Kevin Nguyen
Colin Edwards
Mateus Carvalho
MG 495 - Business Policies
27 March 2025
Samsung: Strategic Business Practices Analysis
1. Mergers and Acquisitions
Samsung focuses more on acquisitions than mergers; however, it has engaged in
both strategies over the years. Acquisitions are more common for the company, as
Samsung frequently acquires other businesses to expand its technology portfolio, enhance
capabilities, and increase market reach. For example, in 2017, Samsung acquired Harman
International for $8 billion, which enabled the company to enter the automotive
technology industry. Another example is Samsung’s acquisition of Viv Labs, the artificial
intelligence company founded by the creators of Siri, which helped develop Samsung’s
own AI assistant, Bixby. While mergers are less frequent, Samsung has occasionally
merged internal business units or absorbed smaller companies within the broader
Samsung Group to streamline operations and increase efficiency.
2. Outsourcing and Offshoring
Samsung uses both outsourcing and offshoring as part of its global operations
strategy. In terms of outsourcing, Samsung contracts external suppliers to manufacture
specific components such as camera modules and plastic casings. This allows the
company to focus on its core technologies while reducing costs. Offshoring, on the other
Colin Edwards
Mateus Carvalho
MG 495 - Business Policies
27 March 2025
Samsung: Strategic Business Practices Analysis
1. Mergers and Acquisitions
Samsung focuses more on acquisitions than mergers; however, it has engaged in
both strategies over the years. Acquisitions are more common for the company, as
Samsung frequently acquires other businesses to expand its technology portfolio, enhance
capabilities, and increase market reach. For example, in 2017, Samsung acquired Harman
International for $8 billion, which enabled the company to enter the automotive
technology industry. Another example is Samsung’s acquisition of Viv Labs, the artificial
intelligence company founded by the creators of Siri, which helped develop Samsung’s
own AI assistant, Bixby. While mergers are less frequent, Samsung has occasionally
merged internal business units or absorbed smaller companies within the broader
Samsung Group to streamline operations and increase efficiency.
2. Outsourcing and Offshoring
Samsung uses both outsourcing and offshoring as part of its global operations
strategy. In terms of outsourcing, Samsung contracts external suppliers to manufacture
specific components such as camera modules and plastic casings. This allows the
company to focus on its core technologies while reducing costs. Offshoring, on the other
