Executive summaryIndian Consumer durables market used to be dominated by few domestic players like godrej Voltas allwyn and kalvinater. But post liberalization much foreign company have entered into Indian market dethroning the Indian player and dominating Indian market the major categories in the market CTV, REFRIGRATOR, AIR CONDTIONERS AND WASHING MACHINE India being the second largest growing economy with huge consumer class has resulted in consumer durables as the fastest growing industries in India LG, LG ELECTRONICS the two Korean companies has been maintaining the lead in the industries with LG being leader in almost all the categories. The rural market is growing faster than the urban market, although the penetration level is much lower .The CTV segment is expected to the largest contributing segment to the overall growth the industry. The rising income levels double-income families and consumer awareness are the main growth drivers of the industries.Consumer durables major LG Electronics India Pvt Ltd (LGEIL) will invest nearly Rs 500 crore in India this year in research and development, brand-building and other marketing initiatives.The company, having a turnover of Rs 9,500 crore and market share of 26 per cent, is investing Rs 360 crore on brand-building and other marketing initiatives and around Rs 140 crore on research and development, besides launching new platforms in information technology and related areas, LGs innovative 211 campaign to provide quality after-sales service, will also be expanded from the existing 22 to 40 cities by next month, The campaign, for which IT infrastructure has been set up, includes the companys response to customer complaint within two hours. The fixing time for complaints varies from one hour to a maximum of 24 hours.

Chapter 1 INTRODUCTION Before the liberalization of the Indian economy, only a few companies like Kelvinator, Godrej, Allwyn, and Voltas were the major players in the consumer durables market, accounting for no less than 90% of the market. Then, after the liberalization, foreign players like LG, Sony, LG Electronics, Whirlpool, Daewoo, and Aiwa came into the picture. Today, these players control the major share of the consumer durables market.Consumer durables market is expected to grow at 10-15% in 2007-2008. It is growing very fast because of rise in living standards, easy access to consumer finance, and wide range of choice, as many foreign players are entering in the marketWith the increase in income levels, easy availability of finance, increase in consumer awareness, and introduction of new models, the demand for consumer durables has increased significantly. Products like washing machines, air conditioners, microwave ovens, color televisions (CTVs) are no longer considered luxury items. However, there are still very few players in categories like vacuum cleaners, and dishwashersConsumer durables sector is characterized by the emergence of MNCs, exchange offers, discounts, and intense competition. The market share of MNCs in consumer durables sector is 65%. MNC's major target is the growing middle class of India. MNCs offer superior technology to theConsumers whereas the Indian companies compete on the basis of firm grasp of the local market, their well-acknowledged brands, and hold over wide distribution network. However, the penetration level of the consumer durables is still low in India.

Classification of consumer durables sector1. Consumer electronic include vcd/dvd, home theatre, music player, color television (CTVs), ,LEDs, LCDs cameras, camcorders, portable audio, Hi-Fi, etc2. White goods include dishwashers, air conditioners, heaters, washing machines, refrigerators, vacuum cleaners, kitchen appliances, non-kitchen appliances, microwaves, built-in appliances, Tumble dryer, personal care product etc. 3. Moulded luggage include plastics4. Clocks and watches 5. Mobile phones

Scope

1. In term of purchasing power parity (ppp), India is the 4th largest economy in the world and overtake Japan in the near future become the 3rd largest.2. Indian consumer durable market is expected to reach $400 billion by on 20103. India has the youngest population amongst the major countries. There are lot of people in the different income categories nearly the two third population is below the age of 35 and nearly 50% is below 25.4. There are 56 million people in middle class, who are earning us$4,400-US$21,800 a year. And there are 6 million rich household in India.

5. The upper-middle and high-income household in urban areas are expected to grew to 38.2 million in 2007 as against 14.6 million in 2000.

Chapter 2

i. Importance of study

This project gives me great exposure to the consumer durable market because it includes product knowledge and the filed job in which I have visited the store comes under the region of Bhubaneswar. During this project I also took part in the exhibition of LG which held for the purpose branding and awareness of LG product. This project helps me to know the market practically. My job was during this project to see the market share and also the display share of the LG product in the store. LG always insist the 50% display share of LG product because LG believes that JO DIKHTA HAI WO BIKTA HAI. My job include while visiting the shops1. To know all the departments in the company.2. Calculate the display share of the LG product in every shop which comes under Bhubaneswar region.3. Collect the data of actual monthly sale of the LG product in every shop.4. Check the availability of LG catalogue and the POPs in the store.5. Find out the problems that the dealer are facing while sailing the LG product.6. Find out the customer response for the LG product by asking the owner of the shop.7. Find out the distributer name from whom they purchasing their product and also weather they have direct dealership and which brand.8. Check that demo calls are attended or not

Key findings:-1. By calculating the display share we found that in most of store LG has 50% display share almost all categories.2. By the actual monthly sale of particular store we came to know the capacity of the store and how much product can they sale.3. It helps us to know that weather dealer is capable of being a direct dealer of LG or not and it also helps to find out the new dealer who are capable of being the dealer of LG.4. We also came to know while visiting the shops that there was big problem of after sale service.5. Many dealers were facing the problem of after sale service because there is no follow up calls from LG.6. Demo calls also not done properly.

i. AIM & ESTABLISHMENT OF THE COMPANY

The group was formed through the merger of two Korean companies, Lak-Hui (pronounced "Lucky") and GoldStar, from which the abbreviation ofLG was derived. The current "Life's good" slogan is abackronym. Before the corporatename changetoLG, household products were sold under the brandname ofLucky, whileelectronic productswere sold under the brand name ofGoldStar(Hangul). In January 2009 LG was able to buy the domain nameLG.comfor low six figures USD.In 1994, GoldStar gained sponsorship fromthe 3DO Companyto make the first3DO Interactive Multiplayer. In 1995, GoldStar was renamed LG Electronics, and acquired the US electronics companyZenith. LG Solar Energy is a subsidiary formed in 2007 to allowLG Chemicalto supply polysiliconto LG Electronics for production ofsolar cells. In 2008, LG took its first dive into thesolar panelmanufacturing pool, as it announced a preliminary dealto form ajoint venturewithConergy. Under the deal, set to be completed by year's end, LG would acquire a 75 percent stake in Conergy's Frankfurt solar-panel plant.LG has produced camcorders called ARTCAM and DSLRs.By 2005, LG was a Top 100 global brand, and in 2006, LG recorded a brand growth of 14%.Its display manufacturing affiliate,LG Display, is now the world's largest plasma panel manufacturer.On December 5, 2012, the antitrust regulators ofEuropean Unionfined LG Electronics and several other major companies for fixing prices of TV cathode-ray tubesin two cartels lasting nearly a decade.

