Presentation on theme: "Content Introduction History LG In India Major Landmarks of LG in India Marketing Strategies Executives Vision Mission Business Divisions and Main Products."— Presentation transcript:
Content Introduction History LG In India Major Landmarks of LG in India Marketing Strategies Executives Vision Mission Business Divisions and Main Products
Introduction LG Electronics, is a global leader and technology innovator in consumer The company was originally established in 1958 as Goldstar producing radios,TVs, refrigerators,washing machines & air conditioners. The L.G group was a merger of two Korean companies, Lucky & Goldstar, form which the abbreviation of L.G was derived. L.G is the second largest producer in electronics, chemicals & third largest producers pf mobile phones. Company has 75 subsidiaries worldwide that design & manufacture televisions home appliances & telecommunication devises.
Cont…… LG has signed a long-term agreement to become both a Global Partner of Formula 1 and a Technology Partner of Formula 1. By 2005 l.G was a top 100 global brand & in 2006, l.G recorded a brand growth of 14%. L.G is listed in greenpeace guide to greener electronic where it ranked 12 th out of 18 th leading electronic makers in may 2010. L.G is employing more than 80,000 people working in over 115 operations around the world. Its central headquarters is situated in the LG Twin Towers in Seoul, South Korea.
Cont…… LG comprises of five business units - Home Entertainment, Mobile Communications, Home Appliance, Air Conditioning and Business Solutions. LG Electronics has unveiled many new products, applied new technologies in the form of mobile devices and digital TVs in the 21st century and continues to reinforce its status as a global company. The LG group is engaged in chemicals, electronics, and telecommunications and services. Today they employ thousands of people and their assets consists of a total of fifty- one companies, with nine in electronics, eight in chemicals, and thirty-four in telecommunications with locations all around the world.
Cont…… LG Electronics is a Top 100 global brand that is a dominant force to be reckoned with in the electronics industry. During the period 2001-2003 the company sponsored snooker grand prix. During this years the tournament was known as LG cup. As part of this top-level association, LG acquires exclusive designations and marketing rights as the official consumer electronics, mobile phone and data processor of this global sporting event.
History LG Electronics is one of the worlds largest manufacture of electronic product. The company started in 1947 under the trading name Lak Hui. Then by 1958, Goldstar was established by In-Hwoi Koo, who was the founder of Lak Hui. The Goldstar made the first radio in Korea. The letter G in LG Electronics today traces its roots from Goldstar its original brand name. 1962, Goldstar radios were exported to countries like the United States of America.
Cont…… In 1965, Goldstar produced the first refrigerator in Korea. Then the following year, they made Koreas first black and white television. in 1968, Koreas first air-conditioning unit was produced and followed the succeeding year. As shown here, when LG Electronics was still known as Goldstar, it was already the pioneering home appliance manufacturer in its native South Korea. In the 1970s, Koo Cha-Kyun took over the leadership of the company. Under him, Luk Hai changed its name to Lucky, therefore forming the original meaning of the letter L in LG Electronics.
Cont…… As a pioneer of electronics invention, they made the first colored television in Korea in the year 1977. By 1978, their exports reached US $100 million. They were the first to reach this feat in Koreas highly competitive electronics industry. Then in the 1980s LG Electronics was already using the initials LG to refer to Lucky Goldstar. It expanded throughout the entire decade. The first European subsidiary was established in Germany. In the 1990s, the company was becoming more aggressive in the international market. By early 1990, they put up an Ireland-based design technology center.
Cont…… It was in 1995 that Lucky Goldstar officially changed its name to LG Electronics. In the same year, they acquired the US- based company named Zenith. In 1997, LG Electronics established a subsidiary in India. In the following year the company made the worlds first 60- inch PDP TV. In 2000, LG Electronics launched a refrigerator that can be bought through the internet. They were also becoming the leading brand when it comes to LCD TV, mobile phones, and computer hardware. In 2001, LG Electronics launched home appliances that can be bought via the internet. These were LG Electronics newest models of washing machine, air conditioner, and microwave oven.
