PSB Academy – Diploma in Business Administration

PSB Academy – Diploma in Business Administration (Marketing) SAMSUNG GALAXY NOTE II Teams: Eunice Fang Zi Xin Jesslyn Lim Hui Ting Tony Tan Xiang Cheng Yvonne Lee Shan Shan Table of Contents 1. Introduction 1a. Brief of Samsung Company Profile 1b. Information of Samsung Product 1c. Detail Specification of the Product 2. Marketing Objectives 3. Analysis 3a. Marketing Research Analysis 3b. Macro-environmental Analysis 3c. Market Segmentation, Targeting and Positioning Analysis 3d. SWOT Analysis 4. Marketing Mix Strategies (4P) 4a. Product 4b. Price 4c. Promotion 4d. Place 5. Implementation plan 6. Reference 7. Conclusion . Introduction 1aBrief of Samsung Company Profile Samsung the digital age that brought revolutionary change the world to the global business, Samsung has responded with the advanced Technologies, Competitive & Creative Products & Constant Innovation. At Samsung, we seen every challenger as an opportunities and believe as we are perfectly positioned as one of the world’s well recognized leaders in the digital technology industry. Our commitment to being the world’s best has won us the No. 1 global market share for 13 of our products, including semiconductors, TFT-LCDs, monitors and CDMA mobile phones.
Looking forward, we’re making historic advances in (R;D) research and development of our overall semiconductor line, including flash memory and non-memory, custom semiconductors, DRAM and SRAM, as well as producing best-in-class LCDs, mobile phones, digital appliances, and more. 1bInformation of Samsung Product The Samsung Galaxy Note II is easily among the most powerful handsets in the US market at the moment. The presence of Android 4. 1 Jelly Bean on board makes the device part of a really privileged club of gadgets, booting the latest version of the Google mobile OS.
The S Pen has also made quantum leaps compared to its predecessor. Speaking of specs: The new Galaxy Note II is powered by a 1. 6GHz quad-core Exynos processor and runs Android 4. 1 Jelly Bean. The device will support either HSPA Plus or LTE connectivity. Buyers can choose between 16GB, 32 GB and 64 GB of storage and it has an 8-megapixel rear camera and a 1. 9-megapixel front-facing camera. Samsung is boasting that the Note II’s HD Super AMOLED screen offers a “perfect viewing experience”. That’s a bold claim, and I’ll have to see it to believe it. The company has also redesigned the S Pen to be longer and thicker. cDetail Specification of Samsung Galaxy Note II NetworkS Pen Optimized Features . 3G: HSPA+21Mbps. S Note, S Planner, Email with hand-writing integration (HSDPA 21Mbps/ HUUPA 5. 76Mbps). S Pen Keeper . 4G LTE: 100/Mbps/ 50Mbps. Quick Command, Easy Clip, Photo Note, Paper Artist . Best Photo, Best Face, Low light shot Processor . 1. 6 Ghz Quad-Core Processor Operating System . Android 4. 1 (Jelly Bean) 1 Step tasking/ multitasking features . Air View . Popup Note, Popup Video . Page Buddy/ Tag Buddy/ Word Buddy Display . 140. 9mm (5. 5”) HD Super AMOLED (1,280 x 720) Dimension . 80. 5mm x 151. 1mm x 9. mm, 180g . Connectivity/ Sharing Features . Bluetooth® V4. 0 (Apt-X Codec support) LE . USB 2. 0 Host . WiFi 802. 11 a/b/g/n (2. 4 ; 5 GHz), Wi-Fi HT40 . Wi-Fi Direct . NFC . S Bean . Samsung AllShare Play ; Control . Samsung AllShare Cast (WiFi Display) – Mirroring ; Extension . Samsung AllShare Framework Other . Samsung TouchWiz / Samsung L! ve Panel . Samsung Kies /Samsung Kies Air . Samsung ChatOn mobile communication service . Smart Stay, Direct claa, Screen Recorder, Quick Glance . Samsung ChatOn mobile communication service . Samsung S Suggest Battery . Standard battery, Li-on 3,100mAh

