FMCD SECTOR ANALYSIS ELECTRONICS SECTOR ANALYSIS COMPETITOR ANALYSIS REFRIGERATOR SEGMENT ANALYSIS BY VOLUME(UNITS SOLD IN 2015) AND VALUE (2016) COMPANY SNAPSHOT AND COMPANY HISTORY SWOT ANALYSIS PORTERS FIVE ANALYSIS 4 P ANALYSIS MARKET LEADER AND 2ND PLAYER IN CATEGORY ( REFRIGERATOR, WASHING MACHINE, MICROWAVE OVEN AND WASHING MACHINE) DISTRIBUTION NETWORK OF THE COMPANY PRODUCTION CYCLE OF REFRIGERATOR

1. PRESENTED BY:
Md Sadique Suleman
FINAL PRESENTATION SEM 2.2

2. 1 Agenda 2 3 4 5 6 7 98 10 11 12 13
Sector

3. .
1 Sector Information2 3 4 5 6 7 98 10 11 12 13
• The FMCD sector in India is emerging as one of
the largest sectors in the Indian economy
• By 2020, the electronics market in India is
expected to increase to US$ 28 billion from US$
100 billion in FY17
12.5
20.8
FY 16 2020 F
CAGR 10.5
Source: ibef.org

4. 1 Sector Information2 3 4 5 6 7 98 10 11 12 13
• India is one of the largest growing
electronics market in the world.
Source: ibef.org
100
228
FY 17 FY 20 F
CAGR 31.61
67
33
URBAN RURAL
Shares in the durables
market in India (FY16)

5. 1 Market Share2 3 4 5 6 7 98 10 11 12 13
21
20.8
13.6
11
4.5
22.7
6.4
SAMSUNG SONY VIDEOCON PANASONIC ONIDA LG OTHERS
Source: ibef.org

6. 1 Market Share2 3 4 5 6 7 98 10 11 12 13
Source: ibef.org
This segment makes up 31 per cent of the consumer appliances
market
VALUE $1.45 B
9 MILLIONS
UNITS
75
25
DIRECT COOL FROST FREE
MARKET SHARE
BY CATEGORY
CAGR 10%

7. 1
Company Snapshot
2 3 64 5 7 98 10 11 12 13
Founders
Source: lg-dfs.com
Koo In-Hwoii

8. 1 Porter’s Five2 3 54 6 7 98 10 11 12 13
Positive Impact
Neutral Impact
Negative Impact
 Product differentiation is
very low
 By changing the input,
firms cannot drastically
differentiate on price
Bargaining Power of Suppliers
Threat of Substitutes
 Technology
advancements
 Buyers have huge
propensity to substitute
 Continuous innovation
leads to intense rivalry
 Homogeneity in product
and low switching cost
Competitive Rivalry
 Highly capital intensive
 Major players have
developed brand
equity
 Brand loyalty is moderate
Threat of New Entrants
 Use of Internet to get all the
information enables
customers to be powerful
 Buyer’s switching cost is
very less
Bargaining Power of Buyers

9. 1 History2 3 4 5 6 8 1097 11 12 13
Lak hui changed
in to Goldstar.
1959
Produce Lak Hui
cream (cosmetic)
1947
Journey
Develops Lak Hui
dental cream
1954
Source: lgcorp.com
Develops first
Electric fan in
Korea
1961

10. 1 History2 3 4 5 6 7 98 10 11 12 13
Rebrand as
LG electronics
1995
First in the world
to market 84-inch
ULTRA HD TV
2012
Introduces
world’s first 4K
OLED TV
2014
LG’s vision is to
become the market
leading company
with broad market
recognition
Source: lgcorp.com
Develops world's
first LTE mobile
modem chip.
2008

11. 1 SWOT ANALYSIS2 3 4 5 6 7 98 10 11 12 13
S W O T
• Established brand
name
• Extensive distribution
system
• Diversified products
• Superior quality
• Lack of capabilities
to influence the
early adopters
• High prices
• LG declining
performance
in Korea
• Life – Style
• Grabbing the
market share
• Increase
Competition
• New
technology
• Emerging home
appliances sector

12. Product
Refrigerator
A/c
Mobile
TV
Price
Various price depends
on products feature
Place
Convenient for
customer
Distribution channels
Advertisement through
TV
Internet
Newspaper
Magazine
1 4 P’S2 3 4 5 6 7 98 10 11 12 13
Promotion

13. 1 MARKET SHARE2 3 4 5 6 7 98 10 11 12 14
CATEGORY NO. 2 PLAYER
MICROWAVE
OVENS
TV
REFRIGRATOR
WASHING
MACHINES
13

14. s
Factories Distributors
Multi
brand
retailers
Exclusive
showroom
OWN
ONLINE
PORTEL
Consumers
Company
Online market
1
Distribution
network
2 3 4 5 6 7 98 1110 12 13 14

15. 1 Production cycle2 3 4 5 6 7 98 1110 12 13 14