CHAPTER -1

INTRODUCTION

1.1 Overview of Electronics Industry
The consumer durable goods industry is a highly growth oriented Industry,
which is seeing high net growth inspite of the recession which has gripped the
major industries worldwide. In 2003, despite the various global difficulties, the
industry achieved higher yearly Sales growth over the previous year. But 2004
will bring great challenges for the industry as uncertainty in global business
and continued weakness in the world markets carries over from the previous
year. But the Indian market has been able to post robust growth in this industry
inspite of the recession in the world markets. The reason, which has helped this
industry, is the desire of the Indian people to acquire the latest that the
technology and the companies have to offer in the product portfolio ranging
from CTVs & their higher end versions of plasma & projection TVs, Air
conditioners, Refrigerators, Washing machines, Cell phones, Microwave
Ovens etc.
This desire stems from the fact that people have money at their disposal and
want to spend it only on the Products, which give them, value for money. This
is because after a hard days work people want to relax for which they purchase
products that help them to do so. For example: washing machines that require
only the clothes be put into it, air conditioners which provide relief from
extreme hot and cold weather, Cell phones that help in connectivity and other
similar products with their associated features that help in making life smooth
for the people. Companies are cashing on this aspect to fuel their growth and
are even succeeding in their efforts if they provide good quality products. This
industry is also witnessing growth because the companies are concentrating on
strengthening the R&D and expanding investments in home & overseas market
and by also developing core technologies. They are working hard to expand
their market position by producing innovative products as well as improving
product quality and cost competitiveness.

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). LGEIL set up a state-of-the art
manufacturing facility at Greater Noida, near Delhi, in 1998, with an
investment of Rs 500 Crores. This facility manufactured Color Televisions,
Washing Machines, Air-Conditioners and Microwave Ovens. During the year
2001, LGEIL also commenced the home production for its eco-friendly
Refrigerators and established its assembly line for its PC Monitors at its
Greater Noida manufacturing unit.

The Greater Noida manufacturing unit line has been designed with the latest
technologies at par with international standards at Korea and is one of the most
eco-friendly units amongst all LGEIL manufacturing plants in the world. New
and unique products will see us playing a major role in the home appliances
market. Flagship products that will lead our ranges include a stylish Side by
Side Refrigerator with built in LCD TV, large capacity Direct Drive Washing
Machines, round cavity Microwaves and new Vacuum Cleaners with multi-
cyclonic technology.




1.2 Profile of the Organization

The LG Group is South Korea's third largest conglomerate that produces
electronics, mobile phones, and petrochemical products and operates
subsidiaries like LG Electronics, LG Telecom, Zenith Electronics and LG
Chem in over 80 countries. LG Group sponsors the LG Cup Go Tournament.
LG Group founder Koo In Hwoi established Lak Hui Chemical Industrial
Corp. in 1947.[3] In 1952, Lak Hui (currently LG Chem) became the first
Korean company to enter the plastics industry. As the company expanded its
plastics business, it established Goldstar Co., Ltd., (currently LG Electronics
Inc.) in 1958. In 1959, Goldstar produced Korea's first radio. Many consumer
electronics were sold under the brand name Goldstar, while some other
household products (not available outside South Korea) were sold under the
brand name of Lucky. The Lucky brand was famous for its hygiene products
line such as soaps and Hi-Ti laundry detergents, but most associated with its
Lucky and Perioe toothpaste. In 1995, it was renamed "LG", the abbreviation
of "Lucky GoldStar". More recently, the company associates its tagline "Life's
Good", with the letters LG.