The company was originally established in 1958 as GoldStar, producing radios, TVs, refrigerators, washing machines, and air conditioners. The LG Group was a merger of two Korean companies, Lucky and GoldStar, from which the abbreviation of LG was derived. The

Current "Life's Good" slogan is a backronym*. Before the corporate name change to LG, household products were sold under the brand name of Lucky, while electronic products were sold under the brand name of GoldStar (Hangul). In January 2009 LG was able to buy the domain name, LG.com, placing it among the companies who own their two letter brand's domain name.In 1994 GoldStar gained sponsorship from the 3DO Company to make the first 3DO Interactive Multiplayer. In 1995, GoldStar was renamed LG Electronics, and acquired Zenith Electronics of the United States. LG Solar Energy is a subsidiary formed in 2007 to allow LG Chemical to supply polysilicon to LG Electronics for production of solar cells. In 2008, LG took its first dive into the solar-panel manufacturing pool, as it announced a preliminary deal to form a joint venture with Conergy. Under the deal, set to be completed by year's end, LG would acquire a 75 percent stake in Conergy's Frankfurt solar-panel plant. LG has produced camcorders called ARTCAM and DSLRsLG Electronics' innovative technologies, unique products, and cutting-edge designs are an investment in the future.LG Electronics, Inc. (LG) is a global leader and technology innovator in consumer electronics, mobile communications and home appliances, employing more than 84,000 people working in 112 operations including 81 subsidiaries around the world. With 2008 global sales of $44.7 billion, LG comprises of five business units - Home Entertainment, Mobile Communications, Home Appliance, Air Conditioning and Business Solutions. LG is one of the world's leading producers of flat panel TVs, audio and video products, mobile handsets, air conditioners and washing machinesVisionGlobal Top 2 by 2015Global Top 3 Electronic/Telecommunication CompanyGrowth strategy Fast innovation, Fast growthCore competencyProduct leadership, Market leadership, People leadership

Corporate cultureNo excuse, we not I, Fun workplaceLG Electronics is pursuing the vision of becoming a true global digital leader, attracting customers worldwide through its innovative products and design. The companys goal is to rank among the top 3 consumer electronics and telecommunications companies in the world by 2010. To achieve this, we have embraced the idea of Great Company, Great People, recognizing that only great people can create a great company.Mission

The mission of LG is: To create value for customers To respect human dignity To become the best in its class by winning customers' acclaim as a true leader in the global market

Vision The quest to make LG the most exciting and successful enterprise -will be won on the factory floor, in the offices, on the field, face to face with the customers, with everyone understanding and focused on the essential mission of a corporation -Serving Customers. Winning depends not on the big deals, acquisitions etc. but on a thousand smaller victories won by men and women who come to work every day excited about finding a better way of doing things and in doing so, making lives better and our Organization THE BEST Creating A Pleasant Work Environment through: Trust, Respect & Cooperation Employees fulfilling their dreams Ideal Place To Work

Business ModelFast innovation calls for securing a competitive edge over the competition by settingand meetingthe highest of goals in all realms of innovation, by at least 30%. This applies to new-product development and unveiling, innovation in design and technologyas well as product sales, market share, and corporate value. Fast growth is the result of implementing strategies designed to swiftly expand market size and earnings, with an eye toward monetary growth.Goals and ObjectivesLG extends a warm hand to contribute to the community, to touch hearts of each & everyone around us, our customers & friends, shareholders &partners and our "employees". They invite customers to an organization with no boundaries and limits, a workplace activated by opportunities and challenges leading to high levels of excellence through innovation. Their focus is to create a platform for leveraging the Internet and IT advantage in favour of our Organization. They aim to provide you with a career driven by targets to help you grow and in turn contribute to the goal of the organization. They offer customer to become a part of our Mission of becoming the No. 1 Organization by the year 2003. They want to be the Number One Organization in every aspect of Corporate Governance i.e. viz. - People, Product, Philosophy, Quality, Ethics, Partnership and The Most important Work Culture.LG India has been set up with the aim to acquire a leading position in the global digital market by applying fast and innovative techniques in the manufacturing of products. Also, it aims to meet the maximum requirement of consumers and give them the optimum service required.

Brands in consumer electronics sector

MNCsNATIONALREGIONALLG)LG ELECTRONICS )KOREA ONIDABUSHHYUNDAI)VIDEOCONCROWNBPLSALORATCL)CHINAGODREJT-SERIESHAIER)VOLTASWESTONIFBBELTAKPHILIPS)HOLLANDOSKAR

PANASONIC)SHARP)HITACHI)SANSUI)JAPANAKAI)AIWA

WHIRLPOOL)ELECTROLUX

TODAY Consumer durables sector is characterized by the emergence of MNCs, exchange offers, discounts, and intense competition. The market share of MNCs in consumer durables sector is 65%. MNC's major target is the growing middle class of India. MNCs offer superior technology to the LG, LG ELECTRONICS the two Korean companies has been maintaining the lead in the industries with LG being leader in almost all the categories. The company, having a turnover of Rs 9,500 crore and market share of 26 per cent, is investing Rs 360 crore on brand-building and other marketing initiatives and around Rs 140 core on Research and development, besides launching new platforms in information technology and related areas,LG Electronics is one of the leading companies in the field of electronics with a global presence in many countries. . Before briefing, I have divided the introduction part into three main sub parts.1. LG Global2. LG India3. LG PuneGlobal OperationLG Electronics is playing an active role in the world market with its assertive global business policy. As a result, LG Electronics controls 110 local subsidiaries in the world with around 82,000 executive and employees.

LG Group1. LG.Philips LCD 2. LG Chemical 3. LG Telecom 4. LG Powercom 5. LG Twins 6. LG Dacom

Business areas and main products

Mobile communications

(a) CDMA Handsets, (b) GSM Handsets, (c) 3G Handsets, (d) Cellular Phones

Digital appliancea) Air Conditioners, b) Refrigerators, c) Microwave Ovens, d) Washing Machines, e) Vacuum Cleaners, f) Home Net,g) Compressors for Air Conditioners and Refrigerators

Digital displaya) LED TVsb) Plasma TVs, c) LCD TVs,d) Micro Display Panel TVs, e) Monitors, f) PDP Modules, g) OLED Panels, h) USB Memory, i) Flat Panel Computer MonitorsDigital mediaa) Home Theater Systems, b) DVD Recorders, c) Super Multi DVD Rewriters, d) CDRW, e) Notebook PCs, f) Desktop PCs, g) PDAs, h) PDA Phones, i) MP3 Players, j) New Karaoke Systems, k) Car Infotainment

Slogan

"Life's Good" represents LG's determination to provide delightfully smart products that will make your life good.

