Samsung, Lotte leaders seek out new growth strategy amid increasing volatility

[Photo by MK DB]

Top executives from Korean conglomerates are moving to develop new growth strategies and adapt to evolving external environments amid increasing market volatility and worries over hyperinflation around the world.

According to Samsung Electronics on Monday, heads of key business divisions are scrambling to the company’s Suwon and Hwaseong sites to develop business strategies for the second half of this year. The biannual global strategy meeting will go back to full scale and in person for the first time in two years after being restricted due to the pandemic.

The DX Division, headed by Vice Chairman and CEO Han Jong-Hee, will hold its division-level session for global business strategy on June 21-23, where ways to increase synergy between smartphone, TV and digital appliance businesses will be explored.

Han stressed the need to discover future growth engines for the company on top of synergy creation during April’s DX Connect, an event designed to boost employee communication and engagement. The DX meeting will be held for smartphone (MX) and network business sectors on the first day, followed by TV and home appliances, and finally, company functions and medical devices.

DS Division responsible for Samsung’s semiconductor business will have a one-day business strategy meeting on June 28. The division realigned with 30 new executives in a recent personnel reshuffle is expected to discuss the roadmap for the construction of Samsung’s new semiconductor plant in Taylor, Texas, and the completion of its P3 line in Pyeongtaek. But Samsung Electronics Vice Chairman Jay Y. Lee will not be present in the meeting, according to sources.

Meanwhile, Lotte Group Chairman Shin Dong-bin left late last week on his mission to discover new growth drivers during a three-week business trip to Europe and Japan. According to sources, Shin is expected to meet key business partners to deepen cooperation in the biotech and healthcare areas while studying M&A targets from promising startups.

Earlier this month, Lotte Group launched a new organization called Lotte Biologics for new business exploration in the biotech sector. The group’s holding company controls 80 percent of Lotte Biologics, whose CEO Lee Won-jik, a former Samsung Biologics executive, left for San Diego to participate in BIO International Convention running from June 13-16. Shin is scheduled to fly to Japan directly after his European travel to participate in an upcoming shareholder’s meeting of Lotte Holdings.

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