Memory . 16/ 32/ 64GB User memory + 2GB (RAM) . microSD slot (up to 64GB) Camera . Main (Rear): 8 Megapixel Auto Focus Camera with LED Flash, BSI . Sub (Front): 1. 9 Megapixel VT Camera, BSI . Best Photo, Best Face, Low light shot Video . Codec: MPEG4, H. 263, H. 264, VC-1, DivX, WMV7, WMV8, WMV9, VP8 . Format: 3GP(MP4), WMV(ASF), AVI, FLV, MKV, WebM . Full HD(1080p) Playback ; Recording Audio . Codec: MP3, OGG, WMA, AAC, ACC+, eAAC+, AMR(NB,WB), MIDI, WAV, AC-3, Flac . Music Player with SoundAlive . 3. 5mm Ear Jack Sensor . Accelerometer, RGB Light, Digital Compass, Proximity, Gyro, Barometer
GPS . A-GPS . Glonass Enterprise Solutions . On Device Encryption (H/W) . Microsoft Exchange ActiveSync . VPN(F5, Cisco, Juniper) . MDM(Sybase Afaria, MobileIron, SOTI, Good) . CCX . VMware MVP 2. Marketing Objectives Samsung Electronics Co. Ltd is a global leader in semiconductor, telecommunication, digital media and digital convergence technologies. As the Samsung Galaxy Note II is a product targeted to the growing smartphone market in Singapore, its marketing objectives for yearly product life cycle Putting the right product in the right place, at the right price, at the right time.
It’s simple! We just need to create a product that a particularly group of people want, put it on sale some place that those same people visit regularly, and price it at a level which matches the value they feel they get out of it; and do all that at a time they want to buy. There’s a lot of truth in this idea. However, a lot of hard work needs to go into finding out what customers want, and identifying where they do their shopping. Then we need to figure out how to produce the item at a price that represents value to them, and get it all to come together at the critical time.
Smartphone adoption is increasing at breakneck speed – SingTel has reported in its 2011 Annual Report2 that 60% of new phones sold by them are smartphones. Reflecting this trend, the majority or 88% of Singaporeans in our study owned smartphones. It was interesting to note that while those aged 25-39 years had the highest levels of smartphone ownership at 92%, ownership levels were relatively consistent across age brackets. Those aged 55 and above were not far behind at 83% smartphone ownership. Due to the peers pressure, most people start to follow the smartphone trend. Since the trend now is ongoing for smartphone in the market now.
Firstly is to gain awareness of the Samsung galaxy note II through advertising. Secondly meet the consumer needs and satisfy the consumer needs. Thirdly brand loyalty is consistent purchase of a single brand over the time. 3. Analysis 3a. Marketing Research There are five step of marketing research process: 1st Define the problem 2ndDevelop the approach to research the problem 3rdConducting the research and collecting the data 4thAnalysis of the data and drawing conclusions 5thPresenting the data collected and making recommendations We are going to conduct survey and feedbacks through online medium and outdoor survey.
The objectives is to extract the data of product satisfaction feedback after user have their hands on this new Samsung Galaxy Note II and to understand their satisfaction, needs and requirements. Through conducting survey we get to understand the consumers’ needs and keep on improving our product to serve our customer better. Types of survey Participants will take around 25 minutes to complete the following: * Product test and demo * Product feedback and questionnaire form Survey Questionnaire 1. What is your gender? 2. What is your age? 3. What is the highest level education you have attended? 4.
