NATIONAL ECONOMICS UNIVERSITY

CENTER FOR ADVANCED EDUCATIONAL PROGRAMS

***

INTERNATIONAL MANAGEMENT
Culture, Strategy, and Behavior
Topic: HOW SAMSUNG ADAPTED TO THE US MARKET

Lecturer: Tran Trong Duc

Class: International Business Management 62C
Group: 6

No Student’s name Student’s ID %

1 Luong Do Quynh Anh (Leader) 11204337 100
2 Le Thi Tuyet Anh 11200157 100
3 Nguyen Phuong Anh 11200248 100
4 Nguyen Thi Hong Phuong 11206653 100
5 Nguyen Hong Quynh 11206748 100

Hanoi, November, 2023

 TABLE OF CONTENT
I. INTRODUCTION
1. SAMSUNG’s OVERVIEW
2. SAMSUNG US’s OVERVIEW
II. COMPARE US AND KOREA (HOFSTEDE 6 DIMENSIONS)
1. Power Distance
2. Individualism
3. Motivation towards Achievement and Success
4. Uncertainty Avoidance
5. Long Term Orientation
6. Indulgence
III. NEGOTIATION STYLE OF US
1. Before negotiations
a) Personal style: intimate
b) Communication
c) Level of sensitivity to time: high
d) Attire
e) Business Cards
f) Lawyers
2. In negotiations
a) Negotiation goal: sign a contract
b) Approach to negotiation: both win-win and win-lose.
c) Contract format: specific
d) Organizing the negotiation team: a leader
e) Risk tolerance level: high
3. After the negotiations
4. Negotiation style of Samsung:
IV. SAMSUNG POLICY TO ADAPT WITH THE US - HOFSTEDE MODEL
1. POWER DISTANCE INDEX (PDI)
a) Organizational hierarchy
b) Organizational decision making
c) Compensation bands
d) Power delegation
e) Leadership
d) Supervisory staff
2. INDIVIDUALISM VERSUS COLLECTIVISM (IDV)
a) Privacy
b) Time
c) Challenging tasks
d) Individual accomplishments
e) Work-life vs. social life
 f) Creativity
g) Merit
3. MASCULINITY VERSUS FEMININITY (MAS)
a) Money orientation
b) Egoism
c) Motivation factors
d) Gender role differentiation
4. UNCERTAINTY AVOIDANCE INDEX (UAI)
a) Opened to change
b) Learning and decision-making processes
c) Sense of urgency
d) Risk-taking
e) Flexibility
5. LONG TERM ORIENTATION VERSUS SHORT TERM NORMATIVE
ORIENTATION (LTO)
a) Focus on thrift and education
b) Values and rights
c) Obligations and virtues
d) How vs. why
6. INDULGENCE VERSUS RESTRAINT (IVR)
a) Optimism
b) Personal happiness
c) Freedom of speech
V. ORGANIZATION STRUCTURE AND BUSINESS STRATEGY OF SAMSUNG
1. Organization Structure
2. Business Strategy
VI. LESSONS OF SAMSUNG TO DO BUSINESS IN THE US (CHALLENGES AND
IMPLICATIONS)
I. INTRODUCTION

1. SAMSUNG’s OVERVIEW
The Samsung group is a South Korean multinational conglomerate headquartered in Samsung
Town, Seoul. It comprises numerous affiliated businesses, most of them united under the
Samsung brand.
Samsung was founded by Lee Byung Chul in 1938 as a trading company. Samsung
diversified into many areas including food processing, textiles, insurance securities,
electronics industries, shipbuilding industries, in particular, its mobile phones and
semiconductors have become its most important source of income.
As of 2020, Samsung has the 8th highest global brand value.
Samsung follows a simple business philosophy: to devote its talent and technology to
creating superior products and services that contribute to a better global society. To achieve
this, Samsung sets a high value on its people and technologies.
➢ Samsung’s vision
to “Inspire the world with our innovative technologies, products and designs that enrich
people’s lives and contribute to social prosperity by creating a new future.”
=> The company follows this vision statement to maintain profitable technology business
operations that contribute to the improvement of people’s lives.
The following components are contained in Samsung’s vision statement:
● Global inspiration
● Innovation
● Improvement of lives and future social prosperity
➢ Samsung’s mission:
“to devote its talent and technology to creating superior products and services that contribute
to a better global society.”
This corporate mission was published when the company was undergoing rapid global
expansion in various semiconductors, electronics, and related technology markets.
Samsung focuses on the following components in its mission statement:
● Human resources and technological resources
● Superiority of Samsung products and services
● Improvement of the global society

Samsung has over 3,000,000 employees worldwide as of March 2023. Most of Samsung’s
employees are located in South Korea, with significant numbers also in China, the United
States, and Europe. Samsung’s workforce is diverse, with employees from over 80 countries.
The company offers its employees various benefits, including competitive salaries,
comprehensive health insurance, and generous vacation time. Samsung is committed to
creating a positive work environment for its employees, and the company has been
recognized for its workplace diversity and inclusion initiatives.

2. SAMSUNG US’s OVERVIEW

a. United States Overview
A Federal presidential republic of 50 states
● The federal government: established by the U.S constitution with the president,
congress and court sharing the power of the federal government.
● States government: function below the level of the federal government over a
defined territory
The U.S is the largest economy and have a diverse demographic:
● Economic system: Mixed Economy
● The 3rd largest landmass
● The world number 1 economy hub
● The US follow the common law system
● Multi political parties system
● Head Of State And Government: President: Joe Biden
● Capital: Washington, D.C.
● Population: 331,449,281; (2023 est.)
b. Samsung US
Samsung entered the US market in the late 1970s. In 1978, Samsung Electronics established a
subsidiary called Samsung Electronics America to oversee its operations and business
activities in the United States. This move allowed Samsung to expand its presence and
compete in the American consumer electronics market. Since then, Samsung has grown to
become one of the leading brands in various product categories, including televisions, mobile
devices, home appliances, and more, in the United States.

