Samsung promotes new business in the face of economic slump

Samsung's chairman Lee Kun Hee has urged the growth of new businesses to keep the company on track in a volatile economy.
Written by Charlie Osborne, Contributing Writer
samsung promotes business growth opportunity economy recession

Samsung's Chairman Lee Kun Hee said that new business growth is crucial in order to stay ahead of competition and in order to survive in a fragile economy.

According to an emailed summary of a speech he gave to employees obtained by Bloomberg, Lee said:

"There's an ongoing competition by global companies across all areas from products, technology development and hiring talented people to patent disputes. The market is big and opportunities are wide open, so we should find out new businesses that Samsung's future will hinge on."

Samsung Electronics may currently be one of the world's leaders when it boils down to mobile phone sales and Smart TV sets, but as countries continue to try and claw their way out of the recession, no firm is invincible from financial impact. As competition in the marketplace continues to grow, firms have to keep on top of research and create attractive products to retain their customers -- for example, the company's new plugin which gives older Smart TVs the features of the latest ranges.

According to research firm DisplaySearch, Samsung and LTE remain the top two flat panel TV makers, with the Korean firm's share over 10 percent higher than its rival. In addition, through Q3 2012, Samsung shipped roughly one in every four flat-panel sets sold, and one in every four mobile handsets shipped worldwide. However, the firm hopes to sell 510 million smartphones this year, up from 420 million in 2012.

Samsung reported third-quarter profits between July and September of 6.56 trillion won ($5.9 billion), which was driven largely by the Korean giant's IT and mobile technology devisions, including strong sales of the Samsung Galaxy S III and Galaxy Tab range.

The electronics giant will be releasing its fourth quarter earnings estimates next week. 

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