What is your current occupation? 5. Do you use or own a smartphone as your mobile phone? 6. What brand of smartphone do you use? 7. Excluding voice calls, how often do you use your smartphone in this situation? * Idle time at work or school (during breaks, lunch, boring meetings/ classes, etc) * Riding the bus, train, or in car as passenger * Waiting in line (e. g. Coffee shop, grocery store, for movie to start, picking up kids, etc. ) * In bed when you wake up (Weekend leisure time. Before you get out of bed for work, etc. ) * In bed before you go to sleep * For school/ work related tasks * In the bathroom While exercising (running, cycling at the gym…) * While you are driving, waiting for light to turn green (not moving) * While you are driving (wheels moving) 8. Under what other scenarios do you commonly use your smartphone? 9. Multasking, Excluding voice calls, how often do you use your smartphone while simultaneously doing these activities? * Listening to music * Walking * Watching Television * Shopping * Using the toilet * Playing computer games * Playing sports, exercising * While talking on the phone(e. g. Using apps, advanced features) 10. Under what other situations do you use your smartphone and multitask? During class; During homework * Eating meal * Watching tv, walking to class or work, bathroom at the gym 11. How often are you consuming different types of information on your smartphone? * Text messaging (SMS) * Reading e-mail * Watching Movie 12. How do you consume news on a smartphone? 13. What are your preferences for consuming news on your smartphone? * News in the form of text * News in the form of photos * News in the form of video * News in the form of audio 14. What types of news do you typically read, listen to, view, or seek out on your smartphone? * Weather * Breaking news * Sports news Business news * International news 15. Do you prefer to go to individual news sites using your smartphone’s Web browser or use a news-specific app? 16. What percentage of a news article do you typically read on your smartphone? 17. How long do you typically spend listening to an audio news story on your smartphone? 18. How much time do you typically spend watching a news video on your smartphone? All data collected will be analyzed and improved accordingly to customer preferences. The data collected are for us to make the product improvement and enhancement. 3b. Macro Environmental Analysis Economic Factors Gross Domestic Product The Gross Domestic Product (GDP) in Singapore contracted 1. 50 percent in the third quarter of 2012 over the previous quarter. Historically, from 2007 until 2012, Singapore GDP Growth Rate averaged 5. 54 Percent reaching an all-time high of 36. 40 Percent in March of 2010 and a record low of -15. 90 Percent in September of 2010. The Gross Domestic Product (GDP) growth rate provides an aggregated measure of changes in value of the goods and services produced by an economy. Singapore along with Hong Kong, South Korea and Taiwan is one of the Four Asian Tigers.
Singapore has a highly developed and successful free-market economy. It enjoys a per capita GDP higher than that of most developed countries. The economy depends heavily on exports, particularly in consumer electronics, information technology products, pharmaceuticals, and on a growing service sector. Below is a chart with historical data for Singapore GDP Growth Rate. Inflation Rate The inflation rate in Singapore was recorded at 4. 70 percent in September of 2012. Historically, from 1962 until 2012, Singapore Inflation Rate averaged 2. 82 Percent reaching an all-time high of 34. 00 Percent in March of 1974 and a record low of -3. 0 Percent in September of 1976. Inflation rate refers to a general rise in prices measured against a standard level of purchasing power. The most well-known measures of Inflation are the CPI which measures consumer prices, and the GDP deflator, which measures inflation in the whole of the domestic economy Below is a chart with historical data for Singapore Inflation Rate. Employment Rate Employed Persons in Singapore increased to 3228. 50 Thousand Persons in June of 2011 from 3105. 90 Thousand Persons in June of 2010, according to a report released by the Ministry of Manpower, Singapore.
Historically, from 1994 until 2011, Singapore Employed Persons averaged 2347. 22 Thousand Persons reaching an all-time high of 3228. 50 Thousand Persons in June of 2011 and a record low of 1714. 20 Thousand Persons in June of 1994. In Singapore, employed persons are individuals with a minimum required age who work during a certain time for a business. Below is a chart with historical data for Singapore Employed Persons. Consumer Price Index Consumer Price Index (CPI) in Singapore increased to 113. 78 Index Points in August of 2012 from 113. 07 Index Points in July of 2012, according to a report released by the Statistics Singapore.
Historically, from 1961 until 2012, Singapore Consumer Price Index (CPI) averaged 65. 98 Index Points reaching an all-time high of 113. 78 Index Points in August of 2012 and a record low of 28. 30 Index Points in May of 1961. In Singapore, the Consumer Price Index or CPI measures changes in the prices paid by consumers for a basket of goods and services. Below is a chart with historical data for Singapore Consumer Price Index (CPI). * Technological Factors With modern technology, communication devices give access to information about almost everything.
From Internet, TV and Mobile, it allows one to learn about, searching information and even make purchase online anytime and anywhere in the world. The Internet is a medium with which we can view information from anywhere in the world. Information from the World Wide Web and various other services such as instant chat, email, Facebook and YouTube. As the use of Internet became more popular, there was an increase in the speed of internet and also decrease in the cost. It made it simple for all users and the use of the internet became very cheap. Most users will have unlimited access to Internet as well.
