The company was originally established in 1958 as Goldstar, producing radios, TVs, refrigerators, washing machines, and air

conditioners.
The L.G group was a merger of two Korean companies Lucky and Goldstar. Is the second largest producer of television and third largest producer of mobile phones.

LG Electronics India Pvt. Ltd., a wholly owned subsidiary of LG Electronics, South Korea was established in January, 1997 after clearance from 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-cr unit in South

L.G. GROUP
L.G. ELECTRONICS

L.G.CHEM

L.G.TELECOM

MOBILE COMMUNICATIONS

INFORMATION AND ELECTRONIC MATERIALS CHEMICAL AND POLYMERS

DIGITAL DISPLAY

DIGITAL MEDIA

LG SOLAR ENERGY

DIGITAL APPLIANCES

INDUSTRIAL MATERIALS

Demographic - Income -Occupation Geographic -Tier 1 cities - Tier 2 cities Psychographic -Life style -Personality Behavioural -Value -Benifit

Strengths:

Market leader in home appliances. Has got manufacturing unit in tax incentive . Wide range of products to serve all categories. Widest distribution network in the industry(47 barnches,10000 trade partners). Good after sales service offered.

Samsung being its competitor provides similar products.

Consumers compare L.G with Samsung its Korean rival not with other global companies.

Lack of expert operators for complex machines due to illiteracy and lack of training in India.

Fast growth of the home appliances market Shifting to rural areas Thus maintaining control over the market and the highest share in home appliances market

Close competitors like Samsung are compared to it.

Price war with Samsung.

Competition from Indian brand and other foreign brands.

Feb97 : Established LGEIL May97 : Launched CTV, WM, REF. Jan98 : Launched AC Apr98 : Inaugurated Noida Plant-CTV, AC, WM May01: Started Monitor Prod. Jan04 : Started PC Production Oct04 : Inaugurated Pune Plant-CTV, REF Apr05 : Started GSM Production (P) Jan07 : Started TFT Monitor production Apr07 : 5 Star Energy Rating for products

Growth strategy fast innovation fast growth The new plant which is under development aims to reach a manpower base of 1500 people and an investment of Rs 300 crore till 2010.

o Growth strategies aimed at gaining more

customers from the 1.1 billion prospective customers of India. o Currently India is equipped with a production line to manufacture 6 lakh T.V sets and 1 million refriegerators per year.