Established in 1958, LG Electronics, Inc. (LG) is a global leader and
technology innovator in consumer electronics, home appliances and mobile
communications, employing more than 82,000 people working in over 110
operations including 81 subsidiaries around the world. With 2007 global sales
of USD 44 billion*, LG is comprised of four business units Mobile
Communications, Digital Appliance Digital Display and Digital Media. LG is
the worlds leading producer of CDMA/GSM handsets, air conditioners, front-
loading washing machines, optical storage products, DVD players, flat panel
TVs and home Theater systems. LG has created reputation for progressive
technology and innovation with the release of some of the latest technological
developments in consumer electronics, home appliances and IT products. For
example, LG is currently the world's number one manufacturer of plasma
display modules. LG Electronics' goal is to enable the intelligent networking of
digital products that will make consumers' lives better than ever. LG
Electronics has established itself as a major international sports sponsor with
partnerships including the LG Super Racing Weekend touring cars tournament
in conjunction with Eurosport and the ICC cricket tournaments for example the
ICC Trophy in England 2004 and the Cricket World Cup 2007. In 2005 LG are
proud to sponsor all of ITVs Formula 1 coverage for the duration of the 2005
F1 season. For more information, visit the sponsorship page. 2013 will see LG
strengthen our range of large screen, HD and Digital Ready Plasma and LCD
TVs. TV products are not just leaders in technology and innovation but also
offer sleek design and style, our TV products really will be the centre of
attention this year. This year our Digital Appliances will reinforce our presence
in the UK in 2005.
New and unique products will see us playing a major role in the home
appliances market. Flagship products that will lead our ranges include a stylish
Side by Side Refrigerator with built in LCD TV, large capacity Direct Drive
Washing Machines, round cavity Microwaves and new Vacuum Cleaners with
multi-cyclonic technology. Also new in 2005 are LGs stylish and innovative
40 & 80 series LCD Monitors and a growing range of the award winning
Optical Storage Super Multi Drives.



1.3 History of the Organization

Founder and chairman In-Hwoi Koo, with the pen name of Yonam established
the Lucky Chemical Industrial Co (Pusan Trading Company). Present LG
Chemical in 1947, heralding the LG history. LG, which started its corporate
activities with the production of Lucky Cream, advanced into plastic industry
for the first time in Korea in order to develop a cap of cosmetics, which is not
breakable. LG elevated the standard of living of the Korean people by
producing plastic goods including combs, soap cases, toothbrushes and
tablewares. With the development of toothpaste for the first time in Korea with
its own technology, LG dominated the domestic toothpaste market. In the mean
time, LG established Goldstar Co. (Present LG Electronics) in 1958 in the
process of expanding its plastic industry area. It has inaugurated a new epoch
of the electronics industry by manufacturing a radio in 1959 for the first time in
Korea. At present LG Electronics is a major player in electronics and
telecommunications,operating 72 subsidiaries around the world with around
51000 employees worldwide.

1.4 Corporate Identity
Significance of Logo:
The symbol-mark, the visual representation of LG, is the most significant
element of LG CIP (Corporate Identification Program). The Letters L and
G in a circle symbolize the World, Future, Youth, Humanity and
Technology. Their philosophy is based on Humanity. Also, it represents LGs
efforts to keep close relationship with their customers in the world. Red, the
main color, represents their friendliness, and also gives a strong impression of
LGs commitment to the best. The elements of the international corporate
signature the most effective visual representation - include the LGs symbol -
mark and the logotype. Different versions of the international signature have
been developed to accommodate the variety of situations requiring its use.
However, in order to present a single image, the exact ratio and size must never
be altered, and must be reproduced by typography or computer graphics, based
upon the manual. It is not necessary to print LG in Korea unless you are
forced to do so.