The LG Electronics Life's Good signature consists of the LG logo, seal, and the slogan, "Life's Good" set in Charlotte sans typeface curved around the LG symbol. The curving of the slogan reinforces LG's personality and uniqueness. 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.The Symbol

The symbol of LG is the face of future. The letter L and G in a circle symbolizes world, future, youth, humanity & technology.LG philosophy is based on humanity. It also represents LGs efforts to keep close relationship with our customers around the world.The symbol consists of two elements. 1. The logo in LG gray 2. The stylized image of human face in the unique LG red color.

Red color represents our friendliness and gives a strong impression of LGs commitment to deliver the best. The circle symbolizes The Globe. The stylized image of a smiling face in the symbol conveys Friendliness and Approachability. The one eye on the symbol represents Goal-oriented, focused & Confident.The slogan of LG is Lifes Good. It expresses Brands Value, Promises, Benefits, Personality.Market shareIn home entertainment

In electronics

Category Market share in volume terms

Categories LGNo 2 Players

REFRIGERATORS

27.2%21.2 (Whirlpool)

COLOUR TVs

25.5%22% (Sony)

MICROWAVE OVENS

41.4%19.7 (LG Electronics )

WASHING MACHINES

34%13.8% (Whirlpool)

The PartnershipLG Electronics chooses to promote harmony and build constructively on a labor-management relationship rather than an employee-employer relationship. This illustrates that management and workers are not in a vertical relationship, but in a horizontal one.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.

Strategic allianceLG Electronics is making technical advances and identifying business opportunities through various associative relationships with some of the world's leading companies.LG Electronics is striving to become number one in the world by mingling in various business and technological fields and making strategic alliances with world famous companies. "Strategic association between corporations," in which companies with different infrastructures cooperate in the fast-developing 21st century business field, is of key significance in terms of strengthening the existing industry and creating a new one. 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.1. 3M2. SUN3. YAHOO4. PHILLIPS5. TOYOTA6. MICROSOFT7. HP8. GOOGLE9. GE10. INTEL11. NORTEL12. HITACHI13. PRADA14. RENESAS15. TOSHIBA16. BESTBUY

And the number follows many more..In Feb. 2007 LG Electronics and Yahoo formed a strategic alliance. Yahoo mobile services will be available from LG mobile. This service is targeting 10 million LG mobile phones in over 70 countries.In Mar. 2007 LG Electronics and Google formed a strategic alliance.Both companies will work together to release, market, and offer LG mobile phones with Google services (search engine, map, email, and blogs.) LG BRAND IDENTITY:-The brand of LG is delightfully smart. LG strives to enhance the customers life and lifestyle with intelligent features, institutive functionality and exceptional performance.The brand platform:-The LG brand is composed of four basic elements 1. Value2. Promise3. Benefits4. Personality

The Brands core Value that never changes. a. Trust,b. Innovation,c. Peopled. Passion

The benefits that are consistently delivered to the customer includes Reliable products Simple design Ease of use Extraordinary Experience

Personality describes the human characteristic that are expressed to the customer through Trustworthy, Considerate Practical, Friendly

The Internal Culture of LG:LG practices four cultures1. Learning Culture 2. Boundary less Environment 3. A Carrier4. Growth

According to LG, the Learning Culture continuously helps the employee to learn more and more to develop the habit of continuous learning.

Boundary less Environment means that there is no difference between the levels of employees. There is transparency between the work and mutual understanding between all the employees. A carrier is highly growing in LG and one who is the employee can develop their carrier largely. A new comer will feel fully comfortable in the company and for a new comer the company is very helpful in the overall growth of personality.Growth in LG is very high for those who are in the company and for those who want to join in LG. The company is growing with fast innovation and the BLUE Ocean strategy is one of the examples of growth.MissionThe mission of LG is to provide the customers with utmost satisfaction through leadership.The fundamental policy of development is to secure product leadership that the Customers may have the utmost satisfaction.

Product LeadershipWe are focusing on six development areas to become the product leader.1. New Machine2. Reliability3. Conventional Installation4. Environment Friendly Product5. Low Noise & Vibration6. Energy Saving

Quality Innovation The policy of quality assurance is to provide customers with utmost satisfaction by supplying zero defects.

LG proceeds in a hierarchal manner. It is named as LG WAY.From top to bottom:No.1 LG is the VISIONJeong-DO Management is LGs unique application to ethics. LG will succeed through fair management practices and constantly developing our business skill.

A) Honest with our customer b) Providing great values to customer through constant innovation & and development. c) Equal opportunitiesd) Equal Treatment Management Principle - Creating value for customer

Code of conduct of LG:1. Responsibility and obligations to customers :

Respect for Customers Creating Value Providing Value

2 Fair competition Pursuit of Free Competition Compliance with Laws and Regulations

3 Fair Transaction : Equal Opportunity Fair Transaction Procedure Support and Aid for Business Partners

4 Basic Ethics for Employees Basic Ethics Completion of Duty Self-Development Fairness in Performance Avoidance of conflict with company interest

5 Corporate Responsibilities to employees Respect for human dignity Fair Treatment Promoting Creativity

6 Responsibilities to society and country Rational Business Development Protection of stock holder interest Contribution to social development Environmental Conservation

LG INDIA: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.LG corporate office is located at Plot no.51, Udyog Vihar, Kasna Road, Greater Noida, India. This facility manufactured Color Televisions, Washing Machines, Air-Conditioners and Microwave Ovens.''Company is setting up a chain of exclusive premium showrooms. LG plans to launch 60 premium Brand Shoppes by the end of the first quarter of this year. At present, LG has a total of 83 LG stores across the country, of which 45 are shoppes and 38 are exclusive stores. Brand shoppes will be placed in the premium segment and the target audience will comprise buyers interested in premium and high end products.

LG Brand Shoppe goes beyond the concept of a normal exclusive store by having a more interactive environment and additional lifestyle orientation on display so that the customer can actually experience the LG products in his or her own home settings.LG Electronics India Ltd (LGEIL), consumer durables leader with 27% market share, is planning a brand new image. To attract inspirational and young consumers across India, company will roll out a new marketing strategy. The exercise will cost the company Rs 360 crore.LG Electronics India is the fastest growing company in the consumer electronics, home appliances, and computer peripherals industry today.

