The case details the tactical conclusions that SK Planet, a leader in cellular telephone and web services in its home country of Korea, needed to make regarding the best strategy to perform an aggressive global expansion -most importantly to the United States. A challenge with this particular choice was that these platforms were developed largely for the Korean marketplace and may not translate to U.S. audiences. Furthermore, several services would face entrenched, direct competition within U.S.; 2) Develop or expand organically, by way of chartering new SK Planet divisions under the seasoned Korean or American executives.
The disadvantage was that this might lead to delays in getting new divisions off the floor, and the firm needed seriously to invest substantial time and energy in researching the U.S. market; 3) Follow a Merger & Acquisitions strategy utilizing its $600 million in cash. However, this may involve a high level of risk, and if handled incorrectly, mergers can lead to culture disputes between U.S. and Korean executives. Whichever option it selected, SK Planet set a three-year goal for its expansion efforts. While nominally short, the organization saw this as the critical time period prior to the smartphone ecosystem in the U.S. reached maturation and the incumbents fortified their market positions.
SK Planet in 2013 A Korean Giant's Big Bet on the U.S. Market case study solution
PUBLICATION DATE: May 14, 2014 PRODUCT #: SM222-HCB-ENG
This is just an excerpt. This case is about LEADERSHIP & MANAGING PEOPLE
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