A Project Report On

“ MARKET ANALYSIS OF LG 21” INCHES T.V ”
Submitted By Mr. Vishal Devanand Panchal
In partial fulfillment of the requirements for the award of

MBA (Marketing)

Under The Guidance Of

Mr. Sourav Shukla
Submitted To J.M.S.S.G. Sanstha’s

Nandigram Institute Of Management Studies,Pangri, Nanded
March 2012

Swami Ramanand Teerth Marathwada University, Nanded

Certificate
This is to certify that Project Report on

“ MARKET ANALYSIS OF LG 21” INCHES T.V. ”
Was successfully carried out By

Mr. Vishal Devanand Panchal
In the partial fulfillment of MBA course being conducted by Nandigram Institute Of Management Studies,Nanded during the academic year 2011 – 2012

Mr.Sourav Shukla
Project Guide

Dr.Uday Kumthekar
DIRECTOR

Declaration
I hereby declare that the Project Report entitled “Market Analysis of LG 21’’ inches TV in Nanded” has been composed by me under the guidance of

Mr.sourav Shukla

and submitted to the of

Nandigram Institute

Of Management Studies,Nanded

SWAMI RAMANAND TEERTH

MARATHWADA UNIVERSITY, NANDED for the award of degree of Master
of Business Administration (MBA). I assure that this project has not been submitted by any degree anywhere in any college or University so far.

Date: Place: Nanded

Mr. Vishal Devanand Panchal MBA IV (Sem)

Acknowledgement
I wish to take opportunity to convey my profound gratitude to several key personalities involved in the success of my project and I am deeply indebted to all of them.

I would like to thank in particular

Mr. Sourav Shukla

who has

given her valuable time and taken the efforts to help me to prepare this project. I would like to thank for her numerous suggestions and discussions.

I am also thankful to my Director

Dr. uday Kumthekar

for his

constant support and kind co-operation. I would like to thank to all the staff members of MBA department for their suggestions and encouragement time to time. Finally I thank to my parents and my colleagues who have directly or indirectly helped me in the completion of this project work.

Mr.Vishal Devanand Panchal MBA IV Sem

Contents
Sr. No.
1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13.

Particulars
Introduction Scope of project Objectives of project Limitations History of company Customer service Research methodology Data Analysis & interpretation Findings Conclusion Recommendations & suggestions Bibliography Questionnaire

Page No.

Whirlpool. accounting for no less than 90% of the market. and Aiwa came into the picture. and introduction of new models. Consumer durables market is expected to grow at 10-15% in 2007-2008. after the liberalization. as many foreign players are entering in the market with the increase in income levels. Daewoo. and dishwashers Consumer durables sector is characterized by the emergence of MNC’s. there are still very few players in categories like vacuum cleaners. foreign players like LG. and intense competition. air conditioners. However. Godrej. and Voltas were the major players in the consumer durables market. Sony. easy availability of finance. discounts. . It is growing very fast because of rise in living standards.INTRODUCTION Before the liberalization of the Indian economy. increase in consumer awareness. Today. Samsung. microwave ovens. color televisions (CTVs) are no longer considered luxury items. Then. Products like washing machines. these players control the major share of the consumer durables market. easy access to consumer finance. the demand for consumer durables has increased significantly. only a few companies like Kelvinator. and wide range of choice. exchange offers.

The market share of MNC’s in consumer durables sector is 65%. MNC's major target is the growing middle class of India. the penetration level of the consumer durables is still low in India. and hold over wide distribution network. . MNC’s offer superior technology to the Consumers whereas the Indian companies compete on the basis of firm grasp of the local market. their well-acknowledged brands. However.

Found out the customer response for LG products by asking the owner of the shop.SCOPE OF PROJECT This project gives great exposure to the consumer durable market because it includes product knowledge and field survey job of LG stores in Nanded. Checked the availability of LG catalogue and the POPs in the store. Checked whether demo calls are attended or not. Found out the problems that the dealer are facing while selling the LG products. . Collected the data of actual monthly sale of the LG products in few shops. Found out the distributor name from who they were purchasing their products. LG always insist the 50% display share of LG product because LG believes that “JO DIKHTA HAI WO BIKTA HAI”. This project consist the survey of the following -       Calculate the display share of the LG product in every shop.