Since Samsung started its journey of communication and engagement for more diversity and
inclusion, its efforts are recognized by advocacy groups, governments and non-governmental
organizations.
Especially, Samsung topped the Forbes list of the ‘World’s Best Employers’ and named as
one of America’s ‘Best Employers for Veterans’ for two consecutive years (2020-21).
II. COMPARE US AND KOREA (HOFSTEDE 6 DIMENSIONS)

1. Power Distance

Power Distance

South Korea (60) United States (40)

South Korea is a slightly hierarchical The United States scored 40 which

society. This means that people accept a underscores the American premise of
hierarchical order in which everybody has a “liberty and justice for all.” This is also
place and which needs no further evidenced by the focus on equal rights in all
justification. Hierarchy in an organization is aspects of American society and
seen as reflecting inherent inequalities, government. Within American
centralization is popular, subordinates organizations, hierarchy is established for
expect to be told what to do and the ideal convenience, superiors are always accessible
boss is a benevolent autocrat. and managers rely on individual employees
and teams for their expertise. Both managers
and employees expect to be consulted and
information is shared frequently. At the
same time, communication is informal,
direct and participative.
 2. Individualism

Individualism

South Korea (18) United States (60)

South Korea, with a score of 18 is The US is an individualistic culture. It

considered a collectivistic society. This is reflects itself in the American premise of
manifest in a close long-term commitment “liberty and justice for all”, which is
to the member ‘group’, be that a family, evidenced by an explicit emphasis on equal
extended family, or extended relationships. rights in all aspects of American society and
Loyalty in a collectivist culture is paramount government. Within American
and overrides most other societal rules and organizations, superiors are accessible, and
regulations. The society fosters strong managers rely on individual employees and
relationships where everyone takes teams for their expertise. Both managers and
responsibility for fellow members of their employees expect to be consulted, and
group. In collectivist societies, offense leads information is shared frequently. At the
to shame and loss of face, same time, communication is informal,
employer/employee relationships are direct, and participative to a degree. The
perceived in moral terms (like a family society is loosely knit in which the
link), hiring and promotion decisions take expectation is that people look after
account of the employee’s in-group, and themselves and their immediate families
management is the management of groups. only and should not rely (too much) on
authorities for support. There is also a high
degree of geographical mobility in the
United States. Americans are the best joiners
in the world; however, it is often difficult to
develop deep friendships. Americans are
accustomed to doing business or interacting
with people they don’t know well.
Consequently, Americans are not shy about
approaching their prospective counterparts
to obtain or seek information. In the
business world, employees are expected to
be self-reliant and display initiative. Also,
within the exchange-based world of work,
we see that hiring, promotion, and decisions
are based on merit or evidence of what one
has done or can do.
It is noteworthy that American culture is the
melting pot of different cultures, with
Caucasians scoring more individualistically
than other ethnic groups.
 3. Motivation towards Achievement and Success

Motivation towards Achievement and Success

South Korea (39) United States (62)

South Korea scores 39 and is thus The score of the US is high at 62, and this
considered a Consensus society. The focus can be seen in the typical American
is on “working in order to live”. Managers behavioral patterns. This can be explained
strive for consensus, and people value by the combination with Individualism. The
equality, solidarity and quality in their work American combination reflects itself in the
lives. Conflicts are resolved by compromise following: Behavior in school, work, and
and negotiation. Incentives such as free time play are based on the shared values that
and flexibility are favored. Focus is on well- people should “strive to be the best they can
being, and status is not shown. An effective be” and that “the winner takes all”. As a
manager is a supportive one, and decision result, Americans will tend to display and
making is achieved through involvement. talk freely about their “successes” and
achievements in life. Being successful per se
is not a great motivator in American society,
but being able to show one’s success. Many
American assessment systems are based on
precise target setting, by which American
employees can show how well a job they
did. There exists a “can-do” mentality which
creates a lot of dynamism in the society, as
it is believed that there is always the
possibility to do things in a better way.
Typically, Americans “live to work” so that
they can obtain monetary rewards and, as a
consequence, attain higher status based on
how good one can be. Many white collar
workers will move to a more fancy
neighborhood after each and every
substantial promotion. It is believed that a
certain degree of conflict will bring out the
best in people, as it is the goal to be “the
winner”. As a consequence, we see a lot of
polarization and court cases. This mentality
nowadays undermines the American
premise of “liberty and justice for all.”
Rising inequality is endangering democracy,
because a widening gap among the classes
may slowly push Power Distance up and
Individualism down.
 4. Uncertainty Avoidance

Uncertainty Avoidance

South Korea (85) United States (46)

South Korea is one of the most uncertain The perceived context in which Americans
countries in the world. South Korea find themselves will impact their behavior
maintains rigid codes of belief and behavior more than if the culture would have either
and is intolerant of unorthodox behavior and scored higher or lower. Thus, this cultural
ideas. In these cultures there is an emotional pattern reflects itself as follows:
need for rules (even if the rules never seem
to work) time is money, people have an There is a fair degree of acceptance for new
inner urge to be busy and work hard, ideas, innovative products and a willingness
precision and punctuality are the norm, to try something new or different, whether it
innovation may be resisted, security is an pertains to technology, business practices or
important element in individual motivation. food. Americans tend to be more tolerant of
ideas or opinions from anyone and allow
freedom of expression. At the same time,
Americans do not require a lot of rules and
are less emotionally expressive than higher-
scoring cultures. At the same time, 9/11 has
created a lot of fear in American society,
culminating in the efforts of the government
to monitor everybody through the NSA and
other security organizations.
 5. Long Term Orientation

Long Term Orientation

South Korea (100) United States (50)

South Korea scores as one of the most The United States scores 50 which shows
pragmatic, long-term-oriented societies. The that there is no dominant preference.
notion of the one and only almighty God is
not familiar to South Koreans. People live On the one hand, Americans are prone to
their lives guided by virtues and practical analyze new information to check whether it
good examples. In corporate South Korea, is true. This should not be confused with the
you see long-term orientation in the higher fact that Americans are very practical,
own capital rate, priority to steady growth of reflected by the “can-do” mentality.
market share rather than to a quarterly American businesses measure their
profit, and so on. They all serve the performance on a short-term basis, with
durability of the companies. The idea behind profit and loss statements being issued every
it is that the companies are not here to make quarter, driving individuals to strive for
money every quarter for the shareholders quick results within the workplace.
but to serve the stakeholders and society at
large for many generations to come.