Cont…… In 2001, LG Electronics launched home appliances that can be bought via the internet. These were LG Electronics newest models of washing machine, air conditioner, and microwave oven. It also became the market leader in Australias CDMA market. LG Electronics also augmented their GSM mobile handsets exports to European countries such as Russia and Italy. In 2003, it became the top global CDMA producer. Then it also entered the Northern European and Middle East GSM market. In 2007, LG Electronics demonstrated the worlds first MIMO 4G-Enabled Technologies with 3G LTE. Then in 2008, LG no longer represents Lucky Goldstar but the new company logo Life is good,
LG In India LG electronic India pvt. Ltd, a wholly owned subsidiary of LG electronics, south Korea was established in January,1997 after clearance of the foreign investment promotion board (FIPB). LG set up a state-of-the art manufacturing facility at greater Noida, Near Delhi, in 1998, with an investment of Rs 500 crores. In 2004 LGEIL also up its second Greenfield manufacturing unit in Pune, Maharashtra. LG plans to set up Rs 500 crores unit in south.
Major Landmarks of LG in India Feb 1997 : Established LGEIL May 1997 : Launched CTV,WM & Refrigerator Jan 1998 : Launched AC Apr 1998 : Inaugurated Noida plant May 2001 : Started monitor production Jan 2004 : Started PC production Oct 2004 : Inaugurated Pune plant Apr 2005 : Started GSM production Jan 2007 : Started TFT monitor production Apr 2007 : 5 star energy rating for product
PRODUCT STRATEGY LG's objective is to provide world class product to upper class and upper middle class to enjoy real luxury in their life. LG is a Korean brand and being imported from Korea, it has very advanced features, which are normally demanded by in developed countries. LG also insures that whatever product they market should be durable enough which last quite many years and give trouble free service to their customers It provides its refrigerators, five years compressor guarantee and one year free service in spare parts under normal use.
PRICING STRATEGY LG pricing strategy is cost + fixed mark up to cover their GP. Since they cater to upper middle and upper class. LG follows pricing policy in which their normal formula is import cost + reasonable gross profit to cover their marketing expenses and also give them reasonable profit.
PROMOTION STRATEGY Sales Promotion strategy is concerned, it is being designed and implemented by their respective agent of each product. They offer very handsome incentives to their dealers, who in return push their product among the customer and thus they get their desired volumes Due to being a multi-national company and as a part of their global Strategy they, most of the time, divert their funds from strong market and spend more on weak or under developed markets.
Executives Yong Nam Vice Chairman & CEO, LG Electronics Yong Nam was appointed Vice Chairman and CEO of LG Electronics on January 1, 2007. His appointment signifies LG's desire to achieve the status of a highly profitable, technological leader with strong brand power. Simon king President and CEO / Home Entertainment Company
Cont…… Skott Ahn President and CEO / Mobile Communications Company Young-Ha Lee President and CEO / Home Appliance Company. Hwan Yong Nho Executive Vice President and CEO / Air Conditioning co. Soon Kwon Senior Vice President and CEO / Business Solutions co
Vision LG Electronics continues to pursue its 21st century vision of becoming a worldwide leader in digitalensuring customer satisfaction through innovative products and superior service while aiming to rank among the worlds top three electronics, information, and telecommunications firms by 2010. On our way, we hold tight to a philosophy of "Great Company, Great People," underscoring our belief that only great people can create a great company. LG Electronics is pursuing the vision of becoming a true global digital leader, attracting customers worldwide through its innovative products and design.
Mission To create value for customers. To respect human dignity. To become the best in its class by winning customers' acclaim as a true leader in the global market.
Business Divisions and Main Products Home Entertainment:- LCD TVs, Plasma TVs, Audio, Video, Optical Storage Mobile Communications:- Mobile handset (CDMA/GSM/3G), Mobile Accessory, PCB, WLL Home Appliance:- Washing Machines, Refrigerators, Cooking Appliances, Vacuum Cleaners, Built-in Appliances
Cont…… Air Conditioning:- Residential Air Conditioners, Commercial Air Conditioners, Home Solution, Compressors. Business Solutions:- Monitors, Commercial Displays, Car Infotainment, Security Business