To find out the problem faced by dealer in the sales and in the distribution. 3. To enhances the knowledge about the marketing and branding activity. 4. To find out the positional dealer who can sale the LG product in large volume. To enhances the knowledge of consumer durable market. 8.Objective 1. While purchasing the consumer durables which parameter is most important for the consumer? 6. The main objective of filed survey during the project was to find out the customer satisfaction of the LG 21” inches TV. 2. Do the consumers prefer the financial facility for buying consumer durable? 7. 5. To find out that how far the exhibitions are helpful in branding. .

The sample size is also very small which represent my research on consumer behavior. which could not able to solve. The customer filled the questionnaire mostly in careless manner. 2. In this there were certain limitations. 1. but generally. for which a full-fledged report was insufficient for me. 4. The research was conducted in a very small area. 3. 6. an average middle class family was required for the study. . This project found the upper-middle class family to fill up the questionnaire. We had limited time for the research. which affected the perception of the customer. Time factor was also important for us. so it was difficult to make them hold for time. 5.LIMITATIONS Every study has certain limitations. The research work period witness the biggest ups and downs in product sale of different brands.

washing machines. The current "Life's Good" slogan is a backronym. The Gold Star brand is still perceived as a discount brand. In 1995. and air conditioners. and acquired Zenith Electronics of the United States. The LG Group was a merger of two Korean companies. from which the abbreviation of LG was derived. TV’s.Introduction OF COMPANY The company was originally established in 1958 as Gold Star. Before the corporate name change to LG. Gold Star was renamed LG Electronics. refrigerators. Household Products were sold under the brand name of Lucky. Lucky and Gold Star. while Electronic Products were sold under the brand name of Gold Star. producing radios. .

1958-1969 : Gold Star the Electronics Industry Dream 1970-1979 : Gold Star symbol of The Technology 1980-1988 : Internationalization .

1989-1994 : Inovation 1995-1998 : Globle Leaders LG Electronics 1999-2003 : Digital Management .

000 executive and employees. . LG Electronics controls 110 local subsidiaries in the world with around 82.2004-2006 : Great People Great Design 2007 : The People Company Global Operation : LG Electronics is playing an active role in the world market with its assertive global business policy. As a result.

Digital Appliance  Air Conditioners  Refrigerators  Microwave Ovens  Washing Machines  Vacuum Cleaners  Home Net  Compressors for Air Conditioners and Refrigerators . These are as follows -- 1. Mobile Communications  CDMA Handsets  GSM Handsets  3G Handsets  Cellular Phones 2.LG Group :  LG Philips LCD  LG Chemical  LG Telecom  LG Powerco  LG Twins  LG Dacom LG has the different business areas and main products.

Digital media  Home Theater Systems  DVD Recorders  Super Multi DVD Rewriters  CD±RW  Notebook PCs  Desktop PCs  PDAs  PDA Phones  MP3 Players  New Karaoke Systems Growth Strategy : “ Fast innovation. Digital Display  Plasma TVs  LCD TVs  Micro Display Panel TVs  Monitors  PDP Modules  OLED Panels  USB Memory  Flat Panel Computer Monitors 4.3. Fast growth ” .

The consistent usage of this signature clearly establishes the unique identity of the company and unifies every division and product from LG Electronics across the globe. "Life's Good" set in Charlotte sans typeface curved around the LG symbol. seal. „we‟ not „I‟. Market leadership. .Core Competency : “ Product leadership.” The LG Electronics Life's Good signature consists of the LG logo. Fun workplace ” Slogan: “ „Life's Good‟ represents the LG's determination to provide delightfully smart products that will make your life good. People leadership ” Corporate Culture : “ No excuse. and the slogan. The curving of the slogan reinforces LG's personality and uniqueness.