6. Indulgence

Indulgence

South Korea (29) United States (68)

South Korean society is shown to be one of The United States scores as an Indulgent
Restraint. Societies with a low score in this (68) society. This, in combination with a
dimension have a tendency to cynicism and normative score, is reflected by the
pessimism. Also, in contrast to Indulgent following contradictory attitudes and
societies, Restrained societies do not put behavior: Work hard and play hard. The
much emphasis on leisure time and control States has waged a war against drugs and is
the gratification of their desires. People with still very busy in doing so, yet drug
this orientation have the perception that their addiction in the States is higher than in
actions are Restrained by social norms and many other wealthy countries. It is a prudish
feel that indulging themselves is somewhat society yet even some well-known
wrong. televangelists appear to be immoral.
III. NEGOTIATION STYLE OF US
1. Before negotiations

a) Personal style: intimate

Americans feel uncomfortable if their private space and belongings are violated by
others. Not only that, they also create for themselves a "safe zone" when communicating and
interacting every day. Touching and standing close only happens when the relationship is
intimate enough. When they are close, Americans often call the other person by their first
name. In American business culture, it is not too formal or ritualistic but focuses on
naturalness. Many American businessmen believe that rituals are annoying and unnecessary.
They often get straight to the point and want quick results. Americans prefer to address
people comfortably by name and rarely pay attention to the facial expressions of the
interlocutor. Taking off their coats, they found themselves the most comfortable sitting
position and quickly got to the main issues of the story. In American business culture, when
negotiating, they often determine in advance and clearly the goals to be achieved, strategies
and use data to prove their arguments. They are practical but still create a comfortable,
friendly and pleasant atmosphere for their partners. Naturalness in business will help
eliminate cumbersome procedures, focus on main problems and easily achieve desired goals.

b) Communication
As a low-context country, Americans prefer to speak straightforwardly, simply, and
directly to the point. Therefore, when negotiating, American businessmen often do not use
cumbersome language, do not "hedge up" but get right to the main purpose. Americans are
often people with a sense of humor and are not rigid in their actions. Americans are not proud
if you interrupt their story with comments and criticism. They argue to the end to prove to
you that the problem they mention is correct and feasible. And to achieve results, they are
ready to answer all your questions and doubts. With their skillful negotiation art, they can
easily achieve success.

c) Level of sensitivity to time: high

Americans are very obsessed with time. Americans value time and punctuality. They
view time as a tangible asset that can be saved, spent, lost, found, invested or wasted (Time is
money!). Procrastination causes thoughts of lack of interest, disregard for the partner or poor
time management. When making any plans, Americans also arrange schedules, calculate
travel time in advance and subtract time when problems arise. They always arrive on time,
neither early nor late. They always want to achieve the best results in the shortest time. In big
cities where traffic congestion often occurs, it is acceptable to be a little late and not much. If
you are unlucky enough to be 10-15 minutes late, you should call in advance to let them
know and apologize, and, if possible, give the reason otherwise it will be considered
impolite.Many cities in America are very large; Going from one location to another can take
hours, so you need to arrange a specific and detailed time in advance. In general, you should
arrive at the time indicated on the invitation or appointment. Once the meeting has started,
they want to continue discussing work until the end without interruption. They are easily
annoyed if the meeting is interrupted by phone calls, someone else stops by to ask questions,
or a secretary brings papers in to sign.
Also because we want to save time, working meetings with Americans are often short,
focused and straight to the point. Americans tend to decide things quickly. If they can't sell to
you, they will leave and sell to someone else. They spend very little time on paperwork. For
some cultures, it may be considered impolite to immediately discuss business as soon as you
meet, while Americans like to talk about business first, then talk about personal and other
matters.

d) Attire
In the US, office attire is very important and it reflects the face of the company.
American businessmen are very sensitive to dress standards. Visitors and visitors often wear
dark suits and ties. In summer, spring, or less formal occasions, you can wear a light-colored
suit. Female businessmen also often wear suits with more diverse colors than men. Dressing
neatly and neatly is more important than style. Friday is usually the day Americans dress least
formally at work.

e) Business Cards
Business cards are not important to Americans. Americans exchange business cards
with each other less formally than Asians. Americans often just glance at or don't even look
at business cards before putting them away or putting them in their pockets. This habit does
not mean that Americans do not respect their partners, because they believe that focusing on
the person they are talking to is more important and shows more respect than looking at a
business card. Americans will be more impressed with their partner's knowledge of their
market, products and company.

f) Lawyers
In the US, businesses often like to litigate and have lawyers available. Any American
company has a strong team of lawyers and their opinions are highly respected. Americans
often require their partners when negotiating to have a lawyer with them, demonstrating
transparency and consistency in signing contracts, avoiding the need to revise contracts or
unclear terms.

2. In negotiations

a) Negotiation goal: sign a contract

The negotiation process of Americans often takes place quickly because they believe
that "time is money" and therefore they want to save time and quickly sign a contract.
contract, determining transaction conditions. Americans only like conversations that have a
specific purpose and bring practical benefits to the company. American businessmen don't
have much time to read long letters or wait for delayed replies. Delays in responding to
inquiries from American partners will certainly result in lost opportunities.

b) Approach to negotiation: both win-win and win-lose.