LG Electronics is continually providing, superior technology products & value for money to more than 50 lakh households in India. LGEIL is celebrating the 11th anniversary this year.

LG Soft India the innovation wing of LG Electronics in Bangalore is LG Electronics' largest R&D centre outside Korea. We at LGSI focus on niche technology areas such as mobile application development, digital video broadcast and biometrics software and support LG Electronics with our expertise. Motivated by a passion for technology, a strong work culture and loyalty to the organization, we are determined to see LG become one of the top three brands globally. Prominent consumer electronic company, LG Electronics Inc. has said that it expects the sale of its products in India to up by 15 per cent in 2008. Moon Bum Shin, managing director of LG Electronics India has said that the company has earmarked 4.8 billion rupees for investment purpose in India this year. The said money will be used to market as well as manufacture new products.LG Electronics, which is originally a South Korean Company with branch in India, informed that its sales of GSM mobile phones, color televisions, air conditioners and other household goods in the Indian market was to the tune of 95 billion rupees ($2.4 billion) in 2007. As per Shin's estimate, the sales in 2008 would be around 110 billion rupees.In order to achieve its target, Shin said LG Electronics will concentrate on catering to the high-end consumer market which will help boost sales this year. India churns out six (6) per cent of LG Electronics global revenues of $42 billion. The Indian branch of LG exports to 40 countries.

COMPANY BACKGROUNDThe Company was originally established in 1958 as GoldStar, producing radios, TVs, refrigerators, washing machines, and air conditioners. The LG Group was a merger of two Korean companies, Lucky and GoldStar, from which the abbreviation of LG was derived. The current "Life's Good" slogan is a backronym*. Before the corporate name change to LG, household products were sold under the brand name of Lucky, while electronic products were sold under the brand name of GoldStar (Hangul). In January 2009 LG was able to buy the domain name, LG.com, placing it among the companies who own their two letter brand's domain name.In 1994 GoldStar gained sponsorship from The 3DO Company to make the first 3DO Interactive Multiplayer. In 1995, GoldStar was renamed LG Electronics, and acquired Zenith Electronics of the United States. LG Solar Energy is a subsidiary formed in 2007 to allow LG

Chemical to supply polysilicon to LG Electronics for production of solar cells. In 2008, LG took its first dive into the solar-panel manufacturing pool, as it announced a preliminary deal to form a joint venture with Conergy. Under the deal, set to be completed by year's end, LG would acquire a 75 percent stake in Conergy's Frankfurt solar-panel plant. LG has produced camcorders called ARTCAM and DSLRsLG Electronics' innovative technologies, unique products, and cutting-edge designs are an investment in the future.

LG Electronics, Inc. (LG) is a global leader and technology innovator in consumer electronics, mobile communications and home appliances, employing more than 84,000 people working in 112 operations including 81 subsidiaries around the world. With 2008 global sales of $44.7 billion, LG comprises of five business units - Home Entertainment, Mobile Communications, Home Appliance, Air Conditioning and Business Solutions. LG is one of the world's leading producers of flat panel TVs, audio and video products, mobile handsets, air conditioners and washing machines..India challengesThe challenges faced by LG when entered in Indian market

1. Low brand awareness about LG in India.2. One of the last MNCs entered in India (LG Electronics , Panasonic entered in 1995 in India).3. High import duty4. Compitition from local market players and other MNCs in consumer durable segment.5. Price sensitiveness of the Indian consumerLGEI over comes these challenges to emerge as Innovative marketing strategy 1. Launch new technologies in consumer electronic and home appliances. 2. LG was the first brand to enter in cricket in big way a way, by sponsoring the 1999 world cup followed it up in 2003 as well.3. LG brought in four captains of the Indian cricket team to endorse its products. LG invested more than US$ 8 million on advertising and marketing in this sport.

4. LG has differentiated its product using technology and health benefits. CTV has Golden eye technology Air conditioner has Health air system and microwave ovens have the Health wave system.

Local and efficient manufacturing to reduce the costTo overcome high import duties LG manufactures TV refrigerator in India at manufacturing facility at Noida and Bhubaneswar. LGEI had already commissioned contract manufacturing at Mohali Kolkata and Bhopal for TVs. This has helped LGEI to reduce cost.

LGEI implementing the Digital manufacturing system (DMS) as the cost cutting innovation this system is follow-up to the six sigma exercise LGEI had initiate earlier.

R&D potential LG has the research and development facilities in Bangalore and Bhubaneswar. Both the unit carry out R&D department for the domestic as well as the parent company it also dose customize R&D for the specific countries to which it export product.

Regional channel and wide distribution network

1. LG has adopted the regional distribution channel in India. All the distributers work directly with the company. This has resulted in quicker rotation of the stock and better penetration into B, C, D, class market.2. LG also follows the stock rotation policy rather then dumping stock on channel partners.

Product localization:-1. Product localization is the key strategy used by the LG2. LG came out with Hindi and regional language menus on its TVs.3. Introduced the low-priced Cineplus and sampooma for the rural market.4. LG was the first brand to introduce gaming in TVs in continuations of its association with cricket LG introduce cricket game in CTVs

MAJOR KEY SUCCESS FACTORS1. Innovative marketing - LG was the first brand to enter cricket in a big way, by sponsoring the 1999 World Cup and followed it up in 2003 as well.2. Local and efficient manufacturing to reduce cost - To overcome high import duties, LG manufactures PC monitors and refrigerators in India at its manufacturing facility at Noida, Delhi.3. Commissioned contract manufacturing at Mohali, Kolkata and Bhopal for CTVs.4. Product localization - Product localization is a key strategy used by LG. It came out with Hindi and regional language menus on its TV.5. Regional distribution model - This has resulted in quicker rotation of stocks and better penetration into the B, C and D class markets.6. Leveraging Indias IT advantage - LG Electronics has awarded a contract to develop IT solutions to LG Soft India (LGSI). The project involves development and support for ERP, SCM, CRM and IT-enabled services for LG. Strategies adopted by the organizationLG follows 10 commandments which are as follows.1. Foster working environment-5S Environment2. Fast execution is key to success3. Transparent and fast communication-open communication4. Update market -knowledge Demographics5. Win Win relationship with the trade partners6. Customer is the king7. Even Billing Road to ach supplier A8. Be in touch with the market (70% Market, 30% Office).9. Plan and Execute annual marketing Calendar-Time to market10. Display share of 50% -to get 50% consumer share.

