Samsung Park Theme
Lecture #5: Class Discussion of Samsung and Theme Park Industry Case
Reading: Case: Samsung Case. Key activities of the class: 1. Group presentations of the industry analysis (3 minutes per group; use the worksheet) 2. Class discussion of the Case: Key issue: As the chairperson of the Samsung Group, would you approve the master plan proposed? (Please refer to Case Summary on Web). 3. Video: Samsung Everland
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 1
Outline of Class Discussion: Samsung Case
1. Global Context: Is this theme park industry a profitable one to be in? 2. Country Context: Will this idea work in Korea? 3. Corporate Context: Should Samsung invest in this? 4. Key Success Factors How do we do this? 5. Implications for Disneyland in Hong Kong
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 2
Outline of Class Discussion: Samsung Case
What happened? 1. Master plan approved: $3.5 billion – $1 billion was to be spent on theme park alone – $2.5 billion for hotels and residential accommodations around Yongin. 2. Build “quality service” philosophy as a core competence 3. Name changed to “Everland” in March 1996 4. Corporate image ad to position Everland as a “world class” resort complex.
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 3
Key Issues: Samsung and Theme Park Industry
• Future Profitability of the Industry • Key Success Factors • Core competence / Resources / Competitive advantage • Project Financial Returns
Fall 2000
MGTO321 (L1 & L2) -- Dr. JT Li
4
Lessons Learned: Samsung Case
• Industry analysis: Porter’s Five Forces Model provides a useful framework • Resource analysis: Should also examine resources / core competence; not just opportunity • Managerial Preferences: Corporate strategy is complex with large companies
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 5
Reading: Case: Samsung Case. Key activities of the class: 1. Group presentations of the industry analysis (3 minutes per group; use the worksheet) 2. Class discussion of the Case: Key issue: As the chairperson of the Samsung Group, would you approve the master plan proposed? (Please refer to Case Summary on Web). 3. Video: Samsung Everland
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 1
Outline of Class Discussion: Samsung Case
1. Global Context: Is this theme park industry a profitable one to be in? 2. Country Context: Will this idea work in Korea? 3. Corporate Context: Should Samsung invest in this? 4. Key Success Factors How do we do this? 5. Implications for Disneyland in Hong Kong
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 2
Outline of Class Discussion: Samsung Case
What happened? 1. Master plan approved: $3.5 billion – $1 billion was to be spent on theme park alone – $2.5 billion for hotels and residential accommodations around Yongin. 2. Build “quality service” philosophy as a core competence 3. Name changed to “Everland” in March 1996 4. Corporate image ad to position Everland as a “world class” resort complex.
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 3
Key Issues: Samsung and Theme Park Industry
• Future Profitability of the Industry • Key Success Factors • Core competence / Resources / Competitive advantage • Project Financial Returns
Fall 2000
MGTO321 (L1 & L2) -- Dr. JT Li
4
Lessons Learned: Samsung Case
• Industry analysis: Porter’s Five Forces Model provides a useful framework • Resource analysis: Should also examine resources / core competence; not just opportunity • Managerial Preferences: Corporate strategy is complex with large companies
Fall 2000 MGTO321 (L1 & L2) -- Dr. JT Li 5