In early November, after it became aware of the decline in profits from 2015 Samsung mobile sector, the head of investor relations Robert Yi admitted “insufficiently fast reaction to changing market conditions,” and said that the company plans to change its strategy in relation to smartphones, so “to achieve greater efficiency.” Then we could only guess what the future will be discussed.
However, as expected, 2015 Samsung has announced that it will reduce the number of smartphones that will sell in 2015. According to all of the same Robert Yi, the number of models will be reduced by 25-30%.
2015 Samsung will reduce the number of smartphones produced by 25-30%
What specific model will sink into oblivion is still unknown, but it is reported that Samsung is going to focus on the budget and a mainstream devices.
To do this effectively, the company will “increase the number of components used in smartphones both secondary and primary levels,” which in the long run will reduce the cost of producing one unit of output.
In addition, in 2015 Samsung wants to return to double-digit percentage margin. After long-term maintenance margin above 15% in the third quarter the company had to reduce it to 7% – the lowest level, which was in the mobile sector companies since the end of 2008, before the launch of the first Galaxy-smartphone.
In addition, the South Korean giant 2015 Samsung is going to increase the attention given to China, where this year it overtook Xiaomi, becoming the largest producer of smartphones in the country. Apparently, presented recently Galaxy A3 and A5 will have to solve this problem, to win the attention of a young audience.
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