Due to cultural differences leading to differences in negotiation, Americans'
negotiating attitudes include win-win and win-lose. Therefore, we can understand that
American businessmen often aim for a collaborative approach and a competitive approach.
This can be explained by the fact that American culture is inherently highly competitive.
They always promote work efficiency and believe that only competition can help work
achieve the best results. Americans always want to win on their side, they often determine in
advance the goals to be achieved, both strategies and negotiation tactics. However,
Americans are also willing to compromise on the basis of mutual benefit. From there, it can
be seen that in a negotiation, Americans pay the most attention to the benefits achieved and
they are willing to do everything to gain the greatest benefits for themselves.
+ Win-lose approach: Americans are always ready for a long-term battle for advantage.
In normal trade negotiations, American businessmen often like to use the concept of
"time is money" to put pressure on partners, especially weaker partners, making
partners vulnerable to savings. conduct their negotiations, then gradually fall into the
tactics they have outlined. Americans are always ready to say "no" and take advantage
of any loopholes the other side has in negotiations. They always try to control the
rhythm and pace of the negotiation to make things difficult for their opponents. If the
opponent has not carefully prepared for the situations, it is likely that they will
continuously cause difficulties with continuous questions and attack weak points.
+ Win-win approach: Americans have a professional working style with high
competitiveness right from the cultural characteristics, however, Americans are not
too rigid in forcing win-lose advantages. They are people who work according to
principles and methods. They often have the view “Economics and efficiency, not
people”. "Work is work, emotions are emotions". They negotiate according to
principles, clearly delineate work and people, always reflect on each other's thoughts
and behaviors, based on objective criteria and standards, the benefits they get are
based on the interests of their partners. if it meets their interests. They negotiate to
ensure longevity. If the parties build credibility in signing a contract, it will create a
foundation for future personal development, and the parties will gain respect in
meeting trust and respect for each other. In trade negotiations with the Americans,
bargaining is no exception. They may also be willing to accept compromise, but
require their partners' implementation responsibility. Their belief in free enterprise
does not mean they are willing to "knock out" their opponents, they never forget that
their purpose is to gain an advantage that makes them happy, not to knock them out.
his master. If they feel that the negotiating party is a strong opponent, has been well
prepared and that the benefits offered by both sides are suitable and satisfy their
requirements for the negotiation, Americans are very ready to nod. However,
compromise for Americans is only the last resort, if they cannot gain an absolute
advantage over their opponents, so businessmen should not be negligent when they
see Americans' attitudes gradually soften in negotiations. . They can bounce back and
gain the advantage at any time.
c) Contract format: specific
Americans often prefer contracts containing very detailed provisions to have
appropriate plans to deal with unexpected situations that arise during the implementation of
the contract. Americans go from detail to whole. The level of detail also varies: Americans
want as much detail as possible, to include possible contingencies. Americans pay great
attention to legal aspects and every little detail in written agreements. They often bring draft
contracts to the negotiating table and negotiate each clause one by one. If there is a dispute or
disagreement in the future, the US side can agree on the terms of the contract and can be
suspicious if the other side applies extra-contractual issues such as the importance of the
relationship. long term relationship.
Americans adhere to every word of the contract, viewing renegotiation as unusual,
even strange. In many other cultures, contracts are just the starting point for what is expected
to be a continuously evolving relationship, so negotiation is taken for granted with the
assumption that it is impossible to foresee all contingencies. Specific terms will appear during
contract implementation. In addition, unlike most other countries, Americans always view the
court system as a reliable mechanism to enforce contracts.
 d) Organizing the negotiation team: a leader
In negotiations, decisions are often made individually and they may not need to
consult others in the group or organization. There is no need for consensus before making a
decision. Leaders will be responsible for their own decisions as well as those of their
employees. Decision-making authority is not delegated to subordinates in the group or
organization and may not require any additional approval from others.

e) Risk tolerance level: high

Americans have an uncertainty avoidance index of 46 points, below the average of 53.
This, according to Hofstede, means that Americans can accept new ideas and innovative
products. and be willing to try something new and different to a reasonable degree.
Americans tend to be risk-takers in negotiations in return for specific benefits. They often
accept freedom of speech and are very willing to listen to the opinions and views of others.
Compared to other cultures, the US is the country with the highest rate of risk-taking
managers, higher than other countries classified as high risk-taking such as France, England
and India. , so they don't care much about risks and unforeseen things.

3. After the negotiations

American gift-giving culture: US law actually prohibits government officials from
accepting gifts in the course of carrying out their work. Gifts valued at 50 USD or more must
be returned to the agency. If you give a very valuable gift that can be converted into money,
Americans may be a bit shy about that gift, but in return if you give simple gifts that contain
high meaning about national symbols, handicrafts, books introducing people's countries, or
company memorabilia, etc. will impress Americans. Business activities in the US are mainly
based on the economic profits that contracts bring, so giving gifts is unnecessary and even
illegal.
=> Important factors affecting American negotiating style: Culture and social values
American culture and social values have a great influence on their negotiating style.
Cultural diversity and values from the diaspora have created a specific style that focuses on
individuality, independence, and a competitive mindset in achieving goals.
This cultural and value factor sets important criteria in determining the approach to
negotiation. From seeking personal gain, to clarifying positions, to focusing on results and
time efficiency, these factors deeply influence the way Americans negotiate.

4. Negotiation style of Samsung:

+ Relationship-Oriented Approach: Samsung might emphasize the importance of

building and maintaining relationships with partners and clients. South Korean
business culture often values long-term relationships and mutual trust. This could
mean that Samsung places significance on establishing and nurturing connections
during negotiations.
+ Communication culture: Indirect
Koreans will rarely give a straight answer or 'no', even when they disagree. When
they want to refuse a cooperation proposal, they often avoid saying it directly and instead
often say things like 'We will think more about this issue'.
+ Organizing negotiations: The consensus of a group
Korea is considered a collectivist society. The core of Korean culture revolves around
close participation and inclusion of others. Therefore, in negotiations, Koreans focus on the
participation of all members and the final decision often must reach the consensus of the
whole group. The size and number of members of the negotiating team are often large.
Korean people always follow hierarchy and order. Even if your partner is a European-
style businessman - who believes that decisions belong to only one individual - the final
decision must still be based on the consensus of the whole team.
This will confuse some negotiators from Western countries because they are familiar
with the notion that only the top leader has the right to make decisions. The final decision is
usually made by the shareholders after much debate or correspondence. Therefore, the final
decision-making process in Korea takes a lot of time and requires you to be really patient.
+ Level of risk tolerance
Koreans have an uncertainty avoidance score of 85, so they have a low risk tolerance.
For Koreans, their goal in negotiation is to gather information and at the same time, decision
making is often complex based on group consensus, so they often want certainty and avoid
risks. Korean businessmen do not like to push and speed up the negotiation process. They pay
attention to building rules and mechanisms to minimize existing risks in contract
implementation while always trying to build trust and good relationships with partners.
=> Samsung, a large technology corporation from Korea, may encounter some challenges
when participating in negotiation and business processes in the US.
+ Cultural differences and negotiation approaches: Samsung operates in a different
culture than American culture. For example, in Korean culture, building relationships
and respect comes first. Meanwhile, in the US, people often place emphasis on
achieving results and showing competitiveness. This can create conflicts in access and
negotiations.
+ Language challenges: Although English may be widely used in commerce, there may
still be language barriers, especially in complex negotiation situations. This can affect
your ability to clearly understand and express your intentions properly.
+ The challenge of adapting to America's negotiating style: America's direct, results-
focused, and competitive approach could create difficulties for Samsung, a company
whose culture is often focused on building relationships and finding consensus.
+ Challenges with legal processes and systems: Companies may have difficulty
adapting to business regulations, procedures, and legal systems in the United States
that are different from those in their country of origin.
IV. SAMSUNG POLICY TO ADAPT WITH THE US - HOFSTEDE MODEL
Samsung Group has used the Hofstede cultural model, and its various dimensions frequently.
More importantly, the organizational culture at Samsung Group reflects the broader
international and global culture followed by the company, which is also present and practiced
internally in all its various locations and offices.