LG market share of consumer appliances and consumer electronic:-LG position of CTV in various states in India

LG position of REF in various states in India

LG position of WM in various states in India

LG position of AC in various States in India

LG position of Audio & Home Theater in various in India LG position of DVD in various in India

LG position of MWO in various states in India

This analysis is based on the ORG survey conducted by LG which represent the LG position of different consumer durables in various states in India. I select different brand in different category as per the market share and the demand of product in market. This analysis represents the LG market position during the period of March 2008. It shows that LG has captured maximum market share almost in every category. LG and LG Electronics have the maximum market in consumer durable market but LG dominate the almost all the category in consumer durable. Prominent consumer electronic company, LG Electronics Inc. has said that it expects the sale of its products in India to up by 15 per cent in 2008. Moon Bum Shin, managing director of LG Electronics India has said that the company has earmarked 4.8 billion rupees for investment purpose in India this year. The said money will be used to market as well as manufacture new products.LG Electronics, informed that its sales of GSM mobile phones, color televisions, air conditioners and other household goods in the Indian market was to the tune of 95 billion Rupees ($2.4 billion) in 2007. As per Shin's estimate, the sales in 2008 would be around 110 billion rupees.In order to achieve its target, Shin said LG Electronics will concentrate on catering to the high-end consumer market which will help boost sales this year. India churns out six (6) per cent of LG Electronics global revenues of $42 billion. The Indian branch of LG exports to 40 countries. Shin remarked that the company was targeting an increase of exports to $300 million in 2008 from $230 million in 2007.

LG BHUBANESWARLG Bhubaneswar is the branch office of LGEIL. It is located in BAPUJI nagarIn 2004 LGEIL opened second factory which is located in Ranjangaon. This plant manufactures all product including DVD writers and GSM mobiles. Thus it became first company to manufacture DVD writer in India. The ODP plant aims to reach a manpower base of 1500 people and an investment of Rs 300 crore till 2010.LG India will become the export hub for LG Worldwide, catering to the Middle East and African markets. The company aims to touch an export turnover of $3 billion by 2010 from India, which will contribute to 30 per cent of the Indian arm's turnover. Bhubaneswar, India, October 6, 2004 -- LGE announced 3 growth strategies aimed at the 1.1 billion people of India making the Indian market the second largest global production base following China. Under this strategy LGE has projected 2007 revenues in India will exceed US$10 billion, 10 times that of 2004.The three strategies for the Indian market that the global electronics giant disclosed. included: penetrates the south-western market of India through the new Bhubaneswar plant near Mumbai, the second largest city in India, in addition to the existing northern plant; installs a new GSM handset production line in the new Bhubaneswar plant and uses it as its second-largest global GSM handset production line after the Qingdao plant in China; and expands the current 750 R&D staff in India to 1,500 by 2007, striving to develop premium products and export 30% of India-manufactured products to Asia, Middle East and Africa markets by 2007.LG Electronics second new plant in Bhubaneswar, India covers a total area of 211,200 square meters and is currently equipped with a production line to manufacture 600,000 TVs and one million refrigerators a year. The company is set to add production lines of air conditioners, washing machines, monitors, and electronic ovens, by 2005.

Also, LG Electronics is poised to install a GSM handset production line in the new Bhubaneswar plant by early next year. The Bhubaneswar GSM handset line envisages a capacity of manufacturing 2 million handsets annually, and the company expands it to become a global GSM handset production base with a capacity of an annual 10 million units by 2010.In connection with its three growth strategies for the Indian market, LG Electronics will invest a total of US$150 million in establishing facilities and boosting R&D efforts in India by 2007. Specifically, it will invest US$53 million in the Bhubaneswar second plant, another US$43 million in establishing the GSM line, and US$54 million in securing R&D manpower and boosting other efforts. Through these strategies, LG Electronics aims to penetrate the global market by using China and India as its core production bases, while operating its plants in Changwon and Gumi, Korea, as its main production bases. This way, the company is pushing to penetrate the global home appliance market.The present capacity of the facility is of 1 lakh unit per year and it shall cater to the need of the domestic markets. LG plans to upscale its operations to a figure of 2.5 lakh units a year in the near future. The Bhubaneswar plant in addition to its current manufacturing facility at Greater Noida will enable the company to enhance its consumer reach and reiterate its commitment towards providing superior technology products to the India consumer. The key strategies being implemented include increasing the number of its regional offices from six to eight. LG has split its southern regional office into two, one comprising the states of Tamil Nadu and Kerala and the other consisting of Andhra Pradesh and Karnataka. In addition, it has split one of its northern regional offices by making Uttar Pradesh a separate region after spinning it out from Delhi NCR. The other four regional offices take care of East, Gujarat and Madhya Pradesh, Maharashtra & Goa and Punjab, Haryana & Rajasthan respectively.In the coming year, LG is also repositioning its marketing spends, resulting in a significant increase in its mass media expenditure for better brand visibility. LG had a marketing budget of Rs 320 crore in 2007 with a 60:40 split in favor of below-the-line activities. Next year, the company plans to increase the share of mass media even as overall marketing spends would be raised by just about 10-15%.

Departments of the company

Distribution and MarketingThe company has number of dealers and warehouses. They have LG exclusive shopee. For the marketing of the products a number of activities are followed1. Exhibitions are conducted from time to time.2. Society and college activities are conducted.3. Hoarding, Posters, banners are used so as to grab the attention of the costumers. 4. Day to day advertisement in leading newspaper.5. Discount at festival time.6. For dealer relationship they arrange dealer meting at several time in the year 7. LG divide dealer in gold silver etc. category to know the performance of the dealers.8. They have their sales persons at various sub dealer store and at mordent trade store for particularly for the promotion of the LG product.9. LG also uses the radio FM for the promotion activities.10. Also provide capon and scratch card for festive season.

