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Lg vs Samsung

Lg vs Samsung

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Published by: Sonali Saxena on Oct 17, 2010
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LG vs SAMSUNG

Sonali Saxena Kuldeep Sonu Govind Pulkit

ELECTRONIC INDUSTRY«..
y The Electronics Industry in India took off around 1965 with an

orientation towards space and defense technologies. This was rigidly controlled and initiated by the government. This was followed by developments in consumer electronics mainly with transistor radios, Black& White TV, Calculators and other audio products. Color Televisions soon followed.

y In 1982-a significant year in the history of television in India - the

government allowed thousands of color TV sets to be imported into the country to coincide with the broadcast of Asian Games in New Delhi.

y 1985 saw the advent of Computers and Telephone exchanges, which

were succeeded by Digital Exchanges in 1988. The period between1984 and 1990 was the golden period for electronics during which the industry witnessed continuous and rapid growth.

INTRODUCTION TO
y The company was originally established in 1958 as Gold Star, producing

radios, TVs, refrigerators, washing machines, and air conditioners.
y The LG Group was a merger of two Korean companies, Lucky and Gold

Star, from which the abbreviation of LG was derived.

y The Gold Star brand is still perceived as a discount brand. In 1995, Gold

Star was renamed LG Electronics, and acquired Zenith Electronics of the United States.

y LG Electronics controls 110 local subsidiaries in the world with around 82. .y LG Electronics is playing an active role in the world market with its assertive global business policy.000 executive and employees.

y Manufacturing facility at Greater Noida..Company Profile«. is a wholly owned subsidiary of LG Electronics.. y Established in 1997.Consumer Electronics. a premium brand positioning in the Indian market and is today the most preferred brand in the segment. South Korea. LG Electronics India Pvt. . Home Appliances. y LG has been able to craft out in ten years. GSM mobile phones and IT products. y Impressive portfolio . Ltd.

TURN ON TOMMORROW .

INTRODUCTION ‡ Samsung is one of the world¶s largest technology providers. China. ‡ SAMSUNG is dedicated to develop innovative technologies and efficient processes that create new markets. . ‡ Founded by Lee Byung-chul in 1938. ‡ It started out as trading company exporting various products from South Korea to Beijing. ‡ The word Samsung means ³three stars´ in Korean. Samsung gradually developed into the multinational corporation that it is today. enrich people's lives. and continue to make Samsung a digital leader.

y Samsung India has widespread network of sales offices all over the country . Bangladesh. Sri Lanka. under the leadership of Mr. looks after the Samsung business in Nepal.Samsung in India y Samsung India is the hub for Samsung's South West Asia Regional operations. y Samsung India which commenced its operations in India in December 1995 headquartered in New Delhi. y The South West Asia Headquarters. President & CEO. Maldives and Bhutan besides India. J S Shin.

"Inspire the World.y Vision 2020 Samsung Electronics vision for the new decade is.´ y The Samsung Philosophy To devote our talent and technology to creating superior products and services that contribute to a better global society. . Create the Future.

SAMSUNG BUSINESS PRINCIPLES .

.

PRODUCTS Digital appliance Air Conditioners Refrigerators Microwave Ovens Washing Machines Vacuum Cleaners Home Net Compressors for Air Conditioners and refrigerators .

y Digital display a) Plasma TVs b) LCD TVs c) Micro Display Panel TVs d) Monitors e) PDP Modules f) OLED Panels g) USB Memory h) Flat Panel Computer Monitors .

y Digital media a) Home Theater Systems b) DVD Recorders c) Super Multi DVD Rewriters d) CD±RW e) Notebook PCs f) Desktop PCs g) PDAs h) PDA Phones i) MP3 Players j) New Karaoke Systems k) Car Infotainment .

Mobile communications CDMA Handsets GSM Handsets 3G Handsets Cellular Phones .

KEY BUSINESS AREAS      TV/ AUDIO/VIDEO CAMERAS & CAMCORDERS PC/PERIPHERALS/PRINTERS MOBILE PHONES HOME APPLIANCES  REFRIGERATORS  AIR CONDITIONERS  WASHING MACHINES .

Day to day advertisement in leading newspaper. Society and college activities are conducted. They have LG exclusive shopee. Hoarding. Posters. banners are used so as to grab the attention of the costumers. For the marketing of the products a number of activities are followed y y y Exhibitions are conducted from time to time. y .DISTRIBUTION&MARKETING STRATEGY The company has number of dealers and warehouses.

. y Also provide capon and scratch card for festive season. y LG also uses the radio FM for the promotion activities. y y y They have their sales persons at various sub dealer store and at mordent trade store for particularly for the promotion of the LG product. For dealer relationship they arrange dealer meting at several time in the year LG divide dealer in gold silver etc. category to know the performance of the dealers.y Discount at festival time.

µGolden Eye¶ technology  Air-conditioners .  CTV .y LG ± CRICKET y LG has differentiated its products using technology and health benefits. .µHealth Air System¶  Microwave Ovens -µHealth Wave System¶.

Marketing strategies y Product innovation y Pricing y Distribution y Advertisement & sales promotion .

.e. y In 2002." y Unlike many Indian brands which advertised seasonally i.. LG seemed to have put more emphasis on promotion and advertising.Promotion«. An ad agency which handled the account of one of the LG's rivals.. (two-three months of the festival season-September. commented: "Communication creates a mind space among the consumers and LG has occupied that fairly well. October and November). y Of all the elements of marketing mix.3 billion on advertising. LG advertised all round the year. it spent around 1.

accounts for 90% of the innovations.R&D Potential y LG has set up research and development facilities in India at Bangalore and is in the process of setting up another at Pune. y The R&D facility in India. where LG has been investing Rs 2 billion per annum. Both the units carry out R&D work for the domestic market as well as for the parent company. It also does customized R&D for specific countries to which it exports products. .

.Research & development y The company¶s thrust on Product Innovation and R&D have given the company a competitive edge in the marketplace y Samsung has two Software development centres -Samsung India Software Centre (SISC) y -Samsung India Software operations unit (SISO) at Noida and Bangalore y Samsung India is also carrying out Hardware R&D at its Noida R&D Centre.

COMPARATATIVE ANALYSIS .

Brand Awareness & Market Share y Market Leader: Nokia y LG has a pie of 6% y Close competitor of Samsung & Apple Mobile Phones .

owing to similar user perception .Mobile Phones y Nokia is the market leader. followed by Sony Ericsson y LG is an emerging player y Direct competition with Samsung.Conclusions .

LG y Godrej.Second most popular brand y Samsung & Whirlpool lag behind Refrigerators .Brand Awareness & Market Share y Market Leader.

Conclusions .Refrigerators y LG is the dominant player in the market y Other Players have a segmented market share y Unstructured Positioning of all other Players .

Second most popular brand y Samsung commands the third position Air Conditioners .Brand Awareness & Market Share y Market Leader.LG y Voltas.

Conclusions . .Air Conditioners y LG is the dominant player in the market y Closer user perception shared with Voltas y LG rated low on Technological aspects like Noise Levels y Hitachi was positioned high for producing low Noise Levels.

Brand Awareness & Market Share y Market Leader.Sony y LG and Samsung close competitors y Philips has a small market share LCD TV .

LCD Television y Sony is the Market Leader in LCD TV segment. .Conclusions. directly competing with each other. y Samsung ± LG. very similar user perception.

S .

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