1. POWER DISTANCE INDEX (PDI)

Power distance refers to the intensity and degree of inequality that exists between individuals,
and different groups of individuals within an organization based on the power they hold. This
inequality is accepted by the people. Samsung Group has a low power distance culture at
large.

a) Organizational hierarchy
Samsung Group has a flatter organizational hierarchy. The flatter organizational hierarchy
allows more visibility and easier access to management. This promotes a sense of trust and
belonging in the employees, and increases their motivation towards optimal performance.

b) Organizational decision making

The organizational decision making practiced at Samsung Group is more decentralized. This
means that regional teams have the authority, for example, to localize a global strategy to
meet the needs and demands of local culture. Similarly, teams within a regional district or
office have the authority to make decisions pertaining to meeting a goal – while staying
within the prescribed values and norms of the organization.

c) Compensation bands
The compensation bands are not placed at a distance from each other. Rather, the pay scales
and bands overlap as per job roles and descriptions. The compensation is largely based on a
pay-band system that takes into account flatter hierarchies and provides more options to
individuals for improved compensation opportunities.

d) Power delegation
Since Samsung Group has a low power distance in its organizational culture, the company
sees managers and leaders delegating power without any restraint and concerns. The
delegation of power increases responsibility and accountability, enhances work performance,
and increases loyalty and organizational commitment for the employees. Moreover, the
delegation of power creates a sense of ownership in employees.

e) Leadership
The Samsung Group enjoys a charismatic leadership style. The leader is visionary and
motivates employees by instilling in them a sense of self-belief and self-appreciation. The
leader works with employees personally and professionally to help in their growth, as well as
help them work towards the broader and the bigger business growth. Moreover, the
leadership at Samsung Group is visible and accessible, which makes it easier for employees
to walk the talk.
 d) Supervisory staff
With a low power distance organizational culture, there is a lower need for supervisory staff.
Employees are trusted with responsibilities and are often allowed to determine their own
goals and targets within their job needs and tasks. This affords them with greater motivation
to work towards the achievement of their goals and targets – without the need for direct, and
constant supervision.

2. INDIVIDUALISM VERSUS COLLECTIVISM (IDV)

This refers to the nature of job tasks and activities in an organization. Individualistic
organizations focus more on individual achievements, and employees prefer to work
competitively with each other for challenging tasks towards similar goals. This is done with
the motivation of not only performing better but also for monetary gains where available.
Collective organizations, in turn, work more with teams and groups towards a shared goal
that must be achieved by working together. Samsung Group maintains a healthy mi between
individualism and collectivism in its organizational culture to promote optimal performance
in employees, as well as fuel the business growth appropriately.

a) Privacy
Samsung Group values the privacy of its employees in their workspace as well as personal
life. The organization does not encroach an employee’s personal matters, and gives them the
needed privacy as and when required, and also offers assistance where needed.

b) Time
Samsung Group also values the time of its employees. All tasks and job activities are planned
so that an individual’s social and personal life is not impacted, and a work-life balance is
maintained. This work-life balance is important for the emotional and physical wellbeing of
the employees, and Samsung Group ensures that employees are valued for their time as well.

c) Challenging tasks
Samsung Group regularly and frequently engages its employees with challenging tasks and
goals. The purpose of these tasks and goals is to engage the employees and keep them
motivated to perform optimally. Samsung Group invests in ensuring that all its employees are
challenged so as to not get bored, and dissatisfaction from their job roles.

d) Individual accomplishments
Individual accomplishments at Samsung Group are celebrated. Employees are recognized for
their performances and individual accomplishments – professional as well as personal. The
appreciation and celebration are made through intrinsic as well as extrinsic benefits which
helps spike the motivation of employees further toward improvement.

e) Work-life vs. social life

Samsung Group maintains a clear demarcation between an employee’s personal and social
life, and ensure that the workplace culture is not infiltrated with social relationships and
social contracts. While the Samsung Group values, and encourages an employee’s social life
and social relationships, it deems it against the workplace ethics to encourage social relations
and social contracts infiltrating the professional workspaces of employees
 f) Creativity
Samsung Group encourages creativity and celebrates it in individuals. Samsung Group
frequently encourages and engages employees in challenging and problem-solving tasks to
enable them to enhance the use of their creativity and develop creativity further. This is
important for Samsung Group for encouraging an overall culture of innovation and flexibility
– needed for organizational growth and development.

g) Merit
All decisions undertaken at Samsung Group are based on merit. All promotions, as well as
compensation management activities, are governed on rules of merit and are based on
employee performance strictly. As such, Samsung Group finds it only fair to use these
benchmarks for facilitating employee growth as well as a culture of honesty and transparency
within the organization – to avoid and contain conflict.

3. MASCULINITY VERSUS FEMININITY (MAS)

This refers to how the job roles and tasks have been distributed between the male and female
members of the organization. Samsung Group has a low MAS score – which means that the
job responsibilities in the organization overlap frequently between men and women, and job
descriptions and nor gender-biased or stereotyped.

a) Money orientation
The overall organizational culture is driven more by the quality of life, and quality of life in
the workplace. There are less competition based on compensatory factors, and benefits, and
more competition based on the nature of tasks allocated.

b) Egoism
The Samsung Group encourages and promotes an organizational culture that is less egoistic
in nature. This has worked in favor of the organization as it has allowed skillful women to
come to the forefront as well – without hurting the team dynamics and employee
relationships within the organization. Women are equally celebrated for their achievement,
just as men in the organization are.

c) Motivation factors
Success within the Samsung Group is more likely to be achieved through collaborative means
that on negotiation. The company does not encourage or support success based on rigid
competition that can hurt the wellbeing of individuals – physically, mentally, or emotionally.
The company encourages a focus on work-life balance and work flexibility to suit and meet
the needs of employees. This, in turn, allows the organization to optimally manage the
employee performance levels.

d) Gender role differentiation

Samsung Group does not support differentiation and stereotyping in its job responsibilities
and tasks, as well as job descriptions based on gender differentiation. All roles and tasks at
Samsung Group are designed to be equally allocated and to encourage workplace equality
between men and women. Additionally, Samsung Group also prides itself on being an equal
opportunity employer and provides men and women equal chances of growth within the
organization as well.
 4. UNCERTAINTY AVOIDANCE INDEX (UAI)
Organizations that have a culture of high uncertainty avoidance tend to have a more
controlling perspective where the organizations have a higher need to be in control and
knowledge of everything. These cultures do not promote innovation and creativity at large,
and would rather have tighter risk controls. Lower uncertainty avoidance scores indicate a
more relaxed, and open culture. Again, Samsung Group practices a mix of both in its culture,
with an inclination towards having lower uncertainty avoidance scores.

