How did Samsung become the world’s leading electronics corporation? The story of competition with iPhone

Tram Ho

Dailymail has just published an article on the formation and development of the No. 1 smartphone industry of Samsung. As a latecomer, Samsung has caught up with well-known Japanese electronics companies like Sony and then world-class. There are also interesting details in this article including competition with Apple, the introduction of the Galaxy name or the battery issue of the Galaxy Note 7.

The first and most notable marketing event was the appearance of Samsung phones at the 2014 Oscars at Dolby Theater. At that time, comedian Ellen DeGeneres was the chosen one, holding a Samsung smartphone in her hand, she approached actress Meryl Streep and had an idea to take a selfie together and share it on Twitter to break the record. retweet on this social network. After that, the two people invited many other actors including Bradley Cooper, Julia Roberts, Brad Pitt, Jolie … to take a picture together.


Ellen encountered an incident that she probably will remember forever. Because she was new to Samsung phones, she struggled with it and didn’t know how to take a perfect picture. Cooper, who was nearby, grabbed his phone and took a picture of Ellen with the picture of 7 Hollywood legends, who won 10 Oscars together and earned 9 billion USD. After only one hour of sharing, the photo has been retweeted more than 1 million times. By the next day, that number had increased to 3 million reshares. Thanks to that picture, Samsung’s Galaxy Note phone came to the world in the most eloquent way. That was the moment of Samsung.

This idea belongs to the big bosses at Samsung. At that time, they saw that actors who normally held iPhones in their hands and Apple naturally had the opportunity to advertise their phones naturally, by word of mouth, and more importantly, it was free. There was an idea, but Samsung also had to train Ellen, an acquaintance of the iPhone, to use Samsung’s phones for historical moments. The result is that fiscal quarter, Samsung sold 85 million smartphones, equal to LG, Lenovo, Huawei and Apple combined.

The story of the rivalry between Samsung and Apple dates to the early days of the modern smartphone market. For many years, Samsung was in charge of supplying parts for Apple to make iPhones. Then in 2010, the Galaxy S launched and was named the ‘iPhone killer’. Steve Jobs was also furious at the time, saying he wanted a nuclear war with Android, the platform that Samsung used. Apple also accused Samsung of copying the iPhone’s design and features. Not stopping, Samsung continues to launch many creative smartphones, including the Galaxy Note series with large screens and stylus. Apple then also had to increase the iPhone screen size to be bigger to compete.

“We have one purpose – to defeat Apple.”

Competitive action and see Apple as competitors appear every corner of the group. Trucks carrying fresh apples to the Samsung office were placed on the table where employees came to drink coffee and they were encouraged to take a bite of the apple. In fact, the fate and formation of the Samsung brand is tied to wars.

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I just saw a Samsung TV

Samsung founder Lee Byung-chul (BC Lee), opened a 1938 dried fish and vegetable shop called Samsung Sanghoe (a 3-star store) in South Korea, during the Japanese colonial period, provided food. Japanese products. Lee was charmed and then tried to copy the zaibatsu style (Japanese for prosperous group), which refers to the pillars of industrial and economic corporations of the Japanese empire.

In 1950, very wealthy Lee moved his headquarters to Seoul, South Korea, at the same time as the Korean War broke out. Throughout the war, the assets, employees and families of those who worked for Samsung were badly affected, but Lee was determined to rebuild the company thanks to his political connections and insights. By importing raw wool and making clothes, by the late 1950s, Lee was considered the richest man in Korea.

South Korea, from a poor agricultural country, has risen to become one of the most successful economies in the world after only two generations.

By the 1960s, Samsung’s business included banking, sugar mills, wool mills, insurance companies, shops and even Confucian University. After the corruption incident and forced to leave, Lee returned to Samsung at the time the group turned to electronics, opening its first factory in 1983. When Lee died in 1987, Samsung closed the gap with Japanese electronics giants, including Sony.


Lee Kun-hee, the son of BC Lee, was chosen to run the group, who had a lot of bad rumors and scandals but also contributed to the success of Samsung. Lee Kun-hee spends most of his free time at the track, his favorite car being the Porsche 911. “When driving at 320km / h you will find life very fragile. It keeps you on high alert and relieves stress effectively. ” Other rumors include him who is dependent on prescription drugs, has many off-line relationships and has 95 children. In a leaked video, Lee Kun-hee was found sitting on a chair watching TV and having 4 girls serving sex. Above all, Lee Kun-hee helped create the corporate culture within the group and there was a whole book of quotes based on his philosophy. Lee Kun-hee once said that missing talent is a crime.

‘Made in Korea’ was a joke then.

Lee realized the need for a revolutionary management. He learns from German car production lines, hires talented American technology designers and visits the Taj Mahal for inspiration. He told the managers about the Japanese shokunin skills, they were extremely sophisticated people who could put their hands in a bowl of dry rice and take out 250 grains, enough to make a piece of sushi. Another example, he compared electronics to bananas. “Nature is a talented designer,” he said. The banana fits in your pocket, it’s wrapped in a perfect crust, the color will tell us when it’s ripe. Now imagine you can design a product based on those principles. ” Thanks to Lee’s tireless efforts, Samsung rose to become a giant in the world’s electronics industry.

Samsung’s first high-end smartphone product, the Galaxy S, was launched in 2010, three years after the arrival of the iPhone. The Galaxy name was chosen after senior executives enjoyed a bottle of $ 95 California red wine, which was great. In 2011, Samsung surpassed Apple to become the No. 1 smartphone company in the world. But two years after the historic moment at the Oscars, they encounter a very serious incident that could bring Samsung to the brink of crisis. The Galaxy Note 7 debuted with great expectations but it encountered battery problems and troubles began to strike.


In many cases of fire and explosion, Samsung had to recall the device. Lawmakers and the public wait for an answer from Samsung. Samsung’s reputation has been severely affected, and airlines have banned passengers from carrying the Note 7 on board. Samsung wants people to believe the problem is with the battery, but they need to act quickly to prevent the brand from collapsing. Two weeks later, Samsung stopped selling and recalled 1 million of its 2.5 million units, making it the biggest brand disaster in history.

Scandal then closed. S8 launched in 2017 was successful and received much love from users. A few months later, Samsung surpassed Apple to become the world’s most profitable technology company with $ 12.1 billion in the second quarter of 2017.

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Source : Techtalk