The Samsung Way: Transformational Management Strategies from the World Leader in Innovation and Design

CHAPTER 2

HOW DID SAMSUNG BECOME A WORLD-CLASS CORPORATION?

Samsung was founded just before World War II as a small company trading in groceries and other goods. By the second half of the twentieth century, Samsung was at the forefront of Korea’s transformation from a poor and underdeveloped nation to an economic success story.

The first section of this chapter traces Samsung’s development over the past 75 years. The second section focuses on Samsung’s semiconductor business, which became the template for the New Management initiative.

The History of Samsung’s Growth

Samung’s history can be divided into four periods (see Table 2.1): foundation (1938 to mid-1950s), expansion (mid-1950s to late 1960s), leading domestic company (late 1960s to late ...