a) Opened to change
Samsung Group encourages a culture internal to the organization that is open to change. The
company frequently engages in change management programs to improve its processes,
cultures, as well as work activities through team building activities. The frequent changes
have allowed the organization to become more adaptable to changes in the internal and
external environments without affecting the performance of employees. Moreover, this has
encouraged innovation in the organization as well.

b) Learning and decision-making processes

The learning and decision-making processes are more open-ended in nature. There is less
rigidity, and employees are encouraged to engage in fruitful debates and discussions to weigh
the pros and cons of various decisions before reaching a unanimous decision that is agreeable
by all groups present and needed in point.

c) Sense of urgency
Samsung Group encourages a flatter hierarchy within the organization, and as such, does not
place much importance on tiles. Instead, the company focuses more on merit-based
behaviour, and celebrates employees who do not break under pressure. Moreover, there is a
lower sense of urgency in the organization, and employees enjoy a more relaxed internal
culture.

d) Risk-taking
Samsung Group is can fairly be seen as a risk-taking organization. The company’s ability to
take risks highlights its need to explore, and benefit from opportunities – as well as avoid
failure. The company’s readiness and motivation to take needs also highlight it to be more
inclined towards lower uncertainty avoidance.

e) Flexibility
Samsung Group is flexible in its strategies as well as various departmental activities – to meet
the needs and demands of the organizational goals as well as country-specific needs. In doing
so, Samsung Group has become an avid practitioner of localization – which is based on
principles of flexibility and adaptability.

5. LONG TERM ORIENTATION VERSUS SHORT TERM NORMATIVE

ORIENTATION (LTO)
Cultures displaying higher long term orientation are more thrifty and pragmatic in nature.
They display their understanding of time as having long term implications – well spread out
over the future. In contrast, cultures displaying short orientation are more nationalistic and
values-driven. Samsung Group operates with a long term orientation in this strategic focus
and development, while execution and related activities of the same are driven more by short
term orientation.

a) Focus on thrift and education

Samsung Group place sigh importance on education and merit of its employees. Not only
does the company hire the best and the most educated class for its various positions and jobs,
but the company also ensures that employees are continually in the learning cycle through job
tasks, engagement, and training.

b) Values and rights

Samsung Group places high importance on the values and rights of the people and various
groups in societies and communities – including minority groups. The company is an equal
opportunity employer, and as such, provides equal opportunities to all groups in all processes
related to the firm and its staffing polis.

c) Obligations and virtues

The Samsung Group is equally careful, and mindful about its obligations and cities. The
company engages in CSR cities regularly for example, as an obligation it holds towards the
broader society in which it operates. The CSR activities of the company are ongoing, and
carefully planned and executed to represent the aim and philosophy of the company.

d) How vs. why

The Samsung Group and its employees are generally more interested in the how and what,
rather than the why of the problem. This indicates a more problem-solving attitude and an
inclination towards long term orientation. This allows the people to be able to understand the
cause, rather than symptoms, to be able to completely solve problems, and improve personal
and organizational performance.

6. INDULGENCE VERSUS RESTRAINT (IVR)

A higher indulgence score indicates a culture to be more affording towards people’s personal
gratification as well as their happiness and needs. A more restraining culture, on the other
hand, indicates a culture governed by social norms and rules. For Samsung Group, the
organizational culture is a healthy mix between the two, with an inclination toward
indulgence.

a) Optimism
The overall culture at Samsung Group is optimistic, where employees are treated with
respect. All employees are also trained frequently to remain calm and work with a focus –
even in situations of worry. Moreover, employees are also trained towards personal emotional
wellbeing and offered counseling in dealing with personal troubles if needed. These indicate
that while the organization works in the best interest of its employees, it also projects a fairly
optimistic image.

b) Personal happiness
Samsung Group values the happiness of its individuals. The culture and internal
organizational environment are relaxed and vibrant. Employees feel at ease with each other
and are comfortable in the presence of their colleagues. As such, the organization enjoys
happiness and values the happiness of employees over everything else. For the same reason,
the organization also offers training and opportunities for cultivating personal goals and
targets that are not professionally measured.

c) Freedom of speech
Samsung Group offers freedom of speech to its employees. The organization allows
employees to speak what is on their minds in a reasoned and well-behaved manner.
Moreover, the organization also encourages debate, and regular feedback from employees to
continually enhance and improve the organizational products as well as the internal culture
and environment.

V. ORGANIZATION STRUCTURE AND BUSINESS STRATEGY OF SAMSUNG

1. Organization Structure
The South Korean economy is dominated by a handful of Chaebols. One of these
conglomerates is Samsung. The following chart shows the size and complexity of Samsung:

Samsung’s organizational model is designed to promote technological innovation throughout

the enterprise. Samsung has a product-type divisional organizational structure. This structure
use product categorization as the basis for determining which resources and business
operations belong to certain divisions, such as the company’s Device Solutions division. The
entire corporation’s headquarters are implemented through strategic objectives specific to the
structural divisions’ contexts, such as the context of the U.S. market for consumer
electronics. Samsung’s corporate structure has the following main characteristics:

● Product-type Divisions: Samsung’s organizational structure’s main characteristic is its

product-type divisions. Each division is a group of resources and operations that
represent a product category, such as resources and operations for the production,
distribution, and sale of consumer electronics. The corporate structure’s emphasis on
 technological innovation and product development in these divisions helps
in achieving Samsung’s corporate vision and mission statements. The
technology conglomerate may add, merge, or disband divisions, depending on current
business needs and the development of the organization, considering that further
business diversification is possible.

● Centralized corporate hierarchy

● Geographical groupings: Samsung uses geographical groupings or divisions as a
minor characteristic of its corporate structure. In the company’s organizational chart,
these geographical divisions are generally under the product-type divisions.
For example, Samsung Electronics North America is a geographical division
within Samsung Electronics, which is a product-type division. Through this
characteristic of the organizational structure, the company implements region-specific
strategies, such as strategies intended for the North American market for Device
Solutions.

Department Structure Details Advantages Drawbacks

Consumer Divisional Separate divisions Focused product Potential challenges

Electronics for various development and in coordinating
consumer innovation in efforts across
electronics each category. multiple consumer
categories, such as Efficient electronics divisions.
mobile devices, marketing and Risk of siloed
TVs, and home distribution for development and
appliances. consumer competition among
products. internal teams.