1. It expresses “Brand’s Value. youth. The symbol consists of two elements. humanity & technology. The stylized image of human face in the unique LG red color. . Benefits. The one eye on the symbol represents “Goal-oriented. It also represents LG’s efforts to keep close relationship with our customers around the world. Promises. LG philosophy is based on humanity. The circle symbolizes The Globe. focused & Confident”. The stylized image of a smiling face in the symbol conveys “Friendliness and Approachability”. The logo in LG gray 2. future.The Symbol : The symbol of LG is the face of future. Personality”. Red color represents our friendliness and gives a strong impression of LG’s commitment to deliver the best. The slogan of LG is “Life’s Good”. The letter “L” and “G” in a circle symbolizes world.

This culture is necessary for LG Electronics as it strives to become one of the world's top companies. Such a relationship is transformed into a value-creation relationship whereby both parties endeavor to address mutual problems and create new values together.The Partnership : LG Electronics chooses to promote harmony and build constructively on a labor .  3M  YAHOO  PHILLIPS  TOYOTA  MICROSOFT  HP  GOOGLE  INTEL  NORTEL  HITACHI . but in a horizontal one.management relationship rather than an employee . LG Electronics will do its best to create new products and services with an open mind. while developing new technologies and business fields through various associations with some of the world's most successful companies.employer relationship. This illustrates that management and workers are not in a vertical relationship.

Personality The Brands core Value that never changes are as follows-a. Promise 3. Ease of use iv. LG strives to enhance the customer’s life and lifestyle with intelligent features. Reliable products ii.LG Brand Identity: The brand of LG is delightfully smart. institutive functionality and exceptional performance. Brand Platform : The LG brand is composed of four basic elements – 1. Extraordinary Experience . Value 2. Simple design iii. Innovation c. Benefits 4. Passion The benefits that are consistently delivered to the customer includes -i. Trust b. People d.

. speed of response. after-sales service might include additional training or helpdesk availability. for want of a better description.CUSTOMER SERVICE The best and the biggest international brands are here in India – but the irony if it all: where is the after-sales-service? So integral to a brand. But LG has taken some solid steps towards improving customer’s perception and experience of after sales service. after sales service is. Because of this problem many dealer in the region were not ready to sell LG product. Customers as well as dealer were facing the problem of after sales service. analysts and market researchers to get feel of what’s really keeping after sales from being used as a cutting edge marketing tool in pushing products across categories. stockiest and dealers. and action taken. Of equal importance is the customer's perception of the degree of willingness with which a supplier deals with a question or complaint. In the case of a service provider. so critical for its success and so taken for granted in developed markets! In India. So it becomes the big issue. LG Electronics has signed a memorandum of understanding with 23 Industrial Training Institutes to strengthen its after sales service in India. the pits. Brand Equity fanned out to MNC as well as Indian consumer durable companies. LG also had a big problem of after sale service in India. During the project we also came to know that after sale service becomes the big issue in the region.

"The Company was trying to find a solution for effective after sales service since last two years. LG Electronics said. 2." 1. In the initial phase the company has entered into agreements with ITIs in the states like Maharashtra. LG Electronics has identified eight states with high after sales service call rates to ink the deals with the ITI. Punjab. . Delhi.000 people by the end of this year as a part of its branding strategy to focus on service and move away from discounting. has already recruited 300 students and plans to beef up the number to 10. and Karnataka and is in the last leg of signing with Uttar Pradesh. The company will invest Rs 8 crore (Rs 80 million) in employee development program this year with an aim to attain a 8 per cent attrition rate. Gujarat. Y V Verma. 3. Assam.000 by the year-end. with 1200 service centers. director HR and management system. L G Electronics. "The company has offered a scholarship to the selected students for the last six months of their training program" 4.The company aims to recruit 10. There is a huge need of trained manpower for the after sales service to align with the company's expansion and focus on the GSM mobiles and the personal computer segments.

set up an appointment for the next convenient day for you (hence the first 1). 9. that’s great too. 8. (Service in India generally works through authorized service centers. and show up in the promised 1-hour slot (hence the second 1). and leveraged thus. The company moved away from the discounting strategy since last year and is putting thrust on the quality and service in its brand communication to position LG as a premium consumer electronics brand. in LG’s case they work exclusively for LG. The company is promoting 211 through ATL. This shows commitment that Service must be made into a marketing differentiator. LG has the widest service network across the country. 6. The company has introduced a 211 service . At the top. The first LG-owned service centre opened in Gurgaon. the Service Division in Korea reports to the Global CMO. 7. If the next convenient day for you is the next day. 10.5. they will call you back in 2 hours (hence 2).) . some estimates put it at a significant multiple of service-infrastructure from our nearest competitor. probably the first time after sales service is being communicated in this fashion by any product company.once you register your complaint.