Competition Information
Corporate Name: LG Electronics Inc.
Established: October 1, 1958 (As a private company)
Corporate Office: LG Twin Towers 20, Yoidodong,
Young1dungpo-gu Seoul, Korea 150-721
Number of Employees: 51300 (25700 in Korea/25600 Overseas)
Key People
1. Chairman, LG Group: Koo Bon Moo
2. Chairman and CEO: Kim Ssang-Su
3. President and CTO: Paik Woo-Hyun

Core Values:
LG Electronics believes in The changing way of thinking can change the
world. We of LG Electronics change our ways constantly. Hatching new ideas
is how we give the customers a greater value. A corporations core values are
mirrored in its business performance innovation, openness, and partnership.
Cultivating a challenging spirit, it musters every bit of creativity it can. With
minds wide open, it treasures the wisdom of customers suggestions. On the
basis of win -win reciprocity, we are enhancing partnership with customers,
outsourcing contractors, and joint companies.
Core Competencies:
LGs digitalists are building up marketing experience and technical expertise
for greater competence, Intriguing designing for an intricate network. The core
competences they have built up are indispensable for their growth into a global
digital leader. LG hatches products from many bright ideas.

Top Competitors
Daewoo Electronics Corporation
Matsushita Electric Industrial Co. Ltd. (MC)
Samsung Electronics Co. Ltd.
LG has a strong international positioning, with domestic sales accounting for
only 36.6% of sales in 2001. The company has lessened its dependence on the
South Korean market over the review period, with domestic sales accounting
for a slightly larger 37.9% of M.P.Birla Institute of Management sales in 1997.
Sales in South Korea showed notable growth in 2001, although this slowed in
the second half of the year as the economy showed signs of weakening.

LG VISION
Firstly, the vision of LG is to Secure world class competitiveness in core
businesses and keeping up with rapidly changing business environment, LG
has set the management strategies for the 21st Century as to aim at a leading
company in the core business fields such as Information &
Telecommunications,Bio-technology and Internetand to create a new
centurys organizational culture that cultivates human resources equipped with
creativity and challenging spirit. Since world is rapidly shifting into the
information society, thus the development of information technology
represented by Internet has enabled people to jump over the limit of time and
space and create countless El-Dorados. Just a click brings forward the whole
world and barriers between regions and countries no longer exist. Besides,
cooperation between companies is everyday occurrences under the
circumstances of fierce competition.
Second, LG is introducing more top tier products and services than ever in the
global marketplace. Its R&D experts are developing distinctive technologies
ahead of M.P.Birla Institute of Management. competitors. Marketing,
manufacturing and procurement experts are increasing product value.
Thirdly, the company is changing its way of thinking and attitude and wish to
set up more challenging targets than the competition and taking pole positions
in core industries by rapid adaptation of new and innovative best practices.
Lastly, the company would like to emphasize its preparedness for the future,
while the utmost goal has been to deliver growth and profit. From now, LG is
trying to draw on LGs new strategic vision, together with the hopes and
expectations for the future believes to continue and adhere to the new focus,
driven by a challenging and winning spirit based on the management of
substance philosophy. The potential and tremendous opportunity ahead of LG
is unlimited for 2002 and beyond.


LG Mission
The 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 Leadership
We are focusing on six development areas to become the product leader.
1. New Machine
2. Reliability
3. Conventional Installation
4. Environment Friendly Product
5. Low Noise & Vibration
Quality Innovation
The policy of quality assurance is to provide customers with utmost
satisfaction by supplying zero defects. 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 opportunities
d) 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








1.5 SWOT ANALYSIS

STRENGTHS

1. Wide range of products to serve all categories and a strong focus on
technology and quality.
2. Effective localization of product offerings for growth markets like India,
Brazil, China
3. Brand offers sound rational appeal good product features and good value
for money
4. Good after sales service and wide distribution network
5. Subsidiaries enjoy independence in decision making and hence have
flexibility in adapting to the local market
6. Sponsorship of sports and entertainment events enhances visibility
7. It has nearly 100,000 employees and is one of the top mobile manufacturers.

WEAKNESS

1. Brand lacks influence in the opinionated segment of early adopters
especially in the social media environment.
2. Brand has limited market share compared to market leaders.
OPPURTUNITIES

1. Fast growth of home appliances, electronics goods market in emerging
economies.
2. Convert improved brand image and awareness in to market share.
3. Increase the already Wide product portfolio.

