Strategic+Innovation+2

 We suggest that it would be appropriate for Samsung to deploy a secure email and messaging network similar to RIM's. Currently, the Android world lacks a centralized and secure email network with push notifications. As a result, RIM is able to capitalize on the business user segment almost exclusively since no viable alternative for secure messaging exist. In order for Samsung to deploy a network similar to RIM's, we suggest the acquisition of the company "Synchronica". This company already has the infrastructure in place and currently offers the service on a subscription basis. Synchronica is a developer of standard compliant mobile messaging solutions. The acquisition would enable Samsung to use technologies created and patented by Synchronica to create a Samsung exclusive secure email / messaging network and attract more business customers.
 * Innovation #1 Let's Use yours first! **

 The two activities for analysis are the acquisition of Synchronica and the implementation their technology into handsets. The acquisition would give Samsung new patents and functional technology which would be implemented into new handsets. Secure email with push notifications can potentially attract a larger segment of business type smartphone users who typically prefer Blackberry's. The move would give Samsung a competitive advantage over other Android manufacturers as well as Apple since neither provide a secure mobile email network. Once the email network is implemented, it would create a new set of activities that deal with network maintenance and upgrades. Furthermore, a new activity would be created to market the new email network. Samsung would need to do marketing to let consumers know about this new feature and continue to re-enforce or remind them of its existence. Since all these activities attract a new market segment and provide a competitive advantage it is appropriate for Samsung the perform them.
 * Activity **

 In terms of Android handsets, the value created is unique since a secure email network is not available on other Android phones. However, in the overall smartphone market, the value is not unique as Research in Motion (RIM) already has a secure email network for Blackberry's. A Samsung email network would create a viable alternative for Blackberry users who highly value or need security but want more advanced handsets. The business user customers are very valuable since many rely on having secure email access while on the go. All things considered, the value created by this strategy appeals to many valuable customers.
 * Value **

 Samsung has a superior position with its coopetitors since they are both a manufacturer of smart phones as well as a supplier of the components. This puts Samsung in a strong position with its raw resource suppliers since these suppliers are aware Samsung components are used in a plethora of phones not manufactured by Samsung. In other words, the raw resource suppliers place a high value on Samsung as a customer due to the volume of outputs it is a able to push out. By implementing a secure email network, Samsung would be able to further exploit this position by providing its customers with more benefits which atracts new customers. More customers for Samsung means more business for its resource suppliers which strengthens Samsungs buyer power.
 * Appropriability **

 Other firms may be able to imitate Samsungs secure email activities, however given the complexity of other activities associated with manufacturing components, competitors would have a harder time maintaining and upgrading the necessary hardware for an email network. In other words, Samsung can manufacture its own components for the email service while its competitors would need to outsource these components and hence the costs would be higher.

 The only substitute available for secure mobile email is RIM's blackberry network. However as mentioned earlier, there are many customers that may want an Android device but are locked in with RIM for security features. A Samsung email network would create a major threat for RIM since there would be a viable non proprietary alternative.

As previously mentioned, a major strength of Smasung is they manufacture many of the essential smartphone components drastically reducing supply costs. The implementation of a email network would not turn this strength into a handicap since Samsung can use the strength to manufacture components for the email network. Another Samsung strength is their close relationship with Google. Samsung currently manufactures the flagship Google branded Android devices (Nexus line of phones). A Samsung exclusive email network may hurt this relationship since it should be Google implementing a secure email network which would be available to all Android devices. The Samsung network may steal sales away from other Android manufacturers and may be viewed by Google as restricting the Android space. Other Android manufacturers may react with building their own exclusive email networks which would cause more fragmentation with Android.  With this change, Samsung would be able to capture more value from the business oriented customers. The acquisition of Synchronica would take an existing service and turn it into a Samsung exclusive potentially change the Android landscape. It would strengthen Samsungs already dominant position in the smartphone industry and add more diversity to their market segments.
 * Change **