Research Design : Research design is important primarily because of the increased complexity in the market as well as marketing approaches available to the researchers. consumption pattern. which work as a base for drawing conclusion and getting result. Without a proper well-organized research plan. A research design specifies the methods and procedures for conducting a particular study.“ Research Design is a plan. The project was based on the survey plan. ” . it is impossible to complete the project and reach to any conclusion. conceptual structure. and strategy of investigation conceived as to obtain answers to research questions and to control variance. and focus market changes. brand loyalty. The main objective of survey was to collect appropriate data. It is an important tool to study buyer’s behavior. According to Kerlinger ---.Research METHODOLOGY Research methodology is considered as the nerve of the project.

dealers. Descriptive studies are undertaken in many circumstances when the researches is interested to know the characteristic of certain group such as age. where and how” of the subject under investigation. it may deal with household. retail stores. occupation or income. Descriptive studies can be divided into two broad categories: Cross Sectional and Longitudinal Sectional. Descriptive study can be complex. A descriptive study may be necessary in cases when a researcher is interested in knowing the proportion of people in a given population who have in particular manner. as it exists at present. when. Descriptive research is description of the state of affairs. The objective of such study is to answer the “who.Type of Research : The type of research adopted for study is descriptive. what. sex. demanding a high degree of scientific skill on part of the researcher. . or other entities. or determining the relationship between two or more variables. Descriptive studies are well structured. A cross sectional study is concerned with a sample of elements from a given population. Thus. making projections of a certain thing. he can only report what has happened or what is happening. Data on a number of characteristics from sample elements are collected and analyzed. The main characteristic of this method is that the researcher has no control over the variables. Descriptive research includes survey and fact finding enquiries of different kinds of the major purpose. education level.

we have to organize a field survey to collect the data. Questionnaires 2. . Primary Data : For primary data collection. we have to identify and select which type of data is to research.Data Collection Methods : After the research problem. Bar chart Secondary Data : The Company’s profile. Pie chart 3. One of the important tools for conducting market research is the availability of necessary and useful data. At this stage. journals and various literature studies are important sources of secondary data.  Sampling  Research Instrument  Data analysis and interpretation 1. we have to plan the following important aspects.

Data analysis and Interpretation .

1 : You have LG 21’’ TV You have LG 21’’ TV No 34% Yes 66% .Table 1 : You have LG 21’’ TV You Have Yes No Total Respondents 33 17 50 Percentage 66 34 100 Source: Field Survey Chart No.

2) 34% of the respondents have said that they do not have LG 21’’ TV.Interpretation : 1) 66% of the respondents have said that they have LG 21’’ TV. .

2 : Preferable products of LG T.Table 2 : Preferable products of LG T.V. of respondents LCD CRT Flatiron Plasma 10% 30% 20% 40% . of respondents 7 13 10 3 33 Percentage 20 40 30 10 100 Source: Field Survey Chart No. No. Variety preference LCD CRT Flatron Plasma Total No.V.

3) 30% of the respondents has preferred for Flatron. 2) 40 % of the respondents has preferred for CRT TV. 4) 10% of the respondents has preferred for Plasma.Interpretation : 1) 20 % of the respondents has preferred for LCD TV. .

V. 3 : Parameters influencing purchasing of L. of respondents 7 8 10 4 4 33 Percentage 20 26 30 12 12 100 Source: Field Survey Chart No. Parameters Influences Price Product feature Brand Service Durability 12% 12% 20% 26% 30% . 21” T.Table 3: Parameters influencing purchasing of L. 21” T.G.G. Variety preference Price Product Feature Brand Service Durability Total No.V.

