The Chief Executive Officer, CEO, of Samsung Electronics Africa, Mr. Sung Yoon, on Thursday disclosed that manufacturing a mobile phone required about 400 different components, none of which is available in Nigeria.
Speaking during an interactive session with journalists in Lagos, he stated that another reasons Samsung Electronics could not establish a manufacturing plant in Nigeria is because the company’s market share in the country is not big enough.
Yoon pointed out that though Samsung was the leading consumer electronics company in Nigeria, its share of the Nigerian market is smaller to South Africa’s.
He said that the company’s smartphones market size in South Africa is 80 per cent, but is lower in Nigeria.
The Samsung CEO disclosed that other issues that affect the building of manufacturing plant in the country are infrastructure, Return on Investment, RoI, and grey market.
According to him, “We are trying to be a local company here. Building factory depends on return on investment and efficiency of the economy.
“There are lots of grey products coming into the country and this will affect the return on investment.”
He disclosed that the company had manufacturing plants in Vietnam, China, South Africa and Korea, as such having one in Nigeria is foreseeable in the future.
Yoon said that Nigeria’s population of 180 million was a power for the future, a reason why Samsung wanted to be part of the corporate citizenship.
He said that annually, the company spent $16 billion globally on Research and Development, R&D, sold over 700 mobile phones every minute and over 41,000 every hour, globally.
Yoon said that the company’s global vision was to inspire the world and create the future, through its innovative technologies, products and designs that enriched people’s lives and contribute to social prosperity.
He said that Samsung Africa’s vision was to be the most admired brand, through partnership and profitable growth.
The CEO called on Samsung distributors and dealers to always inform the company of their sales drives, as doing so would enable it to fashion its products accordingly and improve service visibility for consumers.