How business, doctors and journalists prey on your food anxieties I

.. D . = R t 1 5 E M E N i
5 A M SuNG
~I, E CTRON I C 5
South Kosea's Top Manufacturing Firm
in Sales <strong>and</strong> Profits
amsung Electronics Co .
Ltd . (SEC) last year did exceptionally well
in all four of its <strong>business</strong> dlvisions-semiconductors,
telecommunications systems,
information systems <strong>and</strong> consumer eleccronics-mal:ing
1994 a year of prosperity
<strong>and</strong> success . . .
SEC has thus become South Korea's
number one manufacturing firm by recording
the highest sales <strong>and</strong> earnings in the
country .
SEC is also the first enterprise in the
country to break through the magical 10
trillion won mark in sales <strong>and</strong> achieve a
profit figure surpassing I¢illion won .
In terms of U .S . dollars, its total sales in
1994 amount to $14.62 billion, up 41%
from the previous year, with net earnings of
$1 .199 billion, up a phenomenal 500%
from 1993 . In particular, the semiconductor
dlvisionrose.as the unchallenged leader
in dre global semiconductor me.rker with
sales growth of 61 % .
Samsung President <strong>and</strong> CEO Kim
Kwang-Ho says, "Currentl}; we hold the
largest market share in memory products,
<strong>and</strong> the development of the 256M
DRAM (dynamic r<strong>and</strong>om access
memory) in August last year has added a
whole new dimension to the world semiconductor
market ."
Samsung Electronics, which last year was
the world's seventh-largest manufacturer of
semiconductors <strong>and</strong> the largest manufacturer
of memory products, has set its sights
firmly on the future .
"In the coming years, we will maximize
utilization of our stare-of-the-art semiconductor
technology to reinforce our technological
know-how in the areas of telecommunicarion
systems, information systems
<strong>and</strong> consumer electronics," says Kim . "We
will also fine-tnne our <strong>business</strong> interests in
the areas of high-definition-releted products,
multimedia, color-imaging devices,
video disc recorders, mobile telecommunications,
PCNs, memory <strong>and</strong> micro devices,
automobile electronics <strong>and</strong> test <strong>and</strong> measurement
equipment."
SEC is also the country's number one
export firm: Its exports of $9 .984 billion
account for 10% of South Koreas total
exports .
Last year, 37% of SEC's exported products
went to North America, 30°/a to
Asia/Oceania, 22% to Europe/CIS, 6% to
AfricalMiddle East <strong>and</strong> 5°6 to Central/
South America .
And this year, SEC is expected to do
berter : $11 .2 billion in export sales, $5 .4
billion in domestic sales .
SEC's DR4M <strong>and</strong> color monitors enjoy
mp-ranking global market shares with
15% <strong>and</strong> 17°/b respectively, while its
microwave ovens <strong>and</strong> VCRs occupy the
number r.vo position with 18% <strong>and</strong> 11%
shares respectively .
SEC's color television division has a 6%
share of the global market, <strong>and</strong> ranks sixth
in the world.
SEC annually invests 20% to 22% of its
total sales in Eacilities <strong>and</strong> research <strong>and</strong>
development. This year it is investing $1 .5
billion to exp<strong>and</strong> semiconductor facilities,
$375 million in overseas production compiexes
in America, Europe <strong>and</strong> Asia, $250
million for factory automation <strong>and</strong> production
rationalization, <strong>and</strong> $375
million for environmental
protection .
As for R&D,
SEC is investing
$375 million
for semlconductors,
$250 million
for
next-generation
audio-visual
products
<strong>and</strong> household
appliances,
<strong>and</strong>
,5250 million for
multimedia
products .
SEC hopes to achieve
an annual revenue of $50 billion <strong>and</strong> overseas
manufacturing sales of .$8 .4 billion by
the ,vear 2000 . Its growth strategy consists
of globalized manufacturing, localized marketing
strategy, localized management <strong>and</strong>
globalizzd R&D .
In addition, SEC, in a move to exp<strong>and</strong>
its global operations, is acquiring or entering
strategic alliances with several foreign
electronics firms .
SEC is one of 24 subsidiaries of the
Samsung Business Group, South Koreas
top-ranking conglomerate, whose revenue
last year was 51,830 billion won (about
$64 .8 billion) .
"'VVe will reinforce
our technological
know-how in
telecommunication
systems, information
systems <strong>and</strong>
consumer
electronlCs
. "
Mr . Kim
Kwang-Ho.
President &
CEO,
Sarnsung
Electronics Co .
Ltd .
http://legacy.library.ucsf.edu/tid/agf97d00/pdf
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