THREATS

1. Price war with close Korean competitors like Samsung can disrupt growth in
price sensitive markets.
2. Highly competitive industry dynamics
3. Stagnant urban demand
4. Instances of false green claims can erode brand value and consumer trust.














CHAPTER - 2
CONCEPTUAL FRAMEWORK

Dealer behavior is the study of how he purchases, how he sells, how they get
feedback from consumers and after that he came to conclusion about particular
LG product. It is a subcategory of marketing that blends elements from
different fields. It attempts to understand the buyer decision making process,
both individually and in groups. It also tries to assess influences on the
consumer from groups such as Family, friends, reference groups, and society in
general. By understanding the consumer, we will be able to make a more
informed decision as to which strategy to employ. Established in 1958, LG
Electronics, Inc. (LG) is a global leader and technology innovator in consumer
electronics, home appliances and mobile communications, employing more
than 82,000 people working in over 110 operations including 81 subsidiaries
around the world. With 2007 global sales of USD 44 billion*, LG is comprised
of four business units - Mobile Communications, Digital Appliance, Digital
Display and Digital Media. LG is the worlds leading producer of
CDMA/GSM handsets, air conditioners, front-loading washing machines,
optical storage products, DVD players, flat panel TVs and home theater
systems.

LG has created reputation for progressive technology and innovation with the
release of some of the latest technological developments in consumer
electronics, home appliances and IT products. For example, LG is currently the
world's number one manufacturer of plasma display modules. LG Electronics'
goal is to enable the intelligent networking of digital products that will make
consumers' lives better than ever. LG Electronics has established itself as a
major international sports sponsor with partnerships including the LG Super
Racing Weekend touring cars tournament in conjunction with Eurosport and
the ICC cricket tournaments for example the ICC Trophy in England 2004 and
the Cricket World Cup 2007. In 2005 LG are proud to sponsor all of ITVs
Formula 1 coverage for the duration of the 2005 F1 season. For more
information, visit the sponsorship page.
2005 will see LG strengthen our range of large screen, HD and Digital Ready
Plasma and LCD TVs. Our TV products are not just leaders in technology and
innovation but also offer sleek design and style, our TV products really will be
the centre of attention this year. New and unique products will see us playing a
major role in the home appliances market. Flagship products that will lead our
ranges include a stylish Side by Side Refrigerator with built in LCD TV, large
capacity Direct Drive Washing Machines, round cavity Microwaves and new
Vacuum Cleaners with multi-cyclonic technology.

2.1 Global Operation
LG 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 Group
LG.Philips LCD
LG Chemical
LG Telecom
LG Powercom
LG Twins
LG Dacom
Business areas and main products
Mobile communications
(a) CDMA Handsets,
(b)GSM Handsets,
(c) 3G Handsets,
(d)Cellular Phones
Digital appliance
a) Air Conditioners ,
b) Refrigerators ,
c) Microwave Ovens ,
d) Washing Machines ,
e) Vacuum Cleaners ,
f) Home Net ,
g) Compressors for Air Conditioners and Refrigerators
Digital display
a) Plasma TVs ,
b) LCD TVs ,
c) Micro Display Panel TVs,
d) Monitors,
e) PDP Modules,
f) OLED Panels,
g) USB Memory,
h) Flat Panel Computer Monitors
Digital media
a) 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

2.1.1 The 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.

2.1.2 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.

2.1.3 The Partnership
LG 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 valuecreation relationship whereby both parties endeavor to address
mutual problems and create new values together.

2.1.4 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 .
Value
Promise
Benefits
Personality
The Brands core Value that never changes.
Trust,
Innovation,
People
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 cultures
Learning Culture
Boundary less Environment
A Carrier
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.
2.1.5 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

2.2 Training In LG Electronics

Employee training is a specialized function and is one of the fundamental
operative functions of Human Resource Management.
Acc to FLIPPO,
Training is the act of increasing the knowledge and skill of an employee for
doing a particular job.
It is a short-term educational process and utilizing a systematic and organized
procedure by which employees learn technical knowledge and skills for a
definite purpose. Training refers to the organizations efforts to improve an
individuals ability to perform a job or organizational role. It can be defined as
a learning experience in which it seeks a relatively permanent change in an
individual that would improve his ability to perform the job.

