it is basically a case study about lg and an analysis is made as to which would be the best marketing strategy.

1. LG-THE INTERIOR WARRIOR
-
MANJUSHA

2.  Type- public
 Industry- consumer electronics and home appliances
 Founded on -October 1958; 58 years ago(as Gold Star)
1995 (as LG Electronics)
(Reincorporated in 2002)
 FounderKoo In- hwoi (The original Gold Star)
 HeadquartersYeouido-dong, Seoul, South Korea
 Area served WorldwideKey people
 Koo Bon-moo
(Chairman & CEO)
KangYu-sig
(Vice Chairman & Co-CEO)
 LeeWoo- Rahm
(Chairman)
Cho Jun-ho
(EVP,COO, & Director)
 Products
 1]Parent -LG Corporation
 Websitewww.lg.com
 Number of CAOs-60 and RAOS-65

3.  Televisions,
 home theater systems
 Refrigerators
 Washing machine
 Computer monitors
 Wearable devices
 Smart appliances and smart phones
 OLED TVs
 Mobile devices
 Mobile phones
 Tablet computers
 Smart watches
 Rolly keyboard
 Home appliances

5.  STRENGTH-Innovative products and unusual
marketing
 WEAKNESS-poor market penetration in rural
areas. LG air conditioners and plasma
technology not available in small town markets.
 OPPORTUNITIES-growth in semi urban and
rural markets for higher growth.
 THREATS- Samsung is the nearest competitor

6.  Growth of urban areas is 6%
 CAO-65 and RAO-65
 Profit centers empowered to have their own
independent budget for logistics, after sales
services, accounts and for sales and marketing
also
 Uses information of rural markets from RAs and
CAs in the form of market feedback which is
looped back to production development.

7.  Most tactical advertising is local. Brochures
and catalogues are printed regionally and in
local language, hoardings, van publicity and
other unconventional media usage.
 Invested RS 500 crore in rural marketing
initiatives.

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washing machine microwave oven colour television air conditioner
lg
samsung

9.  Untapped market
 Has 750 million people
 72% of Indian population resides in 600000
villages
 Size of rural market is estimated to be 42
million households

10.  Illeteracy and gullible people
 Low or moderate purchasing power
 Understanding rural consumers
 Poor infrastructure
 Channel management
 High distribution cost
 Wholesaler and dealer network problems
 Management and sales managing problems
 Low per capita and poor standards of living social and
culturalbackwardness of the rural masses
 Low level of exposure to different product categories and product brands
 Cultural gap between urban base categories and product brands.
 Under developed markets

11.  In 50 years ,45% villagers have been connected by road.
 More than 90% villagers are electrified though 44%rural
homes have electric current.
 Subsidiaries to the villagers to use other source of
energy like solar system used in large amount.
 Number of “pucca” houses increased day by day
 Literacy level improved from 36% to 59%
 BP families declined from 46% to 25%
 Growing rural infrastructure.

12.  Strong distribution channels.
 Contacts with more number of CAOs and RAOs.
 Having sales force belonging to that particular local
area.
 Advertising by paintings and radios.
 Promoting products with Indian Models and Actors.
 Entry of lg products in market specially among youth.
 Educating the customers
 Good promotional strategies
 Focus on urban areas
 Major focus on 3 states of rural population

13.  low price structure with facilities or services
like emi, installment etc.
 Best designs and packaging.
 Marketer’s direct communication with people
of that area.

14.  Build Strong distribution channels.
 Promoting products with Indian Models and Actors.
 Entry of lg products in market specially among youth.
 Major focus on 3 states of rural population.
 Having sales force belonging to that particular local
area.
 Contacts with more number of CAOs and RAOs.