Page 9 - Short Cases 1 Galaxy Note7 Samsung Resurection

Sales

Samsung’s mobile sales were down 15% by October 2016.

(4)

In its December press conference Samsung however, took

full responsibility for the crisis. It was also forthcoming in its

admission that while it didn’t know what was causing the

battery malfunction, it would not rest until the actual cause

was discovered.

“The Galaxy Note 7 accounts for 10% of the brand’s total

sales, and if consumer confidence is shaken in this device

after no clear answers about the safety of the battery, entire
product lines could suffer drops in sales. Profitability could

be greatly harmed.” (8)