View the article
Summary
Hyundai Asan expects to expand of its domestic construction business despite of whole economic slump. This time, Hyundai Asan has a big image through exclusive tour programs to Geumgang Mountain in generally. However, it has a risk because it was affected relations between South and North Korea. So they select construction business to avoid this risk, and its size of business has been increasing steadily. At last, it grow into similar level with North Korea tour programs.
They also expect that it will be the main business for Hyundai Asan, in the concrete it will be charge 45% of the total.
They were 135th ranking in construction contract in South Korea, however they hope to rise up to 110th.
Opinion
Hyundai is one of the biggest groups in Korea and diversification like Samsung, LG. Hyundai structure business can grow depending on restoration business in 1950s. And it was the first group which broke into overseas expansion.
Hyundai changed their main business recently from programs related North Korea such as Geumgang tour, and gaeseong to domestic contracture.
I thought it had both good and bad point for success factors. To tell the truth, many Koreans still have prejudice or worries against North Korea, and they have expectation that they can come and go directly at once.
They plan to build its own brand to enter apartment business. Above all, it needs to strength its image as superior Structure Company. I think LG is the most successful company and Hyndai Asan has to make the high level and luxury life imagination. And it has to reinforce their business by selecting and concentration.
# 20300194- Entry 14
(Ref: Koreaherald/ by Kim Yoon-mi / June 06, 2008 )
Friday, June 6, 2008
Wal-Mart’s new merchandising focus
Wal-Mart’s new merchandising focus
Article
http://www.newsweek.com/id/140253/page/1
Summary
Wal-mart has improved merchandise, customer service showed up in better-than expected sales. After the new merchandising of Wal-mart, much more customers opened their wallets and spent their government check a lot at wal-mart. Wal-mart’s company officer thought that its faster, cleaner and friendlier approach to merchandising is resonating with shoppers in this challenging economy. They also started “save money, live better” campaign begun a year ago. That meant an emphasis on low prices while focusing on a more edited selection in an attractive selling environment.
As we could guess from that, wal-mart are targeting on the people who carefully look for low price products. From that, wal-mart reported a 3.9 percent increase in same store sales which was much higher than the analysts’ survey. Wal-mart is also focusing on offering the lowest prices on such big brands. As they started new merchandising, they even care where they display the products emphasizing major brands. They also try to improve their services as they train their employees.
In my opinion, wal-mart’s new merchandising focus has increasing their sales. It was the appropriate to change their marketing. As they segment people who strongly care about the price when they purchase something, they focus on the low price as their marketing strategy. Positioning that, they tried many ways to appeal those kinds of people and finally succeeded. These days, segmentation and position are two of the important strategies and those are actually very required.
Article
http://www.newsweek.com/id/140253/page/1
Summary
Wal-mart has improved merchandise, customer service showed up in better-than expected sales. After the new merchandising of Wal-mart, much more customers opened their wallets and spent their government check a lot at wal-mart. Wal-mart’s company officer thought that its faster, cleaner and friendlier approach to merchandising is resonating with shoppers in this challenging economy. They also started “save money, live better” campaign begun a year ago. That meant an emphasis on low prices while focusing on a more edited selection in an attractive selling environment.
As we could guess from that, wal-mart are targeting on the people who carefully look for low price products. From that, wal-mart reported a 3.9 percent increase in same store sales which was much higher than the analysts’ survey. Wal-mart is also focusing on offering the lowest prices on such big brands. As they started new merchandising, they even care where they display the products emphasizing major brands. They also try to improve their services as they train their employees.
In my opinion, wal-mart’s new merchandising focus has increasing their sales. It was the appropriate to change their marketing. As they segment people who strongly care about the price when they purchase something, they focus on the low price as their marketing strategy. Positioning that, they tried many ways to appeal those kinds of people and finally succeeded. These days, segmentation and position are two of the important strategies and those are actually very required.
20700011 entry#14
LG, Samsung Ranked in World’s Most Respected
View the article
Summary
The Korean representative companies, LG Electroics and Samsung Electronics are chosen in the rating of World's most respected firms in Forbes Magzine. Forbes has done this research since 2006 and Toyota got the 1st place, followed by Google, IKEA, Johnson & Johnson, and so on.
They listed 200 firms and LGE and Samsung Electronics ranked 163(69.52) and 196(68.33). Top-ranker companies got over 80 point and the average of world was 64.2. This study can be obtained by only 60,000 domestic respondents. Especially, Samsung declines considerably in immorality of ownership.
Opinion
As mentioned in the summary, Samsung and LG are leading Korean economy and their role is significant because their group has a lot of effects on their cooperation firms. For example, Kumi, located in Kyungbuk, is the city of LG, and almost all the products are from the LG. Besides this, Samsung and LG are of importance.
However, according to the study, they still mark low score comparing world class company. Samsung is the biggest semi-conductor marker and LG is one of the largest manufacturer of display(LCD, PDP). Why do they stay that level? Can you convince it?