MANUFACTURING: LG Electronics began operations in India through its manufacturing complex located at Noida (UP). This Complex today houses state of the art facilities for Color Televisions (including 3D, LED and LCD Televisions), Mobile Phones, Refrigerators, Washing Machines and Split Air Conditioners categories. The Noida facility is ranked as the Number One amongst all LG Electronics subsidiaries in terms of delivering the highest productivity for Color Televisions, Refrigerators and Mobiles. To help respond better and faster to the growing demand for its products in the Southern part of the country, LG Electronics commenced operations of its second stateof-the-art manufacturing complex at Sriperumbudur, Tamil Nadu in November 2007. Today, the Sriperumbudur facility manufactures Color and LCD Televisions, Fully Automatic Front Loading Washing Machines, Refrigerators and Split Air Conditioners. The manufacturing department is responsible for converting inputs into outputs through the stages of production processes. The Production Manager is responsible for making sure that raw materials are provided and made into finished goods effectively. He must make sure that work is carried out smoothly, and must supervise procedures for making work more efficient and more enjoyable.There are different production sub-functions Production and planning: They will set the standards and targets at each stage of the production process. The quantity and quality of products coming off a production line will be closely monitored. Purchasing department: This department will provide the materials, components, packing material, equipment required etc. An essential part of this responsibility is to ensure that stocks of raw material arrive on time and are of standard quality at competitive price. The stores department: The stores department is responsible for stocking all the necessary tools, raw materials, finished goods, equipment required to service the manufacturing process etc. The works department: This department is concerned with the manufacture of products.

Maintenance department: This will include the maintenance of the production line and other necessary repairs. The works department may also have responsibility for quality control and inspection.HUMAN RESOURCE MANAGEMENT:The role of Human resource department includes: Recruitment and selection of the employees: The employees are recruited through in recruitment department. The process is that they undergo personal interview with the HR After the employee is selected he will be provided on job training program to improve his skills, and to make him familiar with the organization duration depends on candidates experience. Performance Appraisal: The Company does the performance appraisal twice in a year based on their skills and also performance during that particular period of time. All the employees in the organization are paid on the monthly basis. Incentives are provided if the performance is good and also if they achieve their targets.

FINANCE DEPARTMENT:The finance department of a business takes responsibility for organizing the financial and accounting affairs including the preparation and presentation of appropriate accounts, and the provision of financial information for managers. The main areas covered by the financial department includes Book keeping: Keeping records of the purchases and sales made by a business as well as capital spending. Preparing Final Accounts: Profit and loss account and Balance Sheets Providing management information: Managers require ongoing financial information to enable them to make better decisions. Management of wages: The wages section of the finance department will be responsible for calculating the wages and salaries of employees.

Raising Finance: The finance department will also be responsible for the technical details of how a business raises finance e.g. through loans, and the repayment of interest on that finance.LG ELECTRONICS INDIA SOFTWARE OPERATIONS:LG Electronics Research India - Bangalore (SRI - Bangalore) earlier known as LG Electronics India Software Operations (SISO) is one of the twelve Research & Development centers of LG Electronics Co. Ltd., housed in the IT hub of India, Bangalore. With its inception dating back to February 1996, as a liaison office, today it has grown in magnitude and proportions as a location for research and software development encompassing a wide range of technology domains. SRI - Bangalore today is a Private Limited Company, headquartered in Bangalore.The organization has executed close to 300 projects. SRI-B business processes have been extensively automated with a vision of making it a completely paperless office in the near future.SRI - Bangalore currently houses more than 5000 employees involved in research and development.SRI-B also works with some organizations in software and technology in India. With an objective to spearhead LG Electronicss initiatives in India, SRI-B contributes to the different technologies in Wireless, Networking, Convergence, Digital and Semi-conductor in India.In 2012, the main office shifted to Bagmane Constellation Business Park near Doddanekkundi, Bangalore.

Visit to warehouse of LG Bhubaneswar at Cuttack road Logistics is the art and science of managing and controlling the flow of goods, energy, information, and other resources like products, services, and people, from the source of production to the marketplace. It is difficult to accomplish any marketing or manufacturing without logistical support. It involves the integration of information, transportation, inventory, warehousing, material handling, and packaging. The operating responsibility of logistics is the geographical repositioning of raw materials, work in process, and finished inventories where required at the lowest cost possible.Logistics Management is that part of the supply chain, which plans, implements and controls the efficient, effective forward and reverse flow and storage of goods, services and related information between the point of origin and the point of consumption in order to meet customers' requirements.5Rs of Logistic followed by LG:1. Right Time2. Right Place3. Right Condition4. Right Cost5. Right Handling

LG Bhubaneswar DistributionLG Bhubaneswar comes under the South-East Distribution Region. This region has following 1. Bhubaneswar2. Balasore3. Cuttack 4. Ganjam5. Jaipur6. Rourkela7. Rayagada8. Sanbalpur

The LG Factory is located at NOIDA & PUNE. There are three types of Warehouse-1. Mother Warehouse2. Branch Warehouse3. Spare part warehouseThe mother warehouse is that where the products from the factory are kept and from that warehouse, the products are sent to the branch warehouse. A warehouse is a commercial building for storage of goods. Warehouses are used by manufacturers, importers, exporters, wholesalers, transport businesses, customs, etc. They are usually large plain buildings in industrial areas of cities and towns. They come equipped with loading docks to load and unload trucks; or sometimes are loaded directly from railways, airports, or seaports. They also often have cranes and forklifts for moving goods, which are usually placed on ISO standard pallets loaded into pallet racks.

The Bhubaneswar warehouse is located near Cuttack road. It is 13670 sq. feet in area.In warehouse 7 locations is set up for the products. Loc 1, Loc 2, Loc 3, Loc 4 , Loc 5 ,Loc6, Loc 7 Loc 1 selling Loc 2 - second sale Loc 3 - insurance claimLoc 4 - write off material Loc 5 destroy the item Loc 6 - court case material Loc 7 - for repair

5s of warehouse, which the LG strictly follow.1. Sweeping2. Sorting3. Systematic Arrangement4. Simplification5. Self- disciplineIn warehouse, the products are pinup with 3-color paper to get the knowledge about the delivery.1. Red Card To stop the product going into market, 2. Green card To allow the product for delivery in market,3. Yellow Card After the product labeled with green, allow this to move in marketDistribution Time:- Local delivery 4 hrs. Upcountry delivery - 12 hrs. Within 200 km. 24 hrs. Beyond 200 km. 48 hrs.The above distribution time is the time of delivery of products from warehouse to the market place, which the logistic department follows to fulfill the demand in the market at right time. In LG, we have the following process, which is followed in logistic through ERP. Order Processing Invoicing Indenting Report

Order Processing booking for dealers /distributorsInvoicing after billing process/bill generationIndenting requirement (Pdt Unit to branch unit)Report distributed to allIn warehouse, there are two mode of dispersion of product from one place to another within. a) Hydraulic b) ManualIn addition, there are 35 fire extinguishers to prevent the accidental hazard within the warehouse due to fire. These fire extinguishers are valid up to year 2011. One has to follow the rule of NO Smoking within the warehouseLogistics Ten Commandments Golden Rules1 - Warehouse 5S to be strictly followed FG 2, 5 & 7 to be properly maintained.2 - 100% Bar-coding for all inward & outward transaction.3 - Follow standard pick ship process religiously.4 No inventory mismatch, shortage or excess monthly 100% physical stocktaking.5 Nil 30+ for FG 2, 3 & 5.6 Nil transit damage.7 File insurance claim within 2 days. Settle all claim all within 30 days.8 No inter branch transfer without HO clearance.9 PSI feeding into system by 25th of every month. Ensure 90% accuracy.10 Apply physical FMFO.

