QuestionQuestion

Read the Mini Case Study, "The Rise of Samsung Electronics".

Then answer the following questions in a 2 page essay:

What type of diversification does Samsung pursue?
What possible factors such as core competencies, economies of scale, and economies of scope might underlie its success as a diversified conglomerate?
Which do you consider its key success factors?

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In the most superficial and coarse-grained sense, Samsung has pursued—and achieved—the unrelated diversification of a conglomerate; with subsidiaries in “electronics, chemicals, shipbuilding, financial services, and construction” (Rothaermel, 2014, p. 437), and with such diversification extending to its research priorities—“LED lighting, solar panels, e-vehicle batteries, biotech drugs, and medical devices” (p. 438)—Samsung is an umbrella for a range of businesses which are unrelated. However, in an updated version of the case, Rothaermel...

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