This has made it possible for many people to benefit. Almost every individual uses the internet where it is available. * Competitive Factor In the IT industry, several forces such as globalization and new technologies have allowed consumers to have more access to smartphone. As a result, consumers buying behavior is changing and competition is tougher, making Samsung to evolve and meet those demands. In order to maintain its sustainable advantage and growth, Samsung has to be advanced to its competitors in term of technologies, pricing and trends. Competitors like Apple, HTC, Nexus, LG, ASUS, Nokia, Sony ; many more.
All these competitors smartphone almost close spec, size to Samsung Galaxy Note II. Next Page is the competitor smartphone general specification: 3c. Market Segmentation, Targeting and Positioning Analysis Being a World Wide brand, it is essential for market segmentation to be realized to enable Samsung to capturelise smaller, targeted markets which can be reached efficiently ; effectively. The consumer market segmentation is divided into four major parts: * Geographic Geographic segmentation is the basic identifiable characteristic of same city, states and regions.
Being the 9th best global brand in the world, Samsung has over 285 offices in the world. Singapore, being one of the world’s busiest cities with flourishing tourism and significant increase in purchasing power, is definitely one of the Samsung projected regional markets. * Demographic The demographic are basically identifiable characteristics of individual’s people because people with different background generally have different purchase requirements. The demographic may be viewed single or combination. They include following factors: 1. Age 2. Gender 3. Education 4.
Mobility. 5. Income. 6. Occupation. 7. Family size. 8. Social size. 9. Family life cycle. * Psychographic The forces which affect the groups or individual in the market are called Psychographic. Consumer may be segmentation factors such as personality, class consciousness and perceived risk. We are able to differentiate people’s spending habits and purchasing power through this segmentation method and thus help to reach out to our goal. The factors are following: 1. Attitudes. 2. Class consciousness. 3. Motivation. 4. Perceived risk. 5. Innovator. 6. Values. 7. Life style. 8.
Important of purchase. * Behavioral Segment our markets on the basis of product- related behavior is called behavioral segmentation. Samsung is able to understand what their consumer looking for in a product itself, through survey & understand their needs. There are two basis approaches are used. 1. Benefits desired. 2. Usage rate. 3d. SWOT Analysis Strengths| * Smartphone is the latest trend in technologies. * Branding. * All in one function and usage. * R & D (Investing on scientific talents). * Innovation (New digital technology). * Customization (New products every year). New allocation of marketing resource. * Widest range of products. | Weakness| * Completing product with Apple, Nokia, Sony, HTC & others. * Fast pace technologies environment. * Average prices of products seem to be low quality products. * Insufficient software or talent engineer to create their own software. * Heavily investing into development of newer markets and not focusing on any one of core competencies. | Opportunities| * Advance technology. * Demand in market of the smartphone. * Firmware upgraded in the future. * Planning to make the product category stronger. Generations nowadays tend to have stronger spending power. | Threats| * Low cost competitors in China. * Legal war between Samsung and its competitor Apple. * Technological change all times. * Legislation. * Price wars. | 4. Marketing Mix Strategies 4a. Product Samsung Galaxy Note II offers smartphone shoppers which compare on iPhone on suitability, style, price, quality and design. Main Benefit Samsung Galaxy Note II offers a large screen that given viewer a perfect viewing experience on-the-go, easy tasking in one view, simply amazing expression tools and the power performance at its best.
The main benefit offered to consumers is smartphone. Actual Product Samsung, For over 70 years, Samsung has been dedicated to making a better world through diverse businesses that today p advanced technology, semiconductors, skyscraper and plant construction, petrochemicals, fashion, medicine, finance, hotels, and more. Our flagship company, Samsung Electronics, leads the global market in high-tech electronics manufacturing and digital media. Samsung smartphone known for its products, quality and design like Samsung Galaxy S1, 2, 3 or mini version.