Problem1- In transit material damage checking.2- Cost target achievement.3- Natural events tracking.4- Fluctuation in demand-supply

Equipment

1- 100% bar code scanner.2- ERP Invoice Generation Process.3- Hydraulic Trolleys for material movement.

4- Pallets for safety of material.

WAREHOUSE WITH THE EQUIPMENT.

WAREHOUSE: REFRIGERATOR AND CTV SECTIONCustomer serviceThe 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, so critical for its success and so taken for granted in developed markets! In India, after sales service is, for want of a better description, the pits. So whats stopping the best companies from pulling out all the stops when it comes to providing the best service? Do customers expect for too much? Or is it that in India they dont really care. Brand Equity fanned out to MNC as well as Indian consumer durable companies, stockiest and dealers, analysts and market researchers to get a feel of whats really keeping after sales from being used as a cutting edge marketing tool in pushing products across categories.Customers support following the purchase of a product or service. In some cases, after-sales service can be almost as important as the initial purchase. The manufacturer, retailer, or service provider determines what is included in any warranty (or guarantee) package. This will include

the duration of the warranty traditionally one year from the date of purchase, but increasingly two or more years maintenance and/or replacement policy, items included/excluded, labor costs, and speed of response. In the case of a service provider, after-sales service might include Additional training or helpdesk availability. Of equal importance is the customer's perception of the degree of willingness with which a supplier deals with a question or complaint, speed of response, and action taken. LG also had a big problem of after sale service in India. During my project I also came to know that after sale service becomes the big issue in Bhubaneswar region. Customers as well as dealer were facing the problem of after sale service. Because of this problem many dealer in Bhubaneswar region were not ready to sale LG product. So it becomes the big issue.But LG has taken some solid steps towards improving customers perception and experience of after sales service. Because it very important in competitive market to provide the best service.LG Electronics has signed a memorandum of understanding with 23 Industrial Training Institutes to strengthen its after sales service in India. The company aims to recruit 10,000 people by the end of this year as a part of its branding strategy to focus on service and move away from discounting.LG Electronics has identified eight states with high after sales service call rates to ink the deals with the ITI. Y V Verma, director HR and management system, LG Electronics said, "The Company was trying to find a solution for effective after sales service since last two years. 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." In the initial phase the company has entered into agreements with ITIs in the states like Maharashtra, Gujarat, Delhi, Punjab, Assam, and Karnataka and is in the last leg of signing with Uttar Pradesh. 1. L G Electronics, with 1200 service centers, has already recruited 300 students and plans to beef up the number to 10,000 by the year-end.

2. "The company has offered a scholarship to the selected students for the last six months of their training program" 3. 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. 4. 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.5. At the top, the Service Division in Korea reports to the Global CMO. (as mentioned in Dermots public interview in ET on Wednesday). This shows commitment that Service must be made into a marketing differentiator, and leveraged thus.6. LG has the widest service network across the country; some estimates put it at a significant multiple of service-infrastructure from our nearest competitor. While the sale size may also be a nice multiple from nearest, it shows the company is ready to put our money where our mouth is.7. The company has introduced a 211 service - once you register your complaint, we will call you back in 2 hours (hence 2), set up an appointment for the next convenient day for you (hence the first 1), and show up in the promised 1-hour slot (hence the second 1). If the next convenient day for you is the next day, thats great too. Its a disruptive action in an industry (including LG) having traditionally shied away from its service responsibilities, and thus not leveraging any mileage from it.8. The company is promoting 211 through ATL, probably the first time after-sales service is being communicated in this fashion by any product company. You may have seen the TV commercial or heard the radio advert or seen the newspaper ad or in-shop posters, both of which revolve around prompt response.9. The first LG-owned service center opened in Gurgaon. (Service in India generally works through authorized service centers, in LGs case they work exclusively for LG.) A company-owned service center tries that much harder, knows things better, and can even contribute as a revenue center.iii objective of Study To know the different departments in the Organization. Find out the positional dealer who can sale the LG product in large volume. The main objective of research was to identify potential dealer and development these dealer. So LG can make them their direct dealer. This will ease the dependence on the some big dealer like Maharashtra and Mahaveer electronics. Find out the problem faced by the dealer in sales and the distribution.Therefore, research methodology is the way to systematically solve the research problem. Research methodology not only talks of the methods but also logic behind the methods used in the context of a research study and it explains why a particular method has been used in the preference of the other methodsResearch design:Research design is important primarily because of the increased complexity in the market as well as marketing approaches available to the researchers. In fact, it is the key to the evolution of successful marketing strategies and programmers. It is an important tool to study buyers behavior, consumption pattern, brand loyalty, and focus market changes. A research design specifies the methods and procedures for conducting a particular study. According to Kerlinger, Research Design is a plan, conceptual structure, and strategy of investigation conceived as to obtain answers to research questions and to control variance.

DEALER MANAGEMENTMapping of Bhubaneswar region dealers. In Bhubaneswar region there were total 180 dealers including the up country side They have been divided into three categories on the basis of their turnover and the selling capacity. BHUBANESWAR -1 BHUBANESWAR-2 BHUBANESWAR-3

BHUBANESWAR-1 Includes the modern trade and they have direct billing from the branch office. They have high turnover and the company depends heavily on themBHUBANESWAR-2 includes the distributors. They have direct billing from the branch office.Their turnover is also high.BHUBANESWAR-3 Includes the sub dealers .They have direct billing from distributors or from the branch office. Their turnover is not so high, but there are few sub dealers whose potential is quite high. According to sales the branch has designated as gold and silver sub dealers.

