This document discusses LG Electronics' performance in the Indian market. It notes that LG Electronics India failed to grow its sales for the third straight year in FY 2014, with only a 1% rise to Rs. 11,580 crore. This is a significant decline from its position as the largest consumer electronics company in India just five years ago, as it is now only a fourth the size of its main rival, Samsung. LG is struggling to hold market share across products as it faces stiff competition from other companies such as Samsung, Apple, local and Chinese vendors.

2. SUB : ECONOMICS
ROHIT S.NAMDEV
ROLL NO : 11048

3. INTRODUCTION
 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 60 – inch plasma TV.

4. HISTORY
 1999 – Established LG Philips LCD,a joint venture with
Philips.
 BY 2005, LG was a Top 100 global brand and in 2006
growth of 14%

5. LG PAYS PRICE FOR PROFIT
FOCUS, SALES HIT A TROUGH
Mumbai And Kolkata: - LG electronic failed to grow it
sales in Indian markets for the third straight year in
FY 14.
LG Electronics India , which was the country’s
largest consumer electronics company just five
years ago, is now reduced to nearly a fourth of its
towering rival samsung after it reported just 1% rise
in net sales for the year ended march 2014 at
Rs:11,580 crore as par its latest filing to the registrar
of companies (RoC).

6. 1. LG higher loss of the company and Samsung's growth is
powered by its booming mobile handset
business, true, but LG India is losing ground to other and is
struggling to hold on to its market share across product
rise, in Samsungs
2. SONY India, for example, has narrowed the gap with LG
significantly with Rs: 10,000 crore in sales last fiscal and its
targeting Rs:12,000 crore this year .

7. SMARATPHONE
1%..............................!
LG market share in
smartphones in july – sept
Qtr, down from 1.4% in the
same period in 2013.

8. EXPERTS SAY THAT LG IS FACING
Stiff
competition
from Apple &
samsung in the
Premium
segment.
Fighting the rise
of local &
chinese vendors
in the entry- to –
mid segment .

9. LIFE IS NOT THAT GOOD,
PERHAPS
LG SAMSUNG

10. SALES PROFIT
FY14* FY14*
11.580 634
40,392 2,636
FY13* FY13*
11,457 486
27,772 1,714
FY12* 11,456 FY12* 313
19,779 361

11. END
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