Samsung, the world-famous South-Korean manufacturer of computer electronics, has recently found itself in trouble. The thing is that it was fined for slandering against HTC, one of its major rivals from Taiwan. The sum of the fine is $300 000. The reason is dirty PR schemes.
The thing is that Samsung hired people to praise Samsung products and criticize HTC products online. This is an illegal way to get a competitive edge over rivals. And now the company’s image is damaged.
At the same time, HTC is not in its best shape and has to do everything to stay afloat amid tough rivalry. Not so long ago, it had to suspend the work of one of the 4 assembly lines due to lower demand for HTC smartphones.
Apparently, the recent scandal cannot but affect the company’s stock. Samsung is currently seeing its stock declining amid the damaged image. The chart below, courtesy of Masterforex-V Academy, reflects the current state of affairs in the market of Samsung’s stock:
