Samsung Group
Encyclopedia
The Samsung Group is a South Korean multinational
conglomerate corporation
headquartered in Samsung Town, Seoul
, South Korea
. It comprises numerous international affiliated business
es, most of them united under the Samsung brand.
Notable Samsung Group industrial subsidiaries include Samsung Electronics
(the world's largest information technology company measured by 2010 revenues), Samsung Heavy Industries
(the world's second-largest shipbuilder measured by 2010 revenues), and Samsung Engineering
and Samsung C&T (respectively the world's 35th- and 72nd-largest construction companies). Other notable subsidiaries include Samsung Life Insurance
(the world's 14th-largest insurance company), Samsung Securities, Samsung SDS, Samsung Everland (the oldest theme park in South Korea), Cheil Worldwide (the world's 19th-largest advertising agency measured by 2010 revenues) and Shilla Hotel
.
Samsung Group produces around a fifth of South Korea's total exports and its revenues are larger than many countries' GDP; in 2006, it would have been the world's 35th-largest economy. In many South Korean industries Samsung Group enjoys a monopoly position. The company has a powerful influence on South Korea's economic development, politics, media and culture, and has been a major driving force behind the "Miracle on the Han River
". Many businesses today use Samsung's international success as a role model.
hanja
word Samsung is "tristar" or "three stars".
The word "three" represents something "big, numerous and powerful"; the "stars" mean eternity
.
In 1938, Lee Byung-chull (1910–1987) of a large landowning family in the Uiryeong
county came to the nearby Daegu
city and founded Samsung Sanghoe (삼성상회), a small trading company with forty employees located in Su-dong (now Ingyo-dong). It dealt in groceries produced in and around the city and produced noodles itself. The company prospered and Lee moved its head office to Seoul in 1947. When the Korean War
broke out, however, he was forced to leave Seoul and started a sugar refinery in Busan
as a name of Cheil Jedang. After the war, in 1954, Lee founded Cheil Mojik
and built the plant in Chimsan-dong, Daegu. It was the largest woolen mill ever in the country and the company took on an aspect of a major company.
Samsung diversified into many areas and Lee sought to establish Samsung as an industry leader in a wide range of enterprises, moving into businesses such as insurance, securities, and retail. Lee placed great importance on industrialization, and focused his economic development strategy on a handful of large domestic conglomerates, protecting them from competition and assisting them financially. He later banned several foreign companies from selling consumer electronics in South Korea in order to protect Samsung from foreign competition.
In the late 1960s, Samsung Group entered into the electronics industry. It formed several electronics-related divisions, such as Samsung Electronics Devices Co., Samsung Electro-Mechanics Co., Samsung Corning Co., and Samsung Semiconductor & Telecommunications Co., and made the facility in Suwon
. Its first product was a black-and-white television set. In 1980, the company acquired Hanguk Jeonja Tongsin in Gumi, and started to build telecommunication devices. Its early products were switchboards. The facility were developed into the telephone and fax manufacturing systems and became the centre of Samsung's mobile phone manufacturing. They have produced over 800 million mobile phones to date. The company grouped them together under Samsung Electronics Co., Ltd. in the 1980s.
In the late 1980s and early 1990s, Samsung Electronics invested heavily in research and development, investments that were pivotal in pushing the company to the forefront of the global electronics industry. In 1982, it built a television assembly plant in Portugal; in 1984, a plant in New York; in 1985, a plant in Tokyo; in 1987, a facility in England
; and another facility in Austin
in 1996. In total, Samsung has invested about $5.6 billion in the Austin location – by far the largest foreign investment in Texas
and one of the largest single foreign investments in the United States
. The new investment will bring the total Samsung investment in Austin to more than $9 billion.
Samsung started to rise as an international corporation in the 1990s. Samsung's construction branch was awarded a contract to build one of the two Petronas Towers in Malaysia, Taipei 101
in Taiwan
and the Burj Khalifa in United Arab Emirates
. In 1993, Lee Kun-hee
sold off ten of Samsung Group's subsidiaries, downsized the company, and merged other operations to concentrate on three industries: electronics, engineering, and chemicals. In 1996, the Samsung Group reacquired the Sungkyunkwan University
foundation.
Compared to other major Korean companies, Samsung survived the 1997 Asian financial crisis relatively unharmed. However, Samsung Motor was sold to Renault
at a significant loss. , Renault Samsung is 80.1 percent owned by Renault
and 19.9 percent owned by Samsung. Additionally, Samsung manufactured a range of aircraft
from the 1980s to 1990s. The company was founded in 1999 as Korea Aerospace Industries (KAI), the result of merger between then three domestic major aerospace
divisions of Samsung Aerospace, Daewoo Heavy Industries, and Hyundai Space and Aircraft Company. However, Samsung still manufactures aircraft engines and gas turbines.
Samsung Techwin has been the sole supplier of a combustor module of the Trent 900 engine of the Rolls-Royce
Airbus A380
-The largest passenger airliner in the world- since 2001. Samsung Techwin of Korea is a revenue-sharing participant in the Boeing
's 787 Dreamliner GEnx engine program.
Samsung became the largest producer of memory chips in the world in 1992, and is the world's second-largest chipmaker after Intel (see Worldwide Top 20 Semiconductor Market Share Ranking Year by Year
).
In 1995, it built its first liquid-crystal display
screen. Ten years later, Samsung grew to be the world's largest manufacturer of liquid-crystal display panels. Sony
, which had not invested in large-size TFT-LCD
s, contacted Samsung to cooperate, and, in 2006, S-LCD
was established as a joint venture between Samsung and Sony in order to provide a stable supply of LCD panels for both manufacturers. S-LCD
is owned by Samsung (50% plus 1 share) and Sony (50% minus 1 share) and operates its factories and facilities in Tangjung, South Korea.
