Last 12 months were a tough period for Samsung. The recall crisis of Samsung Galaxy Note 7 set the opening, causing billions of losses to the firm’s net sales. In less than 4 months, the biggest corruption scandal in the history of South Korea transfixed the nation and eventually led to the impeachment of President Park Geun-hye. Along with the scandal came the trial on bribery and embezzlement against Jay Y. Lee, the de facto head of the Samsung conglomerate. On August 25, 2017, Lee was finally convicted of all 5 charges he faced and sentenced five years in prison, which is one of the harshest sentences handed to a South Korean chaebol executive.
Dr. Paul M. Swiercz, professor of management at George Washington University as well as co-founder of the Korean Management Institute, has been a longtime observer of Korean business activities. Dr. Swiercz has expressed his opinions on Korea conglomerates through numerous articles and publications, and one of them is “Real lesson of Samsung’s error”, published in The Korean Times on February 9, 2017. His comments on the recent Samsung scandal was also cited on Bloomberg Businessweek articles. Those articles can be found below.
Dr. Paul Michael Swiercz has published more than 35 refereed research articles; his case studies on Home Depot and Delta Airlines have appeared in six best selling strategy text books. His case study — Food Lion vs. the UFCW: Time for a Change? — was selected for the Best Case Award by the 2002 Academy of Management. He has been interviewed by numerous news organizations including CNN and has taught and presented seminars in Greece, Cyprus, France, Germany, Trinidad and Brazil.
News Articles on Samsung Crisis
Real lesson of Samsung’s error
Read the article: https://www.koreatimes.co.kr/www/opinion/2017/06/162_223645.html
Summer of Samsung: A Corruption Scandal, a Political Firestorm—and a Record Profit
Read the article: https://www.bloomberg.com/news/features/2017-07-27/summer-of-samsung-a-corruption-scandal-a-political-firestorm-and-a-record-profit
Samsung Heir Gets 5 Years for Scandal That Toppled a President
Read the article: https://www.bloomberg.com/news/articles/2017-08-25/samsung-heir-sentenced-to-five-years-prison-on-graft-conviction
Samsung boss jailed for five years
Read the article: http://www.fudzilla.com/news/44376-samsung-boss-jailed-for-five-years