.Interpretation: 1) 20% of the respondents have preferred for price. 4) 12% of the respondents have preferred for service. 5) 12% of the respondents have preferred for durability. 2) 26% of the respondents have preferred for product feature. 3) 30% of the respondents have preferred for brand.

G. 4: Point of Purchase of L.Table 4: Point of Purchase of L.V.V. Point of Purchase of L. 21” T. 21” T.G. Purchase Dealer Retailer Total Respondents 23 10 33 Percentage 70 30 100 Source: Field Survey Chart No.V. Dealer Retailer 30% 70% .G. 21” T.

V.V. from the retailer.Interpretation: 1) 70% of respondents have preferred for purchasing the T. from the dealer. 2) 30% of the respondents have preferred for purchasing the T. .

5 : Preference to buy T.V. Preference to Buy Convenience 8% Offers 16% Attractive Prices 30% Demonstratio n 26% Services 20% .V.Table 5: Preference to buy T. Reason Attractive Prices Services Demonstration Offers Convenience Total Respondents 10 7 8 5 3 33 Percentage 30 20 26 16 8 100 Source: Field Survey Chart No.

4) 16% of the respondents have preferred to buy T.V. . 2) 20% of the respondents have preference to buy T. because of attractive prices. because they get from demonstration. 5) 8% of the respondents have preferred to buy T.V.Interpretation: 1) 30% of the respondents have preference to buy T. because they get convenience.V.V. because of good services.V. because they firstly preferred to services. 3) 26% of the respondents have preference to buy T.

Initiators Father Mother Self Children Other Total Respondents 12 10 6 4 1 33 Percentage 36 28 18 16 2 100 Source: Field Survey Chart No. 28 . 2 Self.Table 6: Initiators to prefer LG T.V. 18 Children. 16 Mother. 36 40 30 20 10 0 Father Mother Self Children Other Other.V. Initaitors at the time of buying Father. 6: Initiators to prefer LG T.

3) 18% self initiates the shopping of LG 21’’ TV. 5) 2% other people initiates the shopping of LG 21’’ TV.Interpretation: 1) 36% father initiates the shopping of LG 21’’ TV. 2) 28% mother initiates the shopping of LG 21’’ TV. 4) 16% children initiates the shopping of LG 21’’ TV. .

7: Advised to purchase LG TV Advised to purchase LG TV Any Other 18% Dealer 12% Advertisement 44% Friends 26% .Table 7: Advised to purchase LG TV Advisor Advertisement Friends Dealer Any Other Total Respondents 15 9 4 5 33 Percentage 44 26 12 18 100 Source: Field Survey Chart No.

4) 18 % of the respondents have influenced by some other reason. . 3) 12 % of the respondents have influenced by dealer.Interpretation: 1) From the survey it is to be found that 44% of the respondents have influenced by the advertisement. 2) 26 % of the respondents have influenced by friends.

V Bad 14% Moderate 36% Good 50% .Table 8: Opinion about service Quality of LG T.V Service quality Good Moderate Bad Total Respondents 17 12 4 33 Percentage 50 36 14 100 Source: Field Survey Chart No. 8: Opinion about service Quality of LG T.V Opinion about service Quality of LG T.

3) 14% of the respondents have not satisfied by the service quality. 2) 36% of the respondents have moderately satisfied by service quality.Interpretation: 1) 50 % of the respondents have satisfied by service quality. .

Table 9: Easy availability of product Easy Available Yes No Total Respondents 22 11 33 Percentage 66 34 100 Source: Field Survey Chart No. 9: Easy availability of product Easy availability of product No 34% Yes 66% .

Interpretation: 1) 66% of the respondents have said the product is easily available to them. . 2) 34% of the respondents have said that product is not easily available to them.

V.V.V.Table 10: Specialty of LG T. 10: Specialty of LG T. Specialty Good quality Good features Good durability Any Other Percentage Respondents 13 10 7 3 33 Percentage 40 30 20 10 100 Source: Field Survey Chart No. Any Other 10% Good durability 20% Good quality 40% Good features 30% . Specialty of LG T.

because of any other reason.Interpretation: 1) 40% of the respondents have preferred the T. . 3) 20% of the respondents have preferred the T.V. because of good durability. because of good quality. 2) 30% of the respondents have preferred the T.V. 4) 10% of the respondents have preferred the T. because of good features.V.V.