2.2.1 Difference between Training and Development
Training and development go hand in hand and are often used synonymously
but there is a difference between them.
Training is the process of learning a sequence of programsd behavior. It is an
application of knowledge. It gives people an awareness of the rules and
procedures to guide their behavior. It intends to improve their performance on
the current job and prepares them for an intended job.
Development is a related process. It covers not only those activities, which
improve job performance, but also those, which bring about growth of the
personality. It helps individual in the progress towards maturity and
actualization of potential capabilities so that they can become not only good
employees but better human beings.

2.2.2 Principles Of Training
Motivation
Learning is enhanced when the learner is motivated. Learning experience must
be designed so learners can see how it will help in achieving the goals of the
organization. Effectiveness of training depends on motivation.
Feedback
Training requires feedback. It is required so the trainee can correct his
mistakes. Only getting information about how he is doing to achieve goals, he
can correct the deviations.
Reinforcement
The principle of reinforcement tells the behaviors that are positively reinforced
are encouraged and sustained. It increases the likelihood that a learned
behavior well be repeated.
Practice
Practice increases a trainees performance. When the trainees practice actually,
they gain confidence and are less likely to make errors or to forget what they
have learned.
Individual Differences
Individual training is costly. Group training is advantageous to the
organization. Individuals vary in intelligence and aptitude from person to
person. Training must be geared to the intelligence and aptitude of individual
trainee.
2.2.3 Objectives Of Training
To increase productivity
An instructor can help employees increase their level of performance on their
assignment. Increase in human performance leads to increase in the operational
productivity and also the increase in the profit of the company.
To improve quality
Better-trained executives are less likely to make operational mistakes. It can be
in relationship to the company or in reference to the intangible organizational
employment atmosphere.
To help a company fulfill its future personnel needs
The organizations having good internal training and development programs
will have to make less changes and adjustments. When the need arises,
vacancies can be easily staffed.
To improve organizational climate
An endless chain of positive reactions result from a well planned training
programs.
To improve health and safety
Proper training can prevent industrial accidents. A safer atmosphere leads to
more stable attitudes on part of the employees.
Obsolescence prevention
Training and development programs foster the initiative and creativity of
employees and can help prevent manpower obsolescence.
Personal growth
Employees on a personal basis gain individually from their exposure to
educational expressions. Training programs give them wider awareness and
skills.
2.2.4 Requirement Of Training
After employees have been selected for various positions in an organization,
training them for the specific tasks to which they have been assigned assumes
great importance. It is true in many organizations that before an employee is
fitted into a harmonious working relationship with other employees, he/she is
given an adequate training. Training is the act of increasing the knowledge and
skills of an employee for performing a particular job. The major outcome of
training is learning. A trainee learns new habits, refined skills and useful
knowledge during the training that helps him improve performance. Training
enables an employee to do his present job more efficiently and prepare himself
for a higher-level job.

To impart to the new entrants the basic knowledge and skills they need for
definite tasks.
To assist employees to function more effectively in their present positions by
exposing them to new concepts
To build a line of competent people and prepare them to occupy more
responsible positions.
To reduce the supervision time, wastage and spoilage of new material.
To reduce the defects and minimize the industrial accidents.
To ensure the economical output of the required quality.
To prevent obsolescence.
To promote individual and collective morale, responsibility and cooperative
attitudes etc.


