Transcript Document
Life’s Good Zach, Tina, Eric, Alex LG HISTORY LG group was founded as a chemical company by In Hoi, Koo. LG’s logo stands for the name Lucky Goldstar. LG’s slogan is Life’s Good. LG Electronics set up in 1958 After 1990, LG Group set foot in many fields including cell phone market INDUSTRY ANALYSIS Foreign markets are growing extremely fast Motorola created DynaTAC which they nicknamed the “brick” Depends on Hi-tech A vast billion dollar industry that seems to be ever changing LG IN CELL PHONE INDUSTRY LG continues to expand product line and implement new technologies Well-known and good reputation The mobile communication industry will continue to be productive and make companies like LG tons of money. GLOBAL ISSUES More than 82,000 employees in over 80 countries Competition with other multi-national corporation Negative issue: Global competitors separate the cell phone market Positive issue: Agreement with InnoPath Software Inc. Makes every effort to globalize, such as India RISKS High-end Market occupation the competitive advantages of scale and advantages of low-cost production mature market is relatively stable difficulty in continuing expansion and keeping pace with market changes Existing competitors in up-market RISKS(CONTINUED) 1. Retain in the low-end product image, and to establish High-end brand's image. 2. Only continuing to market high-quality integration of advanced technology 3. Targeting high-end consumer goods market scrambling to introduce products Rise in profit, but its market share has declined FUTURE TRENDS bright future for LG prototype watch phone installing software the technology of touch screen Continue to search for top of the line electronic equipment that attracts peoples ever changing wants and trends SWOT ANALYSIS Strengths LG has an advantage in CDMA Unique design is the other strength of LG LG is good at making their products famous. Weakness Function of LG cell phone Touch screen of LG’s cell phone is not very good to use Not easy to use SWOT ANALYSIS(CONTINUED) Opportunities The touch-screen technology is the biggest potential for the future cell phone A well-designed cell phone can attract more consumers’ attentions after-sales service for customers Treats Fierce competition with many companies over-supply, profit down financial crisis around the world COMPETITORS In our case, there are two traditional competitors, Samsung and Nokia. In addition, with the revolution of communication technology, there are also some new “invaders” continued to enter into cell phone market. Zol.com.cn SAMSUNG Samsung is one of the biggest local competitors, which is a Korean based Corp. They produce identical products, but now Samsung becomes the No.2 cell phone producer in the world. Advantages: producing panel, webcam, and memory preferred by business people & fashion people NOKIA Top market share, top 5 valuable global brand A consistent operating performance Acquisition of Symbian, Operating System, which took 55% market share and is crucial for cell phone Many types: clamshell, bar phone, smart phone, and slide phone Waterproof compression and anti-break, durable NEW INVADERS Apple Inc.—iPhone Google—Gphone Microsoft—Zune Phone IPHONE LG PRADA GOOGLE HTC DREAM G1 MIROSOFT RECOMMENDATIONS Short-term Join in the Symbian Foundation Struggle for the license of using Google’s Android operating system, which is more open-ended. Hold their share in lower market Keep the market share of CDMA mobile phones Long-term Improve their 3G technology keep working on the designs Improving the quality of the cell phone "Blue Ocean Strategy" LG Electronics should adhere to this ambitious strategy to create more unique technology for mobile phones, and then eventually to a big cake to come back to LG. CONCLUSION Improving 1. Touch screen Technology 2. CDMA for current market THANK YOU Zach Tina (Kang Wei ) Eric (Yang Ke) Alex (Zhang Cunsi)