Samsung Galaxy Note 7
The most awaited gadget of Samsung in this year by its fans was Samsung Galaxy Note 7. It was being considered the strong market rival of the famous brand Apple iPhone 7 plus and predicted to give this product a tough time in beating the previous profits. Though Samsung had huge profit expectations but due to their product failure in the market Apple’s product got edge and Samsung lost not only sales but brands loyal customers as well.
Samsung Galaxy Note 7 was reported by many customers of catching fire and various issues with the battery, thus the company decided to replace the phones and batteries to the customers but even after replacement the problem doesn’t seemed to go away. However this firm then decided to ask all of their global retail partners to stop the sale of this product as well as the production of Samsung Galaxy Note 7 by the company had also been hampered, moreover this the company had asked all the consumers to switch off their Note 7 either replaced or not replaced, hence this caused major damage to the share value of the company. The shares dropped 8% within a time span of few days and caused reduction in the profit of third quarter by $4.7bn. Samsung is offering pledge to its customers to maintain their loyalty towards the company, about 30000 won credits to switch to another Samsung phone.
The downfall of Samsung have caused Apple’s shares to grow ten times much more because Samsung Galaxy Note 7 have terribly failed as a rival in the market because there were 2.5 million complaints about its batteries getting explode, whereas the consumers are also not happy from Samsung because the returning and replacement of their gadgets is causing them pain. The analysts have also predicted that this will cause Samsung some major long term damage because its rivals are fully prepared to grab the market share that has emerged due to the chaos about Samsung. It is also said that Samsung should completely shut down its Galaxy production division. Whereas in China Samsung had already faced drop in the market share because of various market rivals, but now Samsung’s vague policy of excluding China from 2.5 million smart phones recall will further decline its image in the market, making this statement the ground excuse for the customers that the batteries are produced and procured by another supplier so they don’t contain the fault, and thus it will benefit their rivals completely, because brand loyal customers will not be happy at all by this ignorant behavior of Samsung towards the Chinese customers.
The South Korean company has not been able to come up with any alternate which will satisfy their consumers neither they have disclosed any plans until they figure out what is actually wrong with the product and collect evidences from quality control department about the product. The country itself will be monitoring the returns of Samsung because its sales accounts for 2% of the country’s entire annual total exports.
A friendly advice for all tech savvy people who just rush out to the stores to buy the product as soon they hear about its launch, just take a deep breath and first collect some reviews on the product you are about to spent more than 60% of your salary and getting bankrupt for the rest of the month. Being patient will not only help you save your money but also your efforts and energy, which in case of buying a gadget which is not worth buying at all would have been wasted on cursing yourself for taking such a hasty decision.