2013년 12월 11일 수요일

Could Apple benefit from Samsung's crisis in Asia market?


samsung's market share in japan is falling

Apple’ japanese market share increased by close to 20 percentage points since the release of the iPhone 5S and iPhone 5C through NTT DoCoMo, number 1 mobile carrier in Japan.
Samsung Electronics's market share fell down to 6.3% after the alliance of Apple and NTT DoCoMo in japan.
The gap between Apple and Samsung is further widening in the Japanese market.
According to the research firm, Samsung’s quarterly sales volume has continued to fall for three consecutive quarters, from 1.9 million in Q4 last year to one million in Q3 this year.
Meanwhile, Apple’s market share has risen up to 38.1%, overtaking those of Sony and Sharp.


A crisis is looming large for Samsung Electronics’ mobile phone business in China as well.
This is because Apple is launching an aggressive marketing drive in China to keep Samsung in check.


Apple iPhone launch in China

According to market research firm Strategy Analytics, Samsung Electronics has dominated the Chinese smartphone market during the same period with a market share 21.6%, whereas Apple’s share stood at just 4.8% to fall behind Chinese makers like Huawei, ZTE, and Coolpad. In short, Apple is no match for Samsung as far as the Chinese smartphone market is concerned.

However, things are likely to change down the road, as commercial LTE services are launched there within this month. China Mobile, the world’s largest mobile carrier with 750 million subscribers, is planning to release the iPhone 5S and iPhone 5C with its LTE services too. Forbes has estimated that Apple’s monthly sales volume would increase by at least 1.5 million units, thanks to commercial LTE services.



In the meantime, Samsung is in the face of an additional risk in its home turf, where its market share is over 60%, due to a pending bill. The government, the other mobile carriers and a lot of civic organizations are in favor of the Act on Improvement of Mobile Communication Terminal Distribution Structure, to isolate Samsung. According to the bill, handset makers are also subject to regulations in the event of excessive subsidies, and the subsidies they provide are subject to compulsory submissions, which could lead to a direct hit against its sales activities.

Reports have surfaced that Samsung is calling together 600 of its global managerial staff for a "Crisis Awareness" meeting to be held in mid-december directd by Samsung chairman Lee Kun-hee..




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