2.2.5 Types Of Training
Training is required for several purposes. Accordingly training programs may
be of the following types:
Orientation training: Induction or orientation training seeks to adjust newly
appointed employees to the work environment. Every new employee needs to
be made fully familiar with his job, his superiors and subordinates and with the
rules and regulations of the organization. Induction training creates self-
confidence in the employees. It is also knows as pre-job training. It is brief and
informative.
Job training: It refers to the training provided with a view to increase the
knowledge and skills of an employee for performance on the job. Employees
may be taught the correct methods of handling equipment and machines used
in a job. Such training helps to reduce accidents, waste and inefficiency in the
performance of the job.
Safety training: Training provided to minimize accidents and damage to
machinery is known as safety training. It involves instruction in the use of
safety devices and in safety consciousness.
Promotional training: It involves training of existing employees to enable
them to perform higher-level jobs. Employees with potential are selected and
they are given training before their promotion, so that they do not find it
difficult to shoulder the higher responsibilities of the new positions to which
they are promoted.
Refresher training: When existing techniques become obsolete due to the
development of better techniques, employees have to be trained in the use of
new methods and techniques. With the passage of time employee may forget
some of the methods of doing work. Refresher training is designed to revive
and refresh the knowledge and to update the skills of the existing employees.
Short-term refresher courses have become popular on account of rapid changes
in technology and work methods. Refresher or re-training programs are
conducted to avoid obsolescence of knowledge and skills.
Remedial training: Such training is arranged to overcome the shortcoming in
the behaviour and performance of old employees. Some of the experienced
employees might have picked up appropriate methods and styles of working.
Such employees are identified and correct work methods and procedures are
taught to them. Psychological experts should conduct remedial training.

2.2.6 Methods Of Training
2.2.6.1 On-the-job techniques
On the job techniques enables managers to practice management skills, make
mistakes and learn from their mistakes under the guidance of an experienced,
competent manager. Some of the methods are as:
Job Rotation: It is also referred to as cross straining. It involves placing an
employee on different jobs for periods of time ranging from a few hours to
several weeks. At lower job levels, it normally consumes a short period, such
as few hours or one or two days. At higher job levels, it may consume much
larger periods because staff trainees may be learning complex functions and
responsibilities. Job rotation for managers usually involves temporary
assignments that may range from several months to one or more years in
various departments, plants and offices. Job rotation for trainees involves
several short-term assignments, that touch a variety of skills and gives the
trainees a greater understanding of how various work areas function. For
middle and upper level management, it serves a slightly different function. At
this stage, it involves lateral promotions, which last for one or more years. It
involves a move to different work environment so that manager may develop
competence in general management decision-making skills.
Job instruction training: It is also known as step-by-step training. Here, the
trainer explains the trainee the way of doing the jobs, job knowledge and skills
and allows him to do the job. The trainer appraises the performance of the
trainee, provides feedback information and corrects the trainee.
Coaching: The trainee is placed under a particular supervisor who functions as
a coach in training the individual. The supervisor provides the feedback to the
trainee on his performance and offers him some suggestions for improvement.
Often the trainee shares some duties and responsibilities of the coach and
relives him of his burden.
Committee assignments: Here in, a group of trainees are given and asked to
solve an actual organizational problem. The trainees solve the problem jointly.
This develops team work and group cohesiveness feelings amongst the
trainees.


2.2.6.2 Off-the-job training
It includes anything performed away from the employees job area or
immediate work area. Two broad categories of it are:
In house programs: These are conducted within the organizations own
training facility; either by training specialists from HR department or by
external consultant or a combination of both.
Off-site programs It is held elsewhere and sponsored by an educational
institution, a professional association, a government agency or an independent
training and development firm.