For those prefer small can chose Samsung Galaxy S3 mini, for those prefer large screen to watch movie etc. can chose Samsung Galaxy Note 2 a smartphone that have enormous battery, expandable memory up to 64gb, amazing screen, LTE capable (4G) & Blazingly fast processor. 4b. Price Before choosing a pricing strategy, the pricing policy should consider the costs associate with the products. Fixed costs are things such as rental, salaries and utilities while variable costs includes materials and packaging, will be total up to allow the management to at least cover the total production costs.
Cost-Plus Pricing We will need to compound the final price based on the fixed cost and variable cost for development, production, factory, distribution, marketing efforts and all other operation cost involved to ensure that Samsung Galaxy Note II will bring sustainable good revenue and profits. The cost-based pricing approach will be adopted. Below is the illustration: Variable Cost| =| $500| Fixed Cost| =| $1,000,000| Expected Unit Sales| =| 100,000 for 1 year| Samsung Galaxy Note II per unit is given as below: Unit Cost| =| Variable Cost| +| Fixed costunit sales| | =| $500| +| $1,000,000100,000| =| $510| | | Samsung Galaxy Note II wants to earn a 45% mark-up on sale. The mark-up price will be shown below: Markup Price| =| Unit Cost(1-Desired Returned on Sales)| | =| $5101-0. 45| Selling Price| =| $927. 27| Profit per unit| =| Selling Price| -| Unit Price| | =| $927. 27| -| $510| | =| $417. 27| | | Projected Total Revenue for 1 Year: Sales Quantity for 1 Year| Selling Price| Total Revenue| 100,000| $927. 27| $92,727,000| Projected Total Profits for 1 Year: Expected Units sold for 1 Year| Profit Margin per unit| Total Profits| 100,000| $417. 27| $41,727,000| Break Even Analysis:
Break Even Volume| =| Fixed CostsPrice-Variable Cost| | =| $1,000,000$927. 27-$500| | =| 2,341 units| 4c. Promotion Promotions are one of the four elements of marketing mix. Four main tools of promotion are advertising, sales promotion, public relation and direct marketing. * Advertising Advertising is defined as any form of paid communication or promotion for product, service and idea. Advertisement is not only used by companies but in many cases by museum, government and charitable organizations. However, the treatment meted out to advertisement defers from an organization to an organization.
Advertising development involves a decision across five Ms Mission, Money, Message, Media and Measurement. Mission looks at setting objectives for advertising. The objectives could be to inform, persuade, remind or reinforce. Objective has to follow the marketing strategy set by the company. Money or budget decision for advertising should look at stage of product life cycle, market share and consumer base, competition, advertising frequency and product substitutability. Message’s development further is divided into four steps, message generation, message evaluation and selection, message execution, and social responsibility review.
Once the message is decided the next step is finalizing the media for delivering the message. The choice of depends on reach of media, frequency of transmission and potential impact on customer. Based on this choice of media types are made from newspaper, television, direct mail, radio, magazine and the internet. After which timing of broadcast of the message is essential as to grab attention of the target audience. Checking on the effectiveness of communication is essential to company’s strategy. There are two types of research communication effect research and sales effect research. * Sales Promotion
Promotion is an incentive tool used to drive up short term sales. Promotion can be launched directed at consumer or trade. The focus of advertising to create reason for purchase the focus of promotion is to create an incentive to buy. Consumer incentives could be samples, coupons, free trial and demonstration. Trade incentive could be price off, free goods and allowances. Sales force incentive could be convention, trade shows, competition among sales people. Sales promotion activity can have many objectives, for example, to grab attention of new customer, reward the existing customer, and increase consumption of occasional users.
Sales promotion is usually targeted at the fence sitters and brand switchers. Sales promotional activity for the product is selected looking at the overall marketing objective of the company. The final selection of the consumer promotional tools needs to consider target audience, budget, competitive response and each tool’s purpose. Sales promotion activity should under-go pretest before implementation. Once the activity is launched it should be controlled as to remain within the budget. Evaluation program is a must after implementation of the promotional scheme. Public Relations Companies cannot survive in isolation they need to have a constant interaction with customers, employees and different stakeholders. This servicing of relation is done by the public relation office. The major function of the public relation office is to handle press releases, support product publicity, create and maintain the corporate image, handle matters with lawmakers, guide management with respect to public issues. Companies are looking at ways to converge with functions of marketing and public relation in marketing public relation.
