. The question arises whether Samsung can achieve its goals in markets where it lacks dominance, such as the smartphone market. In my opinion, Samsung will definitely accomplish its objectives in these markets.

According to a case study, the Galaxy S, Samsung's newest high-tech smart phone, is available from over 100 mobile operators globally. This shows the brand's potential dominance in the market. Tim Baxter, the company's president, mentioned that the CEO has implemented the "mabunljungje" strategy in all future products (Kotler/Armstrong, p. 286). By allowing their smart phone to connect with TV, consumers are given access to a screen that is 25 times larger than their phone's screen.

The absence of any proposals for this idea indicates that the brand is on track to dominate

the smartphone category. Samsung's gradual introduction of an "app store" to compete with Apple and cable companies is a further step towards a future where phones and TVs merge. This move enables consumers to select apps that will determine the ads they receive. The fact that Samsung is heavily investing in this plan suggests its potential to become a leading product in an unfamiliar market.