Semicondu Divisional Division dedicated Specialization in Potential difficulties

ctors to semiconductor semiconductor in aligning
manufacturing and technology and semiconductor
sales. production. developments with
 Competitive other product
advantage in the divisions.
semiconductor Risk of internal
market. competition for
semiconductor
resources.

Displays Divisional Division focused Expertise in Challenges in

on manufacturing display coordinating display
display panels for technology and technology
various manufacturing. advancements with
applications. Efficient supply product development
of display in other divisions.
components to Risk of resource
various product conflicts related to
divisions. display production.

Research Functional Functional teams Focused Potential disconnect

and responsible for innovation and between R&D efforts
Developme research and technology and market needs. –
nt product development. Challenges in
development. Efficient product translating research
Functional research and into market-ready
managers oversee development products.
R&D activities. processes.

Marketing Functional Functional Specialization in Potential

and Sales departments for marketing and misalignment
marketing and sales sales strategies. between
across product Efficient marketing/sales and
categories. customer product development.
Functional engagement and – Limited agility in
managers lead business growth. responding to market
these departments. changes.

Corporate Functional Functional Expertise in Limited integration

Functions departments for corporate support between corporate
finance, HR, legal, services. functions and product
and IT services. Efficient development.
Functional handling of Potential
managers oversee financial, legal, misalignment with
corporate functions. and HR matters. operational needs.

IT and Matrix Cross-functional Enhanced Potential conflicts

Software teams with collaboration and complexity due
Developme members reporting between IT, to dual reporting
nt to both product software, and structures.
leaders and product Challenges in
functional development. resource allocation
managers (e.g., IT Efficient and decision-making.
 and software). utilization of IT
resources.

2. Business Strategy

Samsung uses the Global Strategy. It can be described, on the one hand, as a high rate of
global integration and cost efficiencies and on the other hand as quite low responsiveness and
differentiation.

The company built manufactures and R&D centers in ideal places of each continent
depending on the local costs. For example in the U.S., Samsung has the Samsung Research
America which developing software, user experiences, and services such as artificial
intelligence, 5G/6G communication networks, and digital health, among others.
Headquartered in Mountain View, CA, in the heart of Silicon Valley, and augmented by
teams in key technology centers across North America, SRA develops new technologies to
enhance the competitive edge of Samsung products. When the company opened a center in
the Silicon Valley, the Californian Government granted a tax discount to attract Samsung.
This allowed Samsung to reduce tax and delivery costs. Keeping manufacturing, R&D and
administration in specific spots, Samsung uses plenty of advantages of a global strategy.

Also, Samsung does massive economies of scale with standardized products. For example,
Samsung Electronics’ products for end customers have a minimum of local differentiations.
As a hardware supplier, Samsung Electronic works with global companies that sell electronic
products which are also standardized.

Samsung uses the Vertical Integration Strategy. As mentioned above, Samsung not only has
its own R&D center but also manufactures the hardware by itself.

In the U.S. market, Samsung established 100% capital companies (Samsung Electronics
America, Samsung Semiconductor, Inc, Samsung Information Systems America) and
invested in large-scale factories.

VI. LESSONS OF SAMSUNG TO DO BUSINESS IN THE US (CHALLENGES AND

IMPLICATIONS)

1. Based on The Hofstede 6-Dimensional Model

The Hofstede 6-Dimensional Model provides insights into cultural differences among
countries, which can be useful for companies like Samsung operating in the United States. In
summary, Samsung adapted its organizational culture, management identified by the
Hofstede model. Emphasizing collaboration, individualism, gender qaulity, innovation, short-
term results, and consumer desires will help Samsung operate more smoothly and
successfully in the US market.

a. Power distance:
● High power distance in South Korea: South Korea has a high power distance, which
means that people accept a hierarchical order in which everybody has a place, and
which needs no further justification. This is reflected in the Samsung culture, which is
described as militaristic, with accompanying rank and ceremony. In South Korea,
 people show great deference to a person of authority, and inequality is seen as the
basis of societal order.
● Low power distance in the US: In contrast, the US has a low power distance, which
means that people expect to be treated as equals regardless of their position in the
hierarchy. In the US, people value the equal treatment of everyone, and power, status,
and wealth do not need to go together.
● Challenges for Samsung: Samsung's high power distance culture may clash with the
low power distance culture in the US market. Samsung may need to adapt its culture
to the US market by promoting open communication between employees and
management. Samsung may also need to train globalized managers who can
understand different cultures and manage a diverse workforce.
● Implications for Samsung: By understanding the power distance factor of this case,
Samsung can adapt its culture to the US market and solve its cultural challenges while
penetrating the US market. Samsung can create an inclusive culture that values
diversity and promotes equal opportunities for all employees. Samsung can also
promote open communication between employees and management and train
globalized managers who can understand different cultures and manage a diverse
workforce.
b. Individualism and Collectivism:
● Collectivism in South Korea: South Korea is a collectivist society, which means that
people belong to in-groups that take care of them in exchange for loyalty. This is
reflected in the Samsung culture, which is described as militaristic, with
accompanying rank and ceremony. In South Korea, people show great deference to a
person of authority, and inequality is seen as the basis of societal order.
● Individualism in the US: In contrast, the US is an individualistic society, which
means that people are expected to take care of themselves and their immediate family
only. In the US, people value the equal treatment of everyone, and power, status, and
wealth do not need to go together.
● Challenges for Samsung: Samsung's collectivist culture may clash with the
individualistic culture in the US market. Samsung may need to adapt its culture to the
US market by creating an inclusive culture that values diversity and promotes equal
opportunities for all employees Samsung may also need to promote open
communication between employees and management to encourage individual growth
and personal accomplishments.
● Implications for Samsung: By understanding the individualism vs. collectivism
factor of this case, Samsung can adapt its culture to the US market and solve its
cultural challenges while penetrating the US market. Samsung can create an inclusive
culture that values work-life balance and promotes employee well-being. Samsung
can also promote open communication between employees and management and
encourage personal achievements and individual growth.

