And Samsung has to admit to losing.

To be realistic, Samsung now calls it "the overnight Rain". In the recent release of the third quarter of 2014 revenue, operating profits fell sharply, but also face Microsoft's lawsuit and internal personnel changes, appears rather helpless. The reason for such an embarrassing situation is the weakness of the Samsung mobile communications sector, where the sales of smart mobile terminals plunged into stagnant and even declining growth.

Samsung also admits it is difficult to reverse the adverse situation. But no matter what, ahead of HTC's precedent, Samsung began to prepare early in response to the downturn in performance and outside the adverse news. Among them, the price of smart mobile terminals is only a small part of the "recovery plan", Samsung to do a lot more.

And Samsung has to admit to losing.

Samsung Mobile communications sector has long been a harbinger of weakness, after all, in Android smartphones, tablets, low-cost models in the endless, and Samsung is holding high prices do not let go, in an attempt to always with Apple in the high-end model confrontation. Try to upgrade the overall smartphone image and price with high-end models, and then grab high profits. But Samsung can not reverse the market trend, in the same function, configuration, under the same circumstances, simply rely on the brand premium ability to sell more than the other Android models twice times, apparently increasingly not accepted by users. After all, Android is not iOS, it's an open system and it's not exclusive.

Samsung insists on taking the high-end, the consequence of the high-priced route is that, after 10 consecutive quarters of 15% or more operating margins, Samsung's IT and mobile division recorded only 7.1% operating margins in the third quarter of this year, the lowest level since the end of the 2008-year period, a blow. If the rate of decline in profits is not curbed in time, it is likely that the next situation will change greatly and even lose money. Therefore, in the face of Apple and mainland China Mobile phone manufacturers in the face of the average price of smart phones continue to explore, price reduction is inevitable choice.

Of course, the price is not simply lower prices, but not directly to all kinds of smart phones, flat straight 1000 yuan even if the solution. More is the product diversification layout, let the price return to a rational interval. Jin Yu, senior vice president of Samsung Mobile, has been stressing that the Samsung mobile sector needs radical change. The specific solution is to fundamentally reform the product portfolio and seek greater cost-effectiveness. In addition, Samsung will seek to use standard components across devices and will continue to compete for each price tier.

In other words, Samsung is not ready to turn its attention to high-end mobile terminals, as Sony does, but rather to keep the existing high school low product layout and rebuild the product portfolio to maximize profit--the use of standard components across devices means a significant cost reduction. However, in the smart mobile Terminal market competition is fierce, the situation is fast changing in the present, leaving Samsung time is not much. If in the next year Samsung has not solved the price of mobile terminals, the type of shackles, or will embark on HTC, Sony's Old road.

Don't play proud, Samsung needs to be low

Samsung has been trying to improve its brand image, keeping pace with Apple, and is targeting apple everywhere. But the brutal reality has made Samsung realise that it is clearly unlikely to succeed. Apple is always that aloof, maverick Apple, Samsung is more like a "nouveau riche", can not afford too much wind and rain. The difference between their corporate culture, quality and quality determines that Samsung will never imitate Apple. To want to turn over, Samsung must put low posture, repositioning themselves-since the play is not proud jiao, that is to go pro-people line.

Look at Samsung's rivals now, in front of the tiger-like Apple, behind the wolf-like mainland Chinese handset makers. In such a situation, Samsung's "eruption" and wear the proud mask, obviously difficult to maintain. To save face and earn back real money again, Samsung has to go a whole new way. For example, imitation of Chinese mobile phone manufacturers, the introduction of low-cost models to participate in competition. While this may seem "routong" in the short term, it is the best way to preserve face in the long run.

Samsung has to hug his thighs.

To fight alone is the most painful thing. Samsung in particular, in the high-speed development stage, too arrogant, for the present helpless buried the foreshadowing. First with Google, not only want to split advertising costs, or even launch their own Tizen system, want to independent portal, after the friction with Microsoft, delayed payment of 1 billion U.S. dollars royalties ... Today, the lone shadow of Samsung to reverse the adverse situation, we must marry with other giants, to form a pluralistic pattern to deal with fierce competition and reshape the brand image.

For example, don't worry about Microsoft's takeover of Nokia in violation of the so-called cooperation Agreement between the two sides in 2011, and actively cooperate with Microsoft to launch Windows Phone mobile phones, to rejoin the embrace of Microsoft, such as Google's co-operation to give up some of the benefits of the system, in exchange for the cost of the company to help , for example, while the chip business can also be placed high expectations of the current, and Apple repair relationship, its chip orders to grab back; for example, with the Chinese mainland handset manufacturers to cooperate, exchange their hands some patents, etc., to achieve a common goal ... As long as Samsung can form a group, don't let yourself fight the world, there is hope.