In the 1980s, Samsung built its first large manufacturing facility and invested over $100 million in DRAM development. It created competition across global R&D sites and located manufacturing and R&D at a single site. By 2005, Samsung Group was the largest conglomerate in South Korea, focusing on developing cutting-edge memory products and high-value niche electronics.

2.  In 2005, Samsung Group was the largest
conglomerate in South Korea.
 Kun-hee lee, the chairman of the
Samsung group inheritage te position
from his father.

3.  In the mid 1980s, Samsung built its first
large manufacturing facility.
 It created unusual internal competition
across global R&D site.
 In 1983 to 1985, Samsung allocated more
than $100 million to DRAM development.
 Samsung put its manufacturing and
R&D’s in support of design firms.
 Samsung made R&D facility and all of its
fab lines were located at the single site

4.  Core
 Human Resource
 Distinctive
 Quality
 Raw material
 one site production facility

5.  To be the number one electronic
company in the world

6.  Invest in cutting edge memory product
 Samsung should cede the lower end of
the market to the Chinese
 Trying to develop more high-value niche
products

7.  Focus on one product
 Brand awareness
 Excellent after sales service
 Ensure high quality

8.  Investing in R&D
 Produce niche product and release it
 Invest in factories producing lower and
chips in China to be closer to Chinese
domestic growing market product
 Attract top Chinese engineers
 Set technical standards

9. Term of focus Example
Superior in quality i.e reliability of its products
Superior customer responsiveness i.e work with design firm
Superior efficiency i.e located may R&D facility and
fabs at a single site
Superior innovation i.e actively recruited foreign talent