Table 11: Satisfaction Level of the Respondents Satisfaction level Fully Satisfied Satisfied Partially Satisfied Unsatisfied Total Respondents 10 22 12 6 33 Percentage 20 44 24 12 100 Source: Field Survey Chart No. 11: Satisfaction Level of the Respondents Satisfaction Level Unsatisfied 12% Partially Satisfied 24% Satisfied 44% Fully Satisfied 20% .

3) 24% of the respondents are partially satisfied after buying the TV. 4) 12% of the respondents are unsatisfied after buying the TV.Interpretation: 1) 20% of the respondents are fully satisfied after buying the TV. 2) 44% of the respondents are satisfied after buying the TV. .

7) Near about 50% of the respondents have satisfied by the service quality. 8) Most of the people i.e.e. 2) 30% of respondents have preferred for brand.Findings 1) 40% of the respondents have preferred for CRT TV. 5) As per the survey it is to be found that 36% of the respondents are father as initiator. near about 44% have influenced by advertisement while at the time of purchasing. 40% have preferred TV because of good quality. 6) Most of the respondents i. 9) As per the survey 44% of the respondents are satisfied after buying the TV. 3) Most of the respondents near about 70% have preferred to buy TV from dealer. 4) Near about 30% respondents have preferred TV because of attractive prices. .

Most people are buying the T. As per the changing needs of the customers the company is providing good quality of products as they earlier also do.V. 5. 4. 3. Due to various demonstration and price satisfaction by the customers it could help them enormously. . 2. While after purchasing the T. As per the part of service quality and durability respondents shows a good feedback. because it is durable and eye sensitive also which is firstly done by this company.Conclusions 1.V. the response of the people is also quite good.

V. 2) Various issues regarding to the new series of product could be launched in the city like Nanded so it more consumption may also takes place. 3) As per the growth of the consumption they should follow some additional features of the product. 4) Company should always focus on service so it could get maximum output. . dealer and observation this report came to know that. 1) Company should provide some additional facilities of product.Suggestions Along with respondents. 6) Company should also be focus on LCD’s other size of T. 5) Company should try to improve service. No doubt the company products have technically edge over competitors but in long run it may hamper the company’s profit. it will also helpful for them.

R.Bibliography 1.com 4. Methodology Research 2.com 3. www.lgindia.com 5. www. LG magazine .google. www.wikipedia. Kothari C.

LCD c.Male Female Q.1 Do you have a LG 21”T. Yes b. Income (Monthly): ………………………………………………… Sex: . CRT b. 21” T. Any Other Q. Durability . which parameter influences you? a. Name of the customer: …………………………………………… Address: ……………………………………………………………. Brand d.? a.Questionnaire Consumer Satisfaction Questionnaire for LG 21” T. Price b. Flatiron d.V.2 Which LG 21”T. Service e. does you has? a.V.3 While purchasing L.V. No Q.G. Product feature c.V.

Any Other .? a. Offers e. Convenience Q. Retailer Q. Mother c. Dealer b.6 Who initiates the shopping of LG 21” T.4 From where you purchase LG 21” T. Children/Teenager e. Self d. Service c.5 You prefer to buy from the same as you have mentioned in above question because of following reason. Other Q. Advertisement b.7 Who has advised you to purchase the LG 21” T.? a.V. Demonstrations d. Father b.V.Q. Dealer d. a. Attractive price b. in your family? a. Friends c.V.

V. Good quality b.V.V. Unsatisfied .10 What is the specialty of LG 21” T. Moderate c. No Q. Good durability d.11 Are you satisfied by the services offered LG 21”T.? a.8 How is the service quality of L. Partially Satisfied d. Fully Satisfied b. Bad Q.9 Can you get the LG product easily from dealer? a. 21” T. Satisfied c.G.? a. products? a. Good features c.Q. Good b. Yes b. Any other Q.

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