LG Electronics was founded in 1958 in South Korea and initially produced radios, TVs and home appliances. It has since expanded globally and established joint ventures for LCD production. In India, LG Electronics began operations in 1997 through imports and later set up local manufacturing. It has grown to become a top player in the Indian consumer electronics and appliances market, especially in air conditioners, refrigerators and washing machines. LG focuses on innovation, new technologies, customized products, and expanding its distribution network to drive growth.

2. 



1958- Founded as Gold star.
Formed through merger of two
Korean Companies LUCKY &
GOLDSTAR.
1960- Produces Korea‟s first
radios,TVs,refrigerators,washing
machines and air conditioners.
1995- Gold Star was renamed
LG Electronics.
1998-Develops world‟s first 60inch plasma TV.

3. 
1999-Establishes LG Philips
LCD,a joint venture with
Philips.

By 2005, LG was a Top 100
global brand, and in
2006, LG recorded a brand
growth of 14%.

4. 






1993- Joint Venture with Bestavision
1995 -Joint Venture with C.K.Birla group.
1997- Deli censing of consumer electronics industry in India.
Jan1997- Establishment of LGEIL (LG Electronics India Ltd.
May 1997- Started Operations in India
Imported Products from South Korea.
1998- Set up Mfg at Greater Noida with investment of 500
crore.

5. 
2001- LGEIL become fastest growing company in consumer
Electronics, home Appliances,& consumer peripherals

Till Oct 2001 achieved Cumulative turnover of 5000 crore


2001- Sale of 1 Lakh AC‟s in a single year
125 crore in 1997 Sales turnover ,to 2216 crore by end of 200

6. STRENGTH
S. Widest distribution network in the industry(47
1
branches,10000 trade partners.
2. Advancement of technology to introduce new
products & new features.
3.High growth. Key drivers being urban & rural areas.
4.Govt policies in favour of industry by reducing excise
duty.
WEAKNESSES
1. It has limited market share compared to market leaders.
2. Volatile performance of the agriculture sector has a negative
impact on demand.
3. Competitors providing with similar products.

7. OPPORTUNITIES
1.Diversification.Developing new products for new
markets.
2. Fast growth of the home appliances market.
3. Shifting to rural areas.
THREATS
1.Competition from Indian brand and foreign brand.
2. Price war with Samsung.
3.Many companies are working in the white good
segment due to which prices would continue to
remain depressed & margins will be under pressure.

8. 
To tap these unexplored
country markets, LG has set
up 60 CAO‟s and 65 RAO‟s in
India.

LG Electronics developed a
customized TV Sampoorna for
the rural market .

SAMPOORNA was priced
around INR 2000
CINEPLUS was priced
between INR 5000-7000

9. 


Company also followed a strategy called „Different
Models,Different Channel‟.
Products were customised in terms of pricing and features to
meet the local requirements.
Awareness among the people is very important .

10. 
Innovative Marketing Strategy.

Local & Efficient Manufacturing to reduce cost.

Product Localization

R&D

11.  to make itself a new brand in the consumer electronics sector,



•
LG has taken innovative & promotional initiatives.
Launch of new technologies in consumer electronics & home
appliances.
LG was the first brand to enter cricket in a big way, by
sponsoring the Indian world cup n followed it up in 2003 also.
LG has differentiated its product using technology and health
benefits.
The CTV range has “Golden eye” technology, air conditioners
have the “Health air system”, & microwave oven have the
Health wave system.

12. 


To overcome high import duties LG manufactures PC
monitors & refrigerator in India at its facility at Noida , Delhi.
LGEIL is implementing a “Digital manufacturing system”
(DMS) as a cost cutting innovation.
These system is follow up to the Six Sigma exercise LGEIL
had initiated earlier.

15. 
•
HOME ENTERTAINMENT
HOME APPLIANCES

16. 
MOBILE COMMUNICATION
• AIR CONDITIONS & ENERGY SOLUTIONS

18. 
According to industry sources, both Panasonic and Hitachi have
maintained a steady growth in the AC market and cumulatively account for
more than 15% of the market currently.
The past fiscal year, which saw the overall AC market in India post a
negative growth of 26% year-on-year, was particularly bad for the Korean
majors Samsung and LG.

The market share of LG dropped to 17.3% in February 2013 from 26.3%
in March 2011. Samsung's market share, too, dipped to 11.3% by February
2013, from 19.5% in March 2011. On the other hand, the share of homegrown Voltas increased to 18.3% in February this year from 17.5% in
March 2011.

19. 


The company has attributed its latest growth to aggressive
marketing of its new all-weather air conditioners introduced
early last year. But its success has deeper roots than that.
Over the past five years, Voltas has built its brand, introduced
new products and expanded its retail presence to a total of
6,000 outlets.
Fast-growing smaller towns and cities now contribute about
half of Voltas‟ sales and the company sees them as its main
source of future.

20. 
Godrej currently has 18% share in refrigerators and claims to
share the third position with Whirlpool, after LG
and Samsung.

LG Electronics have registered around Rs 4,700 crore
revenues from its refrigerator business with a market share of
37 per cent.

Consumer durable major LG Electronics has set a target of
mopping up Rs 5,300 crore revenues from its
refrigerator business this fiscal.

21. 



As part of garnering a 38 per cent market share in the
refrigerator vertical, the company has launched new range of
models equipped with ever cool technology, which retains
cooling for over seven hours.
he company, manufactures the higher capacity refrigerators at
its Pune facility, while the lower models at Noida plant, he
said.
The new range of models are exclusively launched in Indian
market for the first time, globally, LG Electronics
India, Marketing - Head (Home Appliances), Yong Soon
Hwang said.
The new price ranges from Rs 12,080 for 185 litre to Rs
41,300 for 360 litre capacity.

22. RANK 1: Samsung with a market share of 31.5%.
RANK2: NOKIA with a market share of 27.2%
RANK3:MICROMAX with a market share of 8.7%
RANK 4: KARBONN with a market share of 6.4%.
RANK 5: Apple Inc with a market share of 3.6%
RANK 6: HTC with a market share of 3.3%
RANK 7: Blackberry with a market share of 3.1%
RANK 8: LAVA with a market share of 2.8%
RANK 9: LG with a market share of 2.6%
LG plans to grow by 10% by next year.

23. 
As per market tracker GfK-Nielsen's data, LG has grown
overall market share in the country from 27.8% in 2010 to
30% till last month.

Ranks First .Product is LG-Smart ThinQ.Samsung,Whirlpool
stands Second & Third.

LG in the first six months has grown 20% in airconditioners, 10% .in washing machines and 15% in
refrigerators