ã€Global Network Technology Report】 According to "The Korea Herald" on August 1, Samsung Electronics restructured its business unit in China, aiming to reverse the weakness of its smart phone business in the Chinese market. The restructuring closed 7 sales points and did not involve layoffs.
An official from Samsung Electronics told the Korean Herald: “We reorganized the Chinese business unit today and hope to reverse the downward trend in sales. At this time, seven sales points were closed and replaced by 22 subdivided bases. (base) Beijing headquarters will be more closely managed on these 22 bases."
It is understood that the seven sales points that were closed are located in northern, eastern, southern, central, southwest, northwest and northeast China respectively. At the same time, Samsung also denied rumors of layoffs. The official said: "This restructuring does not involve layoffs."
According to Global Network Science and Technology, due to the competitive pressures of domestic brands such as Huawei, OPPO, VIVO, and Xiaomi, the smartphone business, which is the pillar of Samsung Electronics, suffered a major decline. Last year, its market share in China has dropped to 5%, far below. 19.7% in 2013. Shipments fell from 62 million to 23 million.
In addition, this year coincides with the 10th anniversary of the release of Apple's smart phones, the current market has a greater expectation of the iPhone 8 released in September, in the high-end products more than 5,000 yuan level, most consumers are still watching, but also to a certain extent Affected the Samsung mobile phone sales performance.
In addition to the smart phone business, the Samsung home appliance business is also in a dilemma in the Chinese market. According to data from research firm Strategy Analytics, last year Samsung and LG’s total share of the home appliance market in China was less than 5%. Samsung’s rankings are also relatively low among home appliance brand selection activities conducted by some domestic agencies.
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