The direct responsibility of marketing public relation (MPR) is to support corporate and product branding activities. MPR is an efficient tool in building awareness by generating stories in media. Once the story is in circulation MPR can establish credibility and create a sense of enigma among sales people as well as dealers to boost enthusiasm. MPR is much more cost effective tool than other promotional activities. * Direct Marketing The communication establishes through a direct channel without using any intermediaries is referred to as direct marketing.
Direct marketing can be used to deliver message or service. Direct marketing has shown tremendous growth in recent years. The internet has played major part in this growth story. Direct marketing saves time, makes an experience personal and pleasant. Direct marketing reduces cost for companies. Face to face selling, direct mail, catalog marketing, telemarketing, TV and kiosks are media for direct marketing. Advertisement, Promotional activity, Public relation and direct marketing play an essential role in helping companies reaches their marketing goals. 4d. Place
Samsung will penetrate into Singapore market and get customers through indirect marketing channel. It will be using a one-tier channel to distribute Samsung Galaxy Note II. Samsung Singapore will be the distribution centre in Singapore. Singtel, Starhub & M1 being the leading Telco retail outlet company in Singapore are chosen as its exclusive intermediary to sell the products to customers. Samsung Manufacture Plant Samsung Manufacture Plant Samsung manufactures its Galaxy Note II in China where it will ship its product to Samsung Singapore for distribution to the various Telco.
The diagram below shows the indirect consumers marketing channel. Samsung [Singapore] Samsung [Singapore] Consumers Consumers Singtel Singtel Starhub Starhub M1 M1 5. Implementation plan Samsung will use design marketing communications program to execute promotional activities to provide consistence message across all audience and by taking customers’ expectations into consideration. First Stage (1 months: Sep 2012 to Oct 2012) – Advertising Samsung Galaxy Note II will be advertised in the various mediums of advertising through broadcast, print and internet advertising.
Internet Advertising With the increased rate of Singaporean connected through internet. Internet advertising will be a great way to advertise Samsung Galaxy Note II. Advertisement will be held in Twitter, Facebook, YouTube, Apps, Forum and Email. Second Stage (1 day; Oct 19 2012) – Launch Event 6. Reference 1. http://www. samsung. com/global/microsite/galaxynote/note2/spec. html? type=find 2http://www. blackbox. com. sg/wp/wp-content/uploads/2012/05/Blackbox-YKA-Whitepaper-Smartphones. pdf 3http://gmx. xmu. edu. cn/ews/business/pmarketing/chapter10. htm#internal 4http://www. ntrepreneur. com/article/170964 5http://www. managementstudyguide. com/tools-of-promotion. htm 6http://www. darrensim. com/2012/10/20/samsung-galaxy-note-2-launch-in-singapore-october-2012/ 7http://www. singstat. gov. sg/stats/themes/economy/hist/cpi. html 8http://www. tradingeconomics. com/singapore/gdp-growth 9http://www. yousaytoo. com/comparison-chart-iphone-5-vs-iphone-4s-vs-galaxy-s3-vs-galaxy-note-2-vs/4101135 10http://www. rankingthebrands. com/Brand-detail. aspx? brandID=518 7. Conclusion Samsung Galaxy Note II is becoming a hot product in the whole markets that feature S-Pen.
It’s products bringing out the large screen for a movie experience, it’s technology beats other competitor off. Considering the large size of the Samsung Galaxy Note II, careful consideration is required in order to determine if it’s the right smartphone for your needs. I found the big screen to be more of a draw than the actual S Pen stylus, but I would be less likely to buy it because I need something highly pocketable, not something that I would have to carry in a purse or gear bag. The stylus is a unique addition, but of limited utility for anyone who is already comfortable using a touchscreen and/or a virtual keyboard to enter text.
It’s fun to use for drawings and such, maybe a quick grocery list, but digital artists and hardcore notetakers would likely be happier with either a larger tablet or a Bluetooth keyboard. If you’re willing to make the commitment, however, the Galaxy Note II is a powerful device and a good performer. * Pros * Excellent screen (Large and bright) * Great performance * S Pen stylus is useful for drawing ad quick notes * Great voice quality * Cons * Huge (Note really pocketable, especially for ladies)

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