Samsung Electronics overtook Sony
as one of the world's most popular consumer electronics brands in 2004 and 2005, and is now ranked #19 in the world overall. In Q3 of 2011, Samsung has overtaken Apple to become the World's Largest Smartphone maker.
SCTV
and Indosiar
are subsidiary of Surya Citra Media that owned by Samsung. In 2011, SCTV and Indosiar will merger and given stake by Samsung.
According to the FTC(Fair Trade Commission) data as of April 1, 2011, the number of Samsung Group’s affiliates increased 32.1 percent to 78 from 59 in 2008. Samsung has also been listed among the top 10 most trusted brands in India by The Brand Trust Report
India Study.
! style="text-align:left; background:#acc;"|Company
! style="text-align:left; background:#acc;"|Symbol
! style="text-align:left; background:#acc;"|Company
! style="text-align:left; background:#acc;"|Symbol
|-
| SAMSUNG Corporation || 000830 || Shilla Hotels and Resorts || 008770
|-
| SAMSUNG Securities|| 016360 || SAMSUNG Fine Chemicals || 004000
|-
| SAMSUNG SDI || 006400 || SI Corporation || 012750
|-
| SAMSUNG Electro-Mechanics ||009150 || SAMSUNG Fire & Marine Insurance || 000810
|-
| SAMSUNG Engineering || 028050 || SAMSUNG Electronics || 005930
|-
| SAMSUNG Techwin ||012450 || Samsung Life Insurance || 032830
|-
| Cheil Industries|| 001300 ||SAMSUNG Card || 029780
|-
| SAMSUNG Heavy Industries ||010140 ||Cheil Worldwide || 030000
|-
| Imarket Korea || 122900 || Credu || 067280
|-
| Ace Digitech ||036550 || ||
|-
In FY 2009, Samsung Group had a revenue of 220 trillion KRW
($$172.5 billion), financial results are based on parent companies. In FY 2010, Samsung reported 280 trillion KRW($258 billion) worth of revenue, and 30 trillion KRW($27.6 billion) profit.(* Based upon a KRW=USD exchange rate of 1,084.5KRW per USD, the spot rate ) However, they also do not contain the revenues of overseas subsidiaries, and no one knows about real revenues.
In 1948, Cho Hong-jai (the Hyosung group’s founder) jointly invested in a new company called Samsung Mulsan Gongsa (삼성물산공사), or the Samsung Trading Corporation, with the Samsung Group founder Lee Byung-chull. The trading firm grew to become the present-day Samsung C&T Corporation. But after some years Cho and Lee parted ways due to some differences in management between the two men. He wanted to get up to a 30% group share. After settlement, Samsung Group was separated into Samsung Group and Hyosung
Group, Hankook Tire
...etc.
Second partition (1990s)
After founder's death, Samsung Group was separated into Samsung Group and three other conglomerates - Shinsegae Group, CJ Group and Hansol Group. Shinsegae (discount store, department store) was originally part of Samsung Group, separated in the 1990s from the Samsung Group along with CJ Group (Food/Chemicals/Entertainment/logistics) and the Hansol Group (Paper/Telecom). The brand-new Shinsengae Centumcity Department Store is now officially recognized by Guinness World Records
as the largest department store in the world. Today these separated groups are independent and they are not part of or connected to the Samsung Group. One Hansol Group representative said, "Only people ignorant of the laws governing the business world could believe something so absurd," adding, "When Hansol separated from the Samsung Group in 1991, it severed all payment guarantees and share-holding ties with Samsung affiliates." One Hansol Group source asserted, "Hansol, Shinsegae, and CJ have been under independent management since their respective separations from the Samsung Group." One Shinsegae Department Store executive director said, "Shinsegae has no payment guarantees associated with the Samsung Group."
Rollei
– Swiss watch battle
Fokker
, a Dutch aircraft maker
AST Research
Samsung was forced to close the California-based computer maker after a mass defection of research talent and a string of losses.
FUBU
clothing and apparel – a rare case of success
Lehman Brothers Holdings’ Asian operations
Grandis Inc. - memory developer
United Arab Emirates government
Ontario government
and written by Walter Werzowa
using the notes E♭, A♭, D♭, E♭ .
, their nonprofit medical organization.
The Samsung Medical Center (Korean: 삼성의료원) is composed of Samsung Seoul Hospital (Korean: 삼성서울병원), Kangbook Samsung Hospital (Korean: 강북삼성병원), Samsung Changwon Hospital (Korean: 삼성창원병원), Samsung Cancer Center (Korean:삼성암센터) and Samsung Life Sciences Research Center (Korean: 삼성생명과학연구소). Samsung Cancer Center located in Seoul, is the largest cancer center in Asia. Samsung Medical Center and Pfizer
to Conduct Joint Research to Identify Genomic Mechanisms Responsible for Clinical Outcomes in Hepatocellular Carcinoma.
Samsung was instrumental in bringing the 2018 Winter Olympics
to Pyeongchang. In December 2009, the former chairman of Samsung, Lee Kun-hee
, was pardoned in order that he could return to the International Olympics Committee and help South Korea bid for the 2018 Winter Olympics in Pyeongchang. He had previously been convicted of tax evasion in 2008 and had been part of two failed bids to bring the Olympics to South Korea.
During this bid, Lee Kun-hee and figure skating gold medalist Kim Yuna lobbied heavily for support; it was thought that Lee's influence would help to secure the bid. On July 6 2011, it was announced that Pyeongchang would be the location of the 2018 Winter Games. Samsung C&T Corporation will be among the top tier of firms competing for construction projects for the games.