The various off- the- job-training programs are as follows:
Vestibule training: Herein, actual work conditions are simulated in a
classroom. Material, files and equipment those are used in actual job
performance are also used in training. This type of training is commonly used
for training personnel for clerical and semiskilled jobs. The duration of this
training ranges from few days to a few weeks. Theory can be related to practice
in this method.
Role playing:It is defined as a method of human interaction that involves
realistic behaviour in imaginary situations. This method involves action doing
and practice. The participants play the role of certain characters, such as
production manager, HR manager, foreman, executives etc. This method is
mostly used for developing interpersonal interactions and relations.
Lecture method: The lecture is a traditional and direct method of instruction.
The instruction organizes the material and gives it to the group of trainees in
the form of a talk. To be effective, the lecture must motivate and create interest
among the trainees. An advantage of this method is that it is direct and can be
used for a large group of trainees.
Conference or discussion: It is a method in training the clerical, professional
and supervisory personnel. It involves a group of people who pose ideas,
examine and share facts and data, test assumptions and draw conclusions, all of
which contribute to the improvement of job performance. It has an advantage
that it involves two-way communication and hence feedback is provided. The
participants feel free to speak in small groups. Success depends upon the
leadership qualities of the person who leads the group.
Programsd instruction: This method has become popular in recent years. The
subject matter to be learned is presented in a series of carefully planned
sequential units. These units are arranged from simple to mere complex levels
of instructions. The trainee goes through these units by answering questions or
filling the blanks. This method is expensive and time consuming.


2.3 Training Programs In LGEIL
LGEIL follows the philosophy to establish and build a strong performance
driven culture with greater accountability and responsibility at all levels. To
that extent the Company views capability as a combination of the right people
in the right jobs, supported by the right processes, systems, structure and
metrics.
The Company organizes various training and development programs, both in
house and at other places in order to enhance the skills and efficiency of its
employees. These training and development programs are conducted at various
levels i.e. for executives and for officers etc.

2.3.1 Training in LG
LG provides training to all its employees as per the policy of the organization.
The Training Procedure Identification Of Needs

Management Staff
The Performance Appraisal form of the organization has a section in which the
training and development needs are filed up. The person whom the concerned
employee is reporting fills the Performance Appraisal form annually. Such
person may be a branch head or department head. Identification of training
need is done at the Executive Office (EO) level for the managers through the
Performance Appraisal forms annually and the records are maintained at the
Executive Office. Managers are nominated for the various training courses by
the Executives Office. Managers may also be nominated to certain training
programs from the branch if the subjects covered are found to be of interest or
if they offer a learning opportunity in some emerging areas of knowledge.
Training needs for the department through their Performance Appraisal forms
identifies the officers, which are filled in by the department head. The\
Performance Appraisal forms thus give the emerging training needs. This
exercise is carried out annually.

Staff
Training needs for managers and executives are identified based on:
1. Companys strategy and policy.
2. Organizational Thrust Areas.
3. New Emerging Areas.

This together gives the consolidated system of needs that is prepared by the
Personnel Officer and approved by the Department Head.

2.3.2 Preparation Of Training Plan
On the basis of identified training needs, the annual training calendar is
prepared by the Personnel officer and approved by the Personnel Head. Annual
Training Budget is prepared by Branch Personnel Head and is approved by
Executive Office. This gives the final list of training activities in a particular
year. It is attempted to carry out all the programs to fulfill the identified needs.
The Head of the Personnel Department monitors the actual training conducted
vis- vis the identified training needs on a monthly basis.
Imparting Of Training
Actual training is imparted with the help of in-house and outside agencies. The
selection of these agencies is done on the basis of reputation; programs offered
by them, past experience and feedback received from the earlier participants.
Training is also imparted by nominating the concerned employee for an
external training programs. All records of the training are maintained at branch
as per\ Record of Training in the Personnel folder and the same is intimated to
the Executive Office Personnel through the Monthly Personnel Report.
Feedback
A feedback is taken from the participants through a questionnaire on the
programs and their impressions in order to further improve upon the same.\
There are three such questionnaires available and one of these is used
depending upon the nature of the training programs and the level of
participants. Also, a person from the personnel department sits through the
final session of the programs and takes the verbal feedback about the programs.

2.3.3 Induction Training
Staff/ Officers/ Managers
This is carried out as the very first step for any new entrant into the branch at
the Staff/ Officer/ Manager Level.
The department prepares a schedule