In my opinion, their company culture can be the problems. They relate to many other less powerful companies. They never think of the other view and thought and insist only their things. How do any companies respect them? Moreover, they can grow with help of the power of political authority even now. I think those two companies' proper place is below 100 and actually their financial scale is near it. In case of Samsung, ownership scandal is problematic so their recovery of morality is the only way to respect from other companies.
Summary
The Korean representative companies, LG Electroics and Samsung Electronics are chosen in the rating of World's most respected firms in Forbes Magzine. Forbes has done this research since 2006 and Toyota got the 1st place, followed by Google, IKEA, Johnson & Johnson, and so on.
They listed 200 firms and LGE and Samsung Electronics ranked 163(69.52) and 196(68.33). Top-ranker companies got over 80 point and the average of world was 64.2. This study can be obtained by only 60,000 domestic respondents. Especially, Samsung declines considerably in immorality of ownership.
Opinion
As mentioned in the summary, Samsung and LG are leading Korean economy and their role is significant because their group has a lot of effects on their cooperation firms. For example, Kumi, located in Kyungbuk, is the city of LG, and almost all the products are from the LG. Besides this, Samsung and LG are of importance.
However, according to the study, they still mark low score comparing world class company. Samsung is the biggest semi-conductor marker and LG is one of the largest manufacturer of display(LCD, PDP). Why do they stay that level? Can you convince it?
In my opinion, their company culture can be the problems. They relate to many other less powerful companies. They never think of the other view and thought and insist only their things. How do any companies respect them? Moreover, they can grow with help of the power of political authority even now. I think those two companies' proper place is below 100 and actually their financial scale is near it. In case of Samsung, ownership scandal is problematic so their recovery of morality is the only way to respect from other companies.
Original Data(Forbes) : Reputation Institute Global 200
#20300576 - Entry #13
(Ref. : Koreatimes, 6/6, By Jane Han Staff Reporter)
#20300576 - Entry #13
(Ref. : Koreatimes, 6/6, By Jane Han Staff Reporter)
Thursday, June 5, 2008
Wal-Mart - Pharmacy!
View the ArticleSummary
Wal Mart is no longer a retailing store for food only! Just like how Wal-Mart entered the food industry, it is taking its first step toward the pharmaceutical and health industry. Wal-Mart's CEO wants to provide the community with affordable, accessible, and efficient pharmacy, such as the $4 generic-drug program. Wal-Mart's slogan "Save Money, Live Better," is making the revenues to rise. As inflation is going on from food to all that can be bought in stores, many people rely on the affordable items, which can be found in Wal-Mart.
Already Wal-Mart's drug and health-care ventures are making a great profit. While the number of people concerned about health are increasing, Wal-Mart looks forward for a high rise of sales in this industry. Wal-mart challenges its competitors with "unbeatable prices," with its $4 drug program. Wal-Mart's competitors Target and Price Costco started a similar program, and now they all provide this service to their customer. Wal-Mart is not loosing any profits from this $4 drug. They are doing compared to the brand drugs it sells. Wal-Mart is providing low cost offerings to women's prescription, such as hormones deficiency, menopause, and breast cancer. A strategy to gain its women customers.
My Opinion
It is amazing to see that Wal-Mart is diving into another industry. As we all know, whatever Wal-Mart starts, it becomes the giant of that industry. With its slogan of "Everyday low price," and "Save Money, Live Better," people find it welcoming to see what they are ready to offer.
However, drug and health care industry is a different story. Drugs aren't any food or furniture or clothing that people buy easily. Drugs are for the sick and for cures. It is what we obtain to become healthy again. Wal-mart is providing a $4 generic drug program. Some may find this welcoming, $4 offer is very afforadble compared to other brand drugs like Tylenol or Advil. But its important that people do not look down on the quality because of its low price. Once people degrade the value of the drug offered in Wal-mart, they will lose trust.
Because drug and health-care products are important to gain the trust of the obtainer, they need to promote it well. Wal-Mart needs to portray to its consumer that not only does Wal-mart provide cheap drugs but also worthy and qualified products for the consumer's health and illnesses.
I think Wal-Mart did a great job starting a low cost offering for the women's. When we think about it, the majority of the people that purchases these drugs will be women. Once women gain the trust with Wal-Mart's offering in this industry, people will rely on it and become their loyal customers. I look forward to see how this new industry Wal-Mart jumped into will end with, and how BIG Wal-Mart can get in this sensitively dealt industry.
Entry #14
20600770
20600770
'Sex and the City' Gives Urbanites NY State of Mind
In Korea, western style dining has become a popular way of socializing, relaxing and dining in style. Because trendy American shows that have aired in Korea, introduced local consumers to new ways of spending money and enjoying life. It is not just food style; the fashion business is one of the biggest winners of the latest American show boom here. The number of online shopping malls, which work as purchase agents buying foreign-branded clothes and accessories unavailable in domestic stores, has soared from less than 10 in 2004 to almost 500 this year, according to market figures. Luxury shoe brands, such as Manolo Blahnik and Jimmy Choo, which were once unfamiliar to Korean shoppers, also got a good sales push from television exposure. Aside from the trendy show, Wentworth Miller starring in Fox's hit series ``Prison Break'' also demonstrated the business impact of American shows. Namyang Dairy Products says its sales of bottled French Cafe went up 20 to 30 percent following a Miller-led commercial campaign. In other words, Hollywood power is still going strong here
My opinion
Nowadays, Korean life style is changing a lot. Because of popular American TV series, many young ladies change their life style like the actress. They take after not only fancy accessories that appeared on TV, but also the character’s life style. Of course, life style between Korea and the USA is still different. However, it is getting closer, and the power which make closer is that kind of cultural contents. I think marketers get synergy if they mix the PPL, I introduced last week, with cultural contests. Above all, selling cultural contents are more powerful than selling just products. Korea can produce the best products; in fact lots of products are the first such as semiconductor and shipbuilding through high economic growth for last few decades. However we still have wide gap in cultural contents. Of course, we have made Korean wave among Asian country. But it is not power of marketing; it has relied on famous stars. We need to build up cultural power in order to spread our culture to all around world. As we don’t have natural recourses, therefore, what we develop lots of cultural contents is a way to alive completive world market
#20400251 #Entry14
Nowadays, Korean life style is changing a lot. Because of popular American TV series, many young ladies change their life style like the actress. They take after not only fancy accessories that appeared on TV, but also the character’s life style. Of course, life style between Korea and the USA is still different. However, it is getting closer, and the power which make closer is that kind of cultural contents. I think marketers get synergy if they mix the PPL, I introduced last week, with cultural contests. Above all, selling cultural contents are more powerful than selling just products. Korea can produce the best products; in fact lots of products are the first such as semiconductor and shipbuilding through high economic growth for last few decades. However we still have wide gap in cultural contents. Of course, we have made Korean wave among Asian country. But it is not power of marketing; it has relied on famous stars. We need to build up cultural power in order to spread our culture to all around world. As we don’t have natural recourses, therefore, what we develop lots of cultural contents is a way to alive completive world market
#20400251 #Entry14
Wednesday, June 4, 2008
Intel to release low-cost laptop in the West
기사보기
March 20, 2008 / Times Online / Jonathan Richards
Summary
Intel, the world's largest chip-maker, has said it will let Western consumers buy a low-cost laptop originally designed for poor children in the developing world.
The US technology giant said it would team up with PC makers to release a new version of its Classmate PC, which sells in developing countries for $285 (£144), in the US and Europe - possibly by Christmas.
Intel's new laptop, which has been trialled at schools in Texas, Oregon, and California, will join a string of low-cost computers to have entered Western markets in the past year. Asus's Eee PC, which retails for £215 in the UK, has been popular since going on sale at the end of last year, while Elonex, a British firm, last month unveiled a new cheap laptop called the One, which will cost just £99.
The main reason such machines are so cheap is that they run on open-source software such as Linux, meaning manufacturers don't have to pay licence fees to companies such as Microsoft. They also typically have smaller screens, run on older chips, and dispense with certain features, such as CD drives.
Opinion
Having a low-cost competency is important. If the product is not something luxury, it becomes more reasonable. Just 50 years ago, people who have computer were very little. However, most of people in US or Europe have their own computer and it is related with them very tightly. At the same time, developing countries like Africa, India have been having difficult time buying a computer because of its high cost. To take away these kinds of problems, Intel release low-cost laptop.
There is a report said customers consider about the social responsibility that a company does when they invest or buy the products. For example, some people spend more money for the products which are more environmental friendly. According to the article, Intel wanted to make cheap laptop because they want to make the poor buy computer easily. This can make the brand value high, and then it brings the increase of selling.
March 20, 2008 / Times Online / Jonathan Richards
Summary
Intel, the world's largest chip-maker, has said it will let Western consumers buy a low-cost laptop originally designed for poor children in the developing world.
The US technology giant said it would team up with PC makers to release a new version of its Classmate PC, which sells in developing countries for $285 (£144), in the US and Europe - possibly by Christmas.
Intel's new laptop, which has been trialled at schools in Texas, Oregon, and California, will join a string of low-cost computers to have entered Western markets in the past year. Asus's Eee PC, which retails for £215 in the UK, has been popular since going on sale at the end of last year, while Elonex, a British firm, last month unveiled a new cheap laptop called the One, which will cost just £99.
The main reason such machines are so cheap is that they run on open-source software such as Linux, meaning manufacturers don't have to pay licence fees to companies such as Microsoft. They also typically have smaller screens, run on older chips, and dispense with certain features, such as CD drives.
Opinion
Having a low-cost competency is important. If the product is not something luxury, it becomes more reasonable. Just 50 years ago, people who have computer were very little. However, most of people in US or Europe have their own computer and it is related with them very tightly. At the same time, developing countries like Africa, India have been having difficult time buying a computer because of its high cost. To take away these kinds of problems, Intel release low-cost laptop.
There is a report said customers consider about the social responsibility that a company does when they invest or buy the products. For example, some people spend more money for the products which are more environmental friendly. According to the article, Intel wanted to make cheap laptop because they want to make the poor buy computer easily. This can make the brand value high, and then it brings the increase of selling.
Student ID # 20500018
Entry # 14
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