Multinational corporation
A multi national corporation or enterprise , is a corporation or an enterprise that manages production or delivers services in more than one country. It can also be referred to as an international corporation...
conglomerate corporation
Conglomerate (company)
A conglomerate is a combination of two or more corporations engaged in entirely different businesses that fall under one corporate structure , usually involving a parent company and several subsidiaries. Often, a conglomerate is a multi-industry company...
headquartered in Samsung Town, Seoul
Seoul
Seoul , officially the Seoul Special City, is the capital and largest metropolis of South Korea. A megacity with a population of over 10 million, it is the largest city proper in the OECD developed world...
, South Korea
South Korea
The Republic of Korea , , is a sovereign state in East Asia, located on the southern portion of the Korean Peninsula. It is neighbored by the People's Republic of China to the west, Japan to the east, North Korea to the north, and the East China Sea and Republic of China to the south...
. It comprises numerous international affiliated business
Business
A business is an organization engaged in the trade of goods, services, or both to consumers. Businesses are predominant in capitalist economies, where most of them are privately owned and administered to earn profit to increase the wealth of their owners. Businesses may also be not-for-profit...
es, most of them united under the Samsung brand.
Notable Samsung Group industrial subsidiaries include Samsung Electronics
Samsung Electronics
Samsung Electronics is a South Korean multinational electronics and information technology company headquartered in Samsung Town, Seoul...
(the world's largest information technology company measured by 2010 revenues), Samsung Heavy Industries
Samsung Heavy Industries
Samsung Heavy Industries or SHI is one of the largest shipbuilders in the world and one of the "Big Three" shipbuilders of South Korea...
(the world's second-largest shipbuilder measured by 2010 revenues), and Samsung Engineering
Samsung Engineering
Samsung Engineering Co., Ltd. was founded as the first engineering firm in Korea in 1970 and has its headquarters based in Seoul, South Korea. As an engineering, procurement and construction company, it provides a full range of engineering services including feasibility studies, design,...
and Samsung C&T (respectively the world's 35th- and 72nd-largest construction companies). Other notable subsidiaries include Samsung Life Insurance
Samsung Life Insurance
Samsung Life Insurance is a multinational insurance company headquartered in Seoul, South Korea, and a subsidiary of the Samsung Group. It is the largest insurance company in South Korea and a Fortune Global 500 company....
(the world's 14th-largest insurance company), Samsung Securities, Samsung SDS, Samsung Everland (the oldest theme park in South Korea), Cheil Worldwide (the world's 19th-largest advertising agency measured by 2010 revenues) and Shilla Hotel
Shilla Hotel
The Shilla is a South Korean operator of luxury hotels and duty free shops. It is a member of The Leading Hotels of the World.Man-Soo Lee is the current General Manager and CEO of The Shilla.-History:...
.
Samsung Group produces around a fifth of South Korea's total exports and its revenues are larger than many countries' GDP; in 2006, it would have been the world's 35th-largest economy. In many South Korean industries Samsung Group enjoys a monopoly position. The company has a powerful influence on South Korea's economic development, politics, media and culture, and has been a major driving force behind the "Miracle on the Han River
Miracle on the Han River
Miracle on the Han River refers to South Korea's highly accelerated export-fueled economic growth, including rapid industrialization, technological achievement, education boom, exponential rise in living standards, rapid urbanization, skyscraper boom, modernization, successful hosting of the 1988...
". Many businesses today use Samsung's international success as a role model.
Etymology
According to the founder of Samsung Group, the meaning of the KoreanKorean language
Korean is the official language of the country Korea, in both South and North. It is also one of the two official languages in the Yanbian Korean Autonomous Prefecture in People's Republic of China. There are about 78 million Korean speakers worldwide. In the 15th century, a national writing...
hanja
Hanja
Hanja is the Korean name for the Chinese characters hanzi. More specifically, it refers to those Chinese characters borrowed from Chinese and incorporated into the Korean language with Korean pronunciation...
word Samsung is "tristar" or "three stars".
The word "three" represents something "big, numerous and powerful"; the "stars" mean eternity
Eternity
While in the popular mind, eternity often simply means existence for a limitless amount of time, many have used it to refer to a timeless existence altogether outside time. By contrast, infinite temporal existence is then called sempiternity. Something eternal exists outside time; by contrast,...
.
History
Uiryeong
Uiryeong County is a county in Gyeongsangnam-do, South Korea. It is one of the least populated counties in Korea.In 1938, Uiryeong native Lee Byung-chull founded Samsung Group in nearby Daegu....
county came to the nearby Daegu
Daegu
Daegu , also known as Taegu, and officially the Daegu Metropolitan City, is a city in South Korea, the fourth largest after Seoul, Busan, and Incheon, and the third largest metropolitan area in the country with over 2.5 million residents. The city is the capital and principal city of the...
city and founded Samsung Sanghoe (삼성상회), a small trading company with forty employees located in Su-dong (now Ingyo-dong). It dealt in groceries produced in and around the city and produced noodles itself. The company prospered and Lee moved its head office to Seoul in 1947. When the Korean War
Korean War
The Korean War was a conventional war between South Korea, supported by the United Nations, and North Korea, supported by the People's Republic of China , with military material aid from the Soviet Union...
broke out, however, he was forced to leave Seoul and started a sugar refinery in Busan
Busan
Busan , formerly spelled Pusan is South Korea's second largest metropolis after Seoul, with a population of around 3.6 million. The Metropolitan area population is 4,399,515 as of 2010. It is the largest port city in South Korea and the fifth largest port in the world...
as a name of Cheil Jedang. After the war, in 1954, Lee founded Cheil Mojik
Cheil Industries
- History :* 1954 Established Cheil Woolen Fabrics Industries* 1961 Exported 3,000 pounds of Jangmi brand carded wool to Hong Kong first* 1965 Obtained a Korean license for Wool Mark from I.W.S.* 1972 Established Cheil Synthetic Fiber...
and built the plant in Chimsan-dong, Daegu. It was the largest woolen mill ever in the country and the company took on an aspect of a major company.