c. Masculinity vs. Femininity

● Masculine culture in South Korea: South Korea is a masculine society, which
means that people value competitiveness, assertiveness, and material success. This is
reflected in the Samsung culture, which is described as militaristic, with
accompanying rank and ceremony. In South Korea, men are expected to be the
breadwinners and women are expected to take care of the home and children.
● Feminine culture in the US market: Women and femininity in US popular culture
have been subject to intense debate, and the mass-market's model of the female
consumer tends to reinforce the gender divide. Besides, the feminine culture in the US
 market values work-life balance and employee well-being. In our consumer culture,
women are seen as the primary consumers, and shopping is defined as a feminine
pursuit
● Challenges for Samsung: Samsung's masculine culture may clash with the more
feminine culture in the US market. Samsung may need to adapt its culture to the US
market by creating an inclusive culture that values work-life balance and promotes
employee well-being. Samsung may also need to address gender bias and promote
equal opportunities for all employees regardless of gender, nationality, or age.
● Implications for Samsung: By understanding the masculinity vs. femininity factor of
this case, Samsung can adapt its culture to the US market and solve its cultural
challenges while penetrating the US market. Samsung can create an inclusive culture
that values diversity and promotes equal opportunities for all employees. Samsung
can also address gender bias and promote work-life balance and employee well-being.

d. Uncertainty Avoidance
● High uncertainty avoidance in South Korea: South Korea has a high uncertainty
avoidance, which means that people feel threatened by ambiguity and try to avoid it
by strict laws and rules. In South Korea, people show great deference to a person of
authority, and inequality is seen as the basis of societal order. This is reflected in the
Samsung culture, which is described as militaristic, with accompanying rank and
ceremony.
● Low uncertainty avoidance in the US: In contrast, the US has a low uncertainty
avoidance, which means that people are more tolerant of ambiguity and are willing to
take risks. In the US, people value the equal treatment of everyone, and power, status,
and wealth do not need to go together.
● Challenges for Samsung: Samsung's high uncertainty avoidance culture may clash
with the low uncertainty avoidance culture in the US market. Samsung may need to
adapt its culture to the US market by promoting open communication between
employees and management. Samsung may also need to train globalized managers
who can understand different cultures and manage a diverse workforce.
● Implications for Samsung: By understanding the uncertainty avoidance factor of this
case, Samsung can adapt its culture to the US market and solve its cultural challenges
while penetrating the US market. Samsung can promote open communication
between employees and management and train globalized managers who can
understand different cultures and manage a diverse workforce. Samsung can also
create an environment where employees feel comfortable sharing their ideas and
concerns with management.

e. Short term & long term orientation

● Long-term orientation in Samsung: Samsung has a strong long-term orientation,
which is often seen as a key reason why it could take a significant market share away
from its rivals, such as Nokia and Motorola. Samsung's long-term orientation is
reflected in its business practices, which show that companies with a long-term focus
outperform companies with a shorter time horizon.
● Short-term orientation in SMEs: Small and medium-sized enterprises (SMEs) are
mostly associated with a short-term orientation due to more limited resources. The
combination of a smaller workforce with an oftentimes dynamic environment urges
SMEs to focus on short and daily operations rather than long-term strategies,
especially in emerging countries.
 ● Challenges for Samsung: Samsung may need to balance its long-term orientation
with the short-term orientation of the US market. Samsung may need to adapt its
culture to the US market by creating an inclusive culture that values work-life balance
and promotes employee well-being. Samsung may also need to be flexible in its
strategies and various departmental activities to meet the needs and demands of the
organizational goals as well as country-specific needs.
● Implications for Samsung: By understanding the short-term and long-term
orientation factor of this case, Samsung can adapt its culture to the US market and
solve its cultural challenges while penetrating the US market. Samsung can create an
inclusive culture that values diversity and promotes equal opportunities for all
employees. Samsung can also balance its long-term orientation with the short-term
orientation of the US market and be flexible in its strategies and various departmental
activities to meet the needs and demands of the organizational goals as well as
country-specific needs.

f. Indulgence & Restraint

● Indulgent society in the US: The US is considered an indulgent society, which
means that people value the satisfaction of human needs and desires. In an indulgent
society, there is a higher number of happy individuals, and leisure time is enjoyed and
prioritized. Freedom of speech is also important in an indulgent society.
● Restraint society in South Korea: South Korea is considered a restraint society,
which means that people see the value in curbing one's desires and withholding
pleasures to align more with societal norms. In a restraint society, positive emotions
are less freely expressed, and happiness, freedom, and leisure are not given the same
importance.
● Challenges for Samsung: Samsung's restraint culture may clash with the indulgent
culture in the US market. Samsung may need to adapt its culture to the US market by
creating an inclusive culture that values work-life balance and promotes employee
well-being. Samsung may also need to address the importance of leisure time and
personal control in an indulgent society.
● Implications for Samsung: By understanding the indulgence and restraint factor of
this case, Samsung can adapt its culture to the US market and solve its cultural
challenges while penetrating the US market. Samsung can create an inclusive culture
that values diversity and promotes equal opportunities for all employees. Samsung
can also address the importance of leisure time and personal control in an indulgent
society and promote work-life balance and employee well-being.

2. Based on Negotiation style

Negotiation styles in the US and South Korea differ in several ways. Understanding these
differences can help Samsung Korea improve engagement when doing business in the US.
Here are some key points to consider:

a.Negotiation Style in South Korea:

● Relationships matter a lot and must be maintained at all times.
● Negotiations may become very emotional, aggressive, or outright adversarial.
● Gibun, or harmony and mutual respect between the negotiating partners, is of utmost
importance.
● The interpersonal relationship must always be harmonious, even if there is no
agreement in sight.
 ● South Koreans will prepare well for negotiations and research all details about your
company and your products in advance.
● Negotiations in South Korea can be conducted by individuals or teams of negotiators.
● One-on-one negotiations require several rounds during which your Korean
counterpart consults with the group participating in the decision-making.
● Team negotiating is preferable since your team will bring broader functional expertise
to the table and since you will be able to assign different roles to each team member,
maximizing the team’s impact.

b. Negotiation Style in US:

● Negotiations in the US tend to be more direct and less emotional.
● US negotiators tend to focus on the task at hand rather than building relationships.
● US negotiators may be more willing to take risks and make concessions.

c. Some lessons Samsung Korea can use to improve engagement when doing business
in the US:
● Be prepared to negotiate with individuals or teams of negotiators.
● Focus on building relationships with US counterparts, but be aware that negotiations
may be more direct and less emotional.
● Be willing to take risks and make concessions.
● Understand that US negotiators may be more task-oriented and less focused on
building relationships.
● Avoid putting pressure on US counterparts or showing anger and dissatisfaction, as
this is considered a taboo.
● Be patient and persistent, as time pressure techniques rarely work against US
negotiators.

By understanding these differences and adapting their negotiation style accordingly, Samsung
Korea can improve their engagement when doing business in the US.