PICTURE SHOWING THE PRODUCT OF LG IN ONE OF THE SHOP

Chapter III SWOT ANALYSYS ASWOT analysisis a structuredplanningmethod used to evaluate thestrengths,weaknesses,opportunities, andthreats involved in aprojector in abusinessventure. A SWOT analysis can be carried out for a product, place, industry or person. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective. The technique is credited toAlbert Humphrey, who led a convention at the Stanford Research Institute (nowSRI International) in the 1960s and 1970s using data fromFortune 500companies.The degree to which the internal environment of the firm matches with the external environment is expressed by the concept ofstrategic fit.Setting the objective should be done after the SWOT analysis has been performed. This would allow achievable goals or objectives to be set for the organization. Strengths: characteristics of the business or project that give it an advantage over others. Weaknesses: characteristics that place the business or project at a disadvantage relative to others Opportunities: elements that the project could exploit to its advantage Threats: elements in the environment that could cause trouble for the business or project

Identification of SWOTs is important because they can inform later steps in planning to achieve the objective.First, the decision makers should consider whether the objective is attainable, given the SWOTs. If the objective isnotattainable a different objective must be selected and the process repeated.Users of SWOT analysis need to ask and answer questions that generate meaningful information for each category (strengths, weaknesses, opportunities, and threats) to make the analysis useful and find their competitive advantage

SWOT Analysis of LG Electronics Pvt Ltd1) 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.2) WEAKNESSES LG Electronics 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

3) OPPORTUNITIES 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

4) THREATS Close competitors like Samsung are compared to it. Price war with Samsung and Sony Competition from Indian brand and other foreign brands. Higher import duties on raw materials. Cheap imports from Singapore, China and from other Asian countries.

7S FRAMEWORKS

The constituent parts of the 7S Model are:Strategy: plan or course of action leading to the allocation of an organizations finite resources to reach identified goals. At LG ELECTRONICS PVT LTD Electronics the strategy is to achieve and maintain excellence through customer satisfaction.Structure: salient features of the organizational chart (e.g. degree of hierarchy, extent of centralization/decentralization) and interconnections within the organization. LG ELECTRONICS PVT LTD have a functional structure (human resources, marketing, quality control, production).Systems: procedures and routine processes, including how information moves around the organization. LG ELECTRONICS PVT LTD Electronics have several important systems in place within the organization. These deal primarily with product knowledge, and product development.

Staff: Staff refers to the quality of people. Staff at LG ELECTRONICS PVT LTD is knowledgeable, friendly and are of good quality.Style: Style refers to patterns of actions among organizational participants. The style for LG ELECTRONICS PVT LTD is defined as innovative, flexible and team orientated.Shared values: The significant meanings or guiding concepts that an organization imbues in its members. LG ELECTRONICS PVT LTD refer to the term We Guarantee Quality and rallies employees behind delivering and satisfying this notion.Skills: Skills refers to the distinct capabilities or dominating attributes that distinguish a firm from its competitors. LG ELECTRONICS PVT LTD Electronics have a distinctive capability of being one of the largest Seller of mobiles in India.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, so critical for its success and so taken for granted in developed markets! In India, after sales service is, for want of a better description, the pits. So whats stopping the best companies from pulling out all the stops when it comes to providing the best service? Do customers expect for too much? Or is it that in India they dont really care. Brand Equity fanned out to MNC as well as Indian consumer durable companies, stockiest and dealers, analysts and market researchers to get feel of whats really keeping after sales from being used as a cutting edge marketing tool in pushing products across categories. Customers support following the purchase of a product or service. In some cases, after-sales service can be almost as important as the initial purchase. The manufacturer, retailer, or service provider determines what is included in any warranty (or guarantee) package. This will include the duration of the warranty traditionally one year from the date of purchase, but increasingly two or more years maintenance and/or replacement policy, items included/excluded, labor costs, and speed of response. In the case of a service provider, after-sales service might include additional training or helpdesk availability. Of equal importance is the customer's perception of the degree of willingness with which a supplier deals with a question or complaint, speed of response, and action taken.

In terms of Customer service the LG Electronics Pvt Ltd provides to its best and as far as the feedback is considered all the customers are satisfied with the service provided by the LG Electronics Pvt Ltd and also any faults or damage before the warranty or guarantee period of the product they will make sure that the product will be repaired.Conclusion:LG Electronics Pvt Ltd is a very well-known company not only in India but also in almost 200 different countries and always comes up with new innovative and designs. Although LG Electronics Pvt Ltd has captured the highest market share in Indian market, but the company had to face many problems. For example conflict with the Apple, Apple blamed the LG Electronics Pvt Ltd that company is copying some of its features and design. This blame damaged the reputation of the LG Electronics Pvt Ltd all over the world. But still LG Electronics Pvt Ltd is a favorite brand of Indian consumers whether they talk about Electronic consumer goods or Smartphone. It means despite of blames, LG Electronics Pvt Ltd has positioned itself in consumer mind as a quality brand.

Chapter IVRECOMMENDATIONS AND SUGGESTIONS1. LG should improve its after sale service because its hits badly LGs market share in Bhubaneswar region.2. More detailed customaries service is to be provided.3. The training to in shop demonstration should be given at frequent time interval and feedback should be considered positively.4. The company should look into the matter of person hiring for in shop demonstration. A big LG showroom should have at least 2 such kind of person.5. LG should try new dealer who have the potential. So they can target more market.6. As there is a bottle neck competition between LG Electronics and Samsung, it is necessary to take measure steps to overcome the area of downfall LG Electronics.7. The marketing managers should make better relations with dealers and reputation of the company.8. Customer considers quality as their first preference, so the company should give more stress on this.9. The switching of customer from LG product to other brand is due to the bed after sell service in shop. 10. The product is well aware and it is on top of mind of customer. So company should always improve services and update their technology.

LIMITATIONSEvery study has certain limitations. In my study, also there were certain limitations, which I could not able to solve.1. The research was conducted in a very small area.2. My research work period witness the biggest ups and downs in product sale of different brands, which affected the perception of the customer. This was biggest drawback of my study.3. Time factor was also important for me. I had only 31 days to complete my study, for which a full-fledged report was insufficient for me.4. The customer filled the questionnaire mostly in careless manner, so it was difficult to make them hold for time. 5. I had only found the upper-middle class family to fill up the questionnaire, but generally, an average middle class family was required for the study.6. The sample size is also very small which represent my research on consumer behavior

AppendixBibliography www.lgindia.com www.google.com www.wikipedia.com Business world Business today LG magazine and annual general report

39

B.M
SR.BSI
Account
ASI
M.G
A.M
CAC
A.M AC
AM M.T
AMGSM
BSI GSM
I.T.Z.M
L.H.D
AM
DPT
BSI GSM