Samsung diversified into many areas and Lee sought to establish Samsung as an industry leader in a wide range of enterprises, moving into businesses such as insurance, securities, and retail. Lee placed great importance on industrialization, and focused his economic development strategy on a handful of large domestic conglomerates, protecting them from competition and assisting them financially. He later banned several foreign companies from selling consumer electronics in South Korea in order to protect Samsung from foreign competition.
In the late 1960s, Samsung Group entered into the electronics industry. It formed several electronics-related divisions, such as Samsung Electronics Devices Co., Samsung Electro-Mechanics Co., Samsung Corning Co., and Samsung Semiconductor & Telecommunications Co., and made the facility in Suwon
Suwon
Suwon is the provincial capital of Gyeonggi-do, South Korea. A major city of over a million inhabitants, Suwon lies approximately south of Seoul. It is traditionally known as "The City of Filial Piety"....
. Its first product was a black-and-white television set. In 1980, the company acquired Hanguk Jeonja Tongsin in Gumi, and started to build telecommunication devices. Its early products were switchboards. The facility were developed into the telephone and fax manufacturing systems and became the centre of Samsung's mobile phone manufacturing. They have produced over 800 million mobile phones to date. The company grouped them together under Samsung Electronics Co., Ltd. in the 1980s.
England
England is a country that is part of the United Kingdom. It shares land borders with Scotland to the north and Wales to the west; the Irish Sea is to the north west, the Celtic Sea to the south west, with the North Sea to the east and the English Channel to the south separating it from continental...
; and another facility in Austin
Austin
Austin is the capital of the U.S. state of Texas.Austin may also refer to:-In the United States:*Austin, Arkansas*Austin, Colorado*Austin, Chicago, Illinois*Austin, Indiana*Austin, Minnesota*Austin, Nevada*Austin, Oregon...
in 1996. In total, Samsung has invested about $5.6 billion in the Austin location – by far the largest foreign investment in Texas
Texas
Texas is the second largest U.S. state by both area and population, and the largest state by area in the contiguous United States.The name, based on the Caddo word "Tejas" meaning "friends" or "allies", was applied by the Spanish to the Caddo themselves and to the region of their settlement in...
and one of the largest single foreign investments in the United States
United States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
. The new investment will bring the total Samsung investment in Austin to more than $9 billion.
Samsung started to rise as an international corporation in the 1990s. Samsung's construction branch was awarded a contract to build one of the two Petronas Towers in Malaysia, Taipei 101
Taipei 101
Taipei 101 , formerly known as the Taipei World Financial Center, is a landmark skyscraper located in Xinyi District, Taipei, Taiwan. The building ranked officially as the world's tallest from 2004 until the opening of the Burj Khalifa in Dubai in 2010...
in Taiwan
Taiwan
Taiwan , also known, especially in the past, as Formosa , is the largest island of the same-named island group of East Asia in the western Pacific Ocean and located off the southeastern coast of mainland China. The island forms over 99% of the current territory of the Republic of China following...
and the Burj Khalifa in United Arab Emirates
United Arab Emirates
The United Arab Emirates, abbreviated as the UAE, or shortened to "the Emirates", is a state situated in the southeast of the Arabian Peninsula in Western Asia on the Persian Gulf, bordering Oman, and Saudi Arabia, and sharing sea borders with Iraq, Kuwait, Bahrain, Qatar, and Iran.The UAE is a...
. In 1993, Lee Kun-hee
Lee Kun-hee
Lee Kun-hee is Chairman of Samsung Electronics. He resigned on April 21, 2008 owing to Samsung Slush funds scandal, but returned on March 24, 2010. Lee has a degree in economics from Waseda University in Tokyo and attended an MBA course at George Washington University in the United States in 1966...
sold off ten of Samsung Group's subsidiaries, downsized the company, and merged other operations to concentrate on three industries: electronics, engineering, and chemicals. In 1996, the Samsung Group reacquired the Sungkyunkwan University
Sungkyunkwan University
Sungkyunkwan University is a private university in Seoul and Suwon, South Korea. The university has two campuses: the Humanities and Social Sciences campus in Myeongnyun Dong, Jongno-gu in central Seoul, and the Natural Sciences Campus in Cheoncheon Dong, Jangan Gu, Suwon...
foundation.
Compared to other major Korean companies, Samsung survived the 1997 Asian financial crisis relatively unharmed. However, Samsung Motor was sold to Renault
Renault
Renault S.A. is a French automaker producing cars, vans, and in the past, autorail vehicles, trucks, tractors, vans and also buses/coaches. Its alliance with Nissan makes it the world's third largest automaker...
at a significant loss. , Renault Samsung is 80.1 percent owned by Renault
Renault
Renault S.A. is a French automaker producing cars, vans, and in the past, autorail vehicles, trucks, tractors, vans and also buses/coaches. Its alliance with Nissan makes it the world's third largest automaker...
and 19.9 percent owned by Samsung. Additionally, Samsung manufactured a range of aircraft
Aircraft
An aircraft is a vehicle that is able to fly by gaining support from the air, or, in general, the atmosphere of a planet. An aircraft counters the force of gravity by using either static lift or by using the dynamic lift of an airfoil, or in a few cases the downward thrust from jet engines.Although...
from the 1980s to 1990s. The company was founded in 1999 as Korea Aerospace Industries (KAI), the result of merger between then three domestic major aerospace
Aerospace
Aerospace comprises the atmosphere of Earth and surrounding space. Typically the term is used to refer to the industry that researches, designs, manufactures, operates, and maintains vehicles moving through air and space...
divisions of Samsung Aerospace, Daewoo Heavy Industries, and Hyundai Space and Aircraft Company. However, Samsung still manufactures aircraft engines and gas turbines.
Samsung Techwin has been the sole supplier of a combustor module of the Trent 900 engine of the Rolls-Royce
Rolls-Royce plc
Rolls-Royce Group plc is a global power systems company headquartered in the City of Westminster, London, United Kingdom. It is the world’s second-largest maker of aircraft engines , and also has major businesses in the marine propulsion and energy sectors. Through its defence-related activities...
Airbus A380
Airbus A380
The Airbus A380 is a double-deck, wide-body, four-engine jet airliner manufactured by the European corporation Airbus, a subsidiary of EADS. It is the largest passenger airliner in the world. Due to its size, many airports had to modify and improve facilities to accommodate it...
-The largest passenger airliner in the world- since 2001. Samsung Techwin of Korea is a revenue-sharing participant in the Boeing
Boeing
The Boeing Company is an American multinational aerospace and defense corporation, founded in 1916 by William E. Boeing in Seattle, Washington. Boeing has expanded over the years, merging with McDonnell Douglas in 1997. Boeing Corporate headquarters has been in Chicago, Illinois since 2001...
's 787 Dreamliner GEnx engine program.
Worldwide Top 20 Semiconductor Market Share Ranking Year by Year
This article lists the top 10~25 largest semiconductor companies by sales leaders since 1987.* The article ranks two types of semiconductor companies mixing them in one list:...
).
In 1995, it built its first liquid-crystal display
Liquid crystal display
A liquid crystal display is a flat panel display, electronic visual display, or video display that uses the light modulating properties of liquid crystals . LCs do not emit light directly....
screen. Ten years later, Samsung grew to be the world's largest manufacturer of liquid-crystal display panels. Sony
Sony
, commonly referred to as Sony, is a Japanese multinational conglomerate corporation headquartered in Minato, Tokyo, Japan and the world's fifth largest media conglomerate measured by revenues....
, which had not invested in large-size TFT-LCD
TFT LCD
Thin film transistor liquid crystal display is a variant of liquid crystal display which uses thin-film transistor technology to improve image quality . TFT LCD is one type of Active matrix LCD, though all LCD-screens are based on TFT active matrix addressing...
s, contacted Samsung to cooperate, and, in 2006, S-LCD
S-LCD
S-LCD Corporation is a joint venture between the South Korean Samsung Electronics Co. Ltd and Japanese Sony Corporation established in April 2004 in Chungcheongnam-do, South Korea....
was established as a joint venture between Samsung and Sony in order to provide a stable supply of LCD panels for both manufacturers. S-LCD
S-LCD
S-LCD Corporation is a joint venture between the South Korean Samsung Electronics Co. Ltd and Japanese Sony Corporation established in April 2004 in Chungcheongnam-do, South Korea....
is owned by Samsung (50% plus 1 share) and Sony (50% minus 1 share) and operates its factories and facilities in Tangjung, South Korea.
Samsung Electronics overtook Sony
Sony
, commonly referred to as Sony, is a Japanese multinational conglomerate corporation headquartered in Minato, Tokyo, Japan and the world's fifth largest media conglomerate measured by revenues....
as one of the world's most popular consumer electronics brands in 2004 and 2005, and is now ranked #19 in the world overall. In Q3 of 2011, Samsung has overtaken Apple to become the World's Largest Smartphone maker.
SCTV
SCTV (Indonesia)
Surya Citra Televisi is an Indonesian television station. Its headquarters are in South Jakarta. It began broadcasting on 24 August 1990 in Surabaya, East Java, broadcasting only to the city and surrounding area. At this point the programming was similar to that of RCTI and used some of their news...
and Indosiar
Indosiar
Indosiar is a publicly owned national television station in Indonesia, and has been operating from West Jakarta since 1994. It was listed on the Indonesian Stock Exchange in 2004. Citibank Singapore has an 8.5 percent shareholding...
are subsidiary of Surya Citra Media that owned by Samsung. In 2011, SCTV and Indosiar will merger and given stake by Samsung.
According to the FTC(Fair Trade Commission) data as of April 1, 2011, the number of Samsung Group’s affiliates increased 32.1 percent to 78 from 59 in 2008. Samsung has also been listed among the top 10 most trusted brands in India by The Brand Trust Report
The Brand Trust Report
The Brand Trust Report, India Study, 2011 is published by Trust Research Advisory . The book is a result of a syndicated primary research on Brand Trust that generated 10,00,000 data points and 16,000 unique brands from over 10,000 hours of fieldwork conducted in 9 cities TRA’s study partners in...
India Study.
- Number of unlisted companies within the group : 59
- Number of listed companies within the group : 19(KOSPIKOSPIThe Korea Composite Stock Price Index or KOSPI is the index of all common stocks traded on the Stock Market Division—previously, Korea Stock Exchange—of the Korea Exchange....
-listed firms)
! style="text-align:left; background:#acc;"|Company
! style="text-align:left; background:#acc;"|Symbol
! style="text-align:left; background:#acc;"|Company
! style="text-align:left; background:#acc;"|Symbol
|-
| SAMSUNG Corporation || 000830 || Shilla Hotels and Resorts || 008770
|-
| SAMSUNG Securities|| 016360 || SAMSUNG Fine Chemicals || 004000
|-
| SAMSUNG SDI || 006400 || SI Corporation || 012750
|-
| SAMSUNG Electro-Mechanics ||009150 || SAMSUNG Fire & Marine Insurance || 000810
|-
| SAMSUNG Engineering || 028050 || SAMSUNG Electronics || 005930
|-
| SAMSUNG Techwin ||012450 || Samsung Life Insurance || 032830
|-
| Cheil Industries|| 001300 ||SAMSUNG Card || 029780
|-
| SAMSUNG Heavy Industries ||010140 ||Cheil Worldwide || 030000
|-
| Imarket Korea || 122900 || Credu || 067280
|-
| Ace Digitech ||036550 || ||
|-
Veiled revenue
Consolidated revenue is the sum of the revenues perceived by the company and the revenues from its subsidiaries all together.In FY 2009, Samsung Group had a revenue of 220 trillion KRW
South Korean won
The won is the currency of South Korea. A single won is divided into 100 jeon, the monetary subunit. The jeon is no longer used for everyday transactions, and appears only in foreign exchange rates...
($$172.5 billion), financial results are based on parent companies. In FY 2010, Samsung reported 280 trillion KRW($258 billion) worth of revenue, and 30 trillion KRW($27.6 billion) profit.(* Based upon a KRW=USD exchange rate of 1,084.5KRW per USD, the spot rate ) However, they also do not contain the revenues of overseas subsidiaries, and no one knows about real revenues.
Partitions of Samsung Group
First partition (1966)In 1948, Cho Hong-jai (the Hyosung group’s founder) jointly invested in a new company called Samsung Mulsan Gongsa (삼성물산공사), or the Samsung Trading Corporation, with the Samsung Group founder Lee Byung-chull. The trading firm grew to become the present-day Samsung C&T Corporation. But after some years Cho and Lee parted ways due to some differences in management between the two men. He wanted to get up to a 30% group share. After settlement, Samsung Group was separated into Samsung Group and Hyosung
Hyosung
Hyosung Corporation is a Korean industrial conglomerate , founded in 1957. It operates in various fields, including the chemical industry, industrial machinery, IT, trade, and construction. It is known in Korea mostly for high-end apartments and automatic teller machines. Its CEO is S.R. Cho...
Group, Hankook Tire
Hankook Tire
The Hankook Tire group, based in Seoul, South Korea is the seventh largest tire company in the world. Established in 1941 as the Chosun Tire Company, it was renamed Hankook Tire Manufacturing in 1968....
...etc.
Second partition (1990s)
After founder's death, Samsung Group was separated into Samsung Group and three other conglomerates - Shinsegae Group, CJ Group and Hansol Group. Shinsegae (discount store, department store) was originally part of Samsung Group, separated in the 1990s from the Samsung Group along with CJ Group (Food/Chemicals/Entertainment/logistics) and the Hansol Group (Paper/Telecom). The brand-new Shinsengae Centumcity Department Store is now officially recognized by Guinness World Records
Guinness World Records
Guinness World Records, known until 2000 as The Guinness Book of Records , is a reference book published annually, containing a collection of world records, both human achievements and the extremes of the natural world...
as the largest department store in the world. Today these separated groups are independent and they are not part of or connected to the Samsung Group. One Hansol Group representative said, "Only people ignorant of the laws governing the business world could believe something so absurd," adding, "When Hansol separated from the Samsung Group in 1991, it severed all payment guarantees and share-holding ties with Samsung affiliates." One Hansol Group source asserted, "Hansol, Shinsegae, and CJ have been under independent management since their respective separations from the Samsung Group." One Shinsegae Department Store executive director said, "Shinsegae has no payment guarantees associated with the Samsung Group."
Acquisitions
Samsung has been notoriously wary of such expansion since its unsuccessful purchase of companies in the late 1990s. Samsung, which has mainly focused on organic growth, has made no major acquisitions in past 10 years.Rollei
Rollei
Rollei is a German manufacturer of optical goods founded in 1920 by Paul Franke and Reinhold Heidecke in Braunschweig, Lower Saxony, and maker of the Rolleiflex and Rolleicord series of cameras...
– Swiss watch battle
- Samsung TechwinSamsung TechwinSamsung Techwin is a surveillance, aeronautics, optoelectronics, automations and defense company. It is a subsidiary of Samsung Group. The company employs 4720 employees and is headquartered in South Korea. Its totals sales in 2010 was 3,198 billion won....
acquired a German camera-maker RolleiRolleiRollei is a German manufacturer of optical goods founded in 1920 by Paul Franke and Reinhold Heidecke in Braunschweig, Lower Saxony, and maker of the Rolleiflex and Rolleicord series of cameras...
on 1995. Samsung (Rollei) used its optic expertise on the crystals of a new line of 100% Swiss-made watches, designed by a team of watchmakers at Nouvelle Piquerez S.A. in Bassequort, SwitzerlandSwitzerlandSwitzerland name of one of the Swiss cantons. ; ; ; or ), in its full name the Swiss Confederation , is a federal republic consisting of 26 cantons, with Bern as the seat of the federal authorities. The country is situated in Western Europe,Or Central Europe depending on the definition....
. Rolex's decision to fight Rollei on every front stemmed from the close resemblance between the two names and fears that its sales would suffer as a consequence. In the face of such a threat, the Geneva firm decided to confront. Rolex, this was also a demonstration of the Swiss watch industry's determination to defend itself when an established brand is threatened. Rolex sees this front-line battle as vital for the entire Swiss watch industry. Rolex has succeeded in keeping Rollei out of the German market. On 11 March 1995 the Cologne District court prohibited the advertising and sale of Rollei watches on German territory.
Fokker
Fokker
Fokker was a Dutch aircraft manufacturer named after its founder, Anthony Fokker. The company operated under several different names, starting out in 1912 in Schwerin, Germany, moving to the Netherlands in 1919....
, a Dutch aircraft maker
- Samsung lost a chance to revive its failed bid to take over Dutch aircraft maker Fokker when other airplane makers rejected its offer to form a consortium. The three proposed partners – Hyundai, Hanjin and Daewoo – have notified the South Korean government that they will not join Samsung Aerospace Industries Ltd.
AST Research
AST Research
AST Research, Inc. was a personal computer manufacturer, founded in Irvine, California in 1980 by Albert Wong, Safi Qureshey and Thomas Yuen. AST's original business was the manufacture and marketing of a broad range of microcomputer expansion cards, later focusing on higher-density replacements...
- Samsung bought AST (1994) and tried to break into North America，but the effort foundered.
Samsung was forced to close the California-based computer maker after a mass defection of research talent and a string of losses.
FUBU
FUBU
FUBU is a clothing company. It includes casual wear, sports wear, a suit collection, eyewear, belts, and shoes for the African-American community in the sense of economic investment but not to be exclusively worn by African Americans...
clothing and apparel – a rare case of success
- In 1992, Daymond John had started the company with a hat collection that was made in his house in the Queens area of New York City. To fund the company, John had to mortgage his house for $100,000. With his friends, namely J. Alexander Martin, Carl Brown, and Keith Perrin, half of his house was turned into the first factory of FUBU, while the other half remained as the living quarters. Along with the expansion of FUBU, Samsung, a Korean company, invested in FUBU in 1995.
Lehman Brothers Holdings’ Asian operations
- Samsung Securities was one of a handful of brokerages looking into Lehman Brothers Holdings. But Nomura Holdings has reportedly waved the biggest check to win its bid for Lehman Brothers Holdings’ Asian operations, beating out Samsung Securities, Standard Chartered, and Barclays. Ironically, after few months Samsung Securities Co., Ltd. and City of LondonCity of LondonThe City of London is a small area within Greater London, England. It is the historic core of London around which the modern conurbation grew and has held city status since time immemorial. The City’s boundaries have remained almost unchanged since the Middle Ages, and it is now only a tiny part of...
-based N M Rothschild & SonsN M Rothschild & SonsN M Rothschild & Sons is a private investment banking company, belonging to the Rothschild family...
(more commonly known simply as Rothschild) have agreed to form a strategic alliance in investment banking business. Two parties will jointly work on cross border mergers and acquisition deals.
Grandis Inc. - memory developer
- In July 2011, Samsung announced that it had acquired spin-transfer torque random access memory (MRAM) vendor Grandis Inc. Grandis will become a part of Samsung's R&D operations and will focus on development of next generation random-access memory.
Group divisions
| GROUP DIVISIONS |
|---|
| Electronics industries |
| Financial services |
| Chemical industries |
| Machinery and heavy industries |
| Engineering and construction |
| Retail and entertainment |
| Apparel and advertisement |
| Education and medical services |
| Trading and resource development |
| Food supplier and security services |
Notable customers
Royal Dutch Shell- Samsung Heavy Industries will be the sole provider of liquefied natural gas (LNG) storage facilities worth up to US$50 billion to Royal Dutch ShellRoyal Dutch ShellRoyal Dutch Shell plc , commonly known as Shell, is a global oil and gas company headquartered in The Hague, Netherlands and with its registered office in London, United Kingdom. It is the fifth-largest company in the world according to a composite measure by Forbes magazine and one of the six...
for the next 15 years.
United Arab Emirates government
- A consortium of South Korean firms - including Samsung, Korea Electric Power Corp and Hyundai - has won a deal worth 40 billion dollars to build nuclear power plantNuclear power plantA nuclear power plant is a thermal power station in which the heat source is one or more nuclear reactors. As in a conventional thermal power station the heat is used to generate steam which drives a steam turbine connected to a generator which produces electricity.Nuclear power plants are usually...
s in the United Arab Emirates.
Ontario government
- The government of the Canadian province of OntarioOntarioOntario is a province of Canada, located in east-central Canada. It is Canada's most populous province and second largest in total area. It is home to the nation's most populous city, Toronto, and the nation's capital, Ottawa....
signed off one of the world's largest renewable energyRenewable energyRenewable energy is energy which comes from natural resources such as sunlight, wind, rain, tides, and geothermal heat, which are renewable . About 16% of global final energy consumption comes from renewables, with 10% coming from traditional biomass, which is mainly used for heating, and 3.4% from...
projects, signing a $6.6bn deal that will result in of new wind and solar energy capacity being built. Under the agreement a consortium – led by Samsung and the Korea Electric Power Corporation – will manage the development of -worth of new wind farmWind farmA wind farm is a group of wind turbines in the same location used to produce electric power. A large wind farm may consist of several hundred individual wind turbines, and cover an extended area of hundreds of square miles, but the land between the turbines may be used for agricultural or other...
s and of solar capacity, while also building a manufacturing supply chain in the province.
| Samsung's key clients (Q1 2010) | ||||||
|---|---|---|---|---|---|---|
| Rank/company | Part description | Buying (trillion KRW) | Percent of total sales | |||
| 1 Sony Sony , commonly referred to as Sony, is a Japanese multinational conglomerate corporation headquartered in Minato, Tokyo, Japan and the world's fifth largest media conglomerate measured by revenues.... |
DRAM, NAND flash, LCD panels, etc... | 1.28 | 3.7 | |||
| 2 Apple Inc | AP (mobile processor), DRAM, NAND flash, etc... | 0.9 | 2.6 | |||
| 3 Dell Dell Dell, Inc. is an American multinational information technology corporation based in 1 Dell Way, Round Rock, Texas, United States, that develops, sells and supports computers and related products and services. Bearing the name of its founder, Michael Dell, the company is one of the largest... |
DRAM, flat-panels, lithium-ion batteries, etc... | 0.87 | 2.5 | |||
| 4 HP | DRAM, flat-panels, lithium-ion batteries, etc... | 0.76 | 2.2 | |||
| 5 Verizon Communications Verizon Communications Verizon Communications Inc. is a global broadband and telecommunications company and a component of the Dow Jones Industrial Average... |
Handsets, etc... | 0.5 | 1.3 | |||
| 6 AT&T AT&T AT&T Inc. is an American multinational telecommunications corporation headquartered in Whitacre Tower, Dallas, Texas, United States. It is the largest provider of mobile telephony and fixed telephony in the United States, and is also a provider of broadband and subscription television services... |
Handsets, etc... | 0.5 | 1.3 | |||
Logo
Sonic logo
Audio branding was produced by MusikvergnuegenMusikvergnuegen
Musikvergnuegen , sometimes abbreviated to MusikV, is a music and sound design production company located in Los Angeles, California. The company name translates into English as "enjoyment of music". It was founded by Austrian-born composer Walter Werzowa.Werzowa founded the company after achieving...
and written by Walter Werzowa
Walter Werzowa
Walter Werzowa is an Austrian composer, producer and owner of LA-based music production studio Musikvergnuegen. He is most famous for composing the "Intel bong" jingle and the '80s hit "Bring Me Edelweiss" as part of the band Edelweiss....
using the notes E♭, A♭, D♭, E♭ .
Samsung Medical Center
The Samsung Group annually donates around $100 million to the Samsung Medical CenterSamsung Medical Center
Samsung Medical Center which is located in Irwon-Dong of Gangnam-Gu, Seoul Korea is a tertiary hospital. SMC is composed of Samsung Seoul Hospital, Kangbook Samsung Hospital, Samsung Changwon hospital, and Samsung Life Sciences Research Center...
, their nonprofit medical organization.
The Samsung Medical Center (Korean: 삼성의료원) is composed of Samsung Seoul Hospital (Korean: 삼성서울병원), Kangbook Samsung Hospital (Korean: 강북삼성병원), Samsung Changwon Hospital (Korean: 삼성창원병원), Samsung Cancer Center (Korean:삼성암센터) and Samsung Life Sciences Research Center (Korean: 삼성생명과학연구소). Samsung Cancer Center located in Seoul, is the largest cancer center in Asia. Samsung Medical Center and Pfizer
Pfizer
Pfizer, Inc. is an American multinational pharmaceutical corporation. The company is based in New York City, New York with its research headquarters in Groton, Connecticut, United States...
to Conduct Joint Research to Identify Genomic Mechanisms Responsible for Clinical Outcomes in Hepatocellular Carcinoma.
Olympics
Samsung is hoping their role in the London 2012 Olympic Games will provide a "golden moment" for the company's UK reputation, according to Olympic news outlet Around the Rings. Vice President Gyehyun Kwon told ATR that "double digit gains in U.K. consumer awareness are possible" through Samsung's partnership with London 2012.Samsung was instrumental in bringing the 2018 Winter Olympics
2018 Winter Olympics
The 2018 Winter Olympics, officially known as the XXIII Olympic Winter Games, is a winter multi-sport event scheduled to take place in Pyeongchang, South Korea, between 9 and 25 February 2018. The elected host city was announced on 6 July 2011 by the International Olympic Committee , after the...
to Pyeongchang. In December 2009, the former chairman of Samsung, Lee Kun-hee
Lee Kun-hee
Lee Kun-hee is Chairman of Samsung Electronics. He resigned on April 21, 2008 owing to Samsung Slush funds scandal, but returned on March 24, 2010. Lee has a degree in economics from Waseda University in Tokyo and attended an MBA course at George Washington University in the United States in 1966...
, was pardoned in order that he could return to the International Olympics Committee and help South Korea bid for the 2018 Winter Olympics in Pyeongchang. He had previously been convicted of tax evasion in 2008 and had been part of two failed bids to bring the Olympics to South Korea.
During this bid, Lee Kun-hee and figure skating gold medalist Kim Yuna lobbied heavily for support; it was thought that Lee's influence would help to secure the bid. On July 6 2011, it was announced that Pyeongchang would be the location of the 2018 Winter Games. Samsung C&T Corporation will be among the top tier of firms competing for construction projects for the games.
See also
- Economy of South KoreaEconomy of South KoreaSouth Korea has a market economy which ranks 15th in the world by nominal GDP and 12th by purchasing power parity , identifying it as one of the G-20 major economies. It is a high-income developed country, with a developed market, and is a member of OECD...
- Ho-Am PrizeHo-Am PrizeThe Ho-Am Prize is a Korean annual award awarded to "domestic/abroad ethnic Korean who have made outstanding contributions to the development of science and culture and enhancement of the welfare of mankind," often referred to as the Korean equivalent of the Nobel Prize.Awarded since 1991, it is...
- List of Korean companies
- List of Korea-related topics
- Seocho Samsung TownSeocho Samsung TownThe Samsung Town is a major office park in Seocho-gu in Seoul, South Korea. It serves as the IT and electronics hub for the multinational corporation Samsung....
- Munhwa Broadcasting CorporationMunhwa Broadcasting CorporationMunhwa Broadcasting Corporation Munhwa Broadcasting Corporation Munhwa Broadcasting Corporation (MBC (Hangul : 문화방송주식회사, Munhwa Bangsong Jushikoesa) is one of four major national South Korean television and radio networks. Munhwa is the Korean word for "culture". Its flagship terrestrial television...
- Korean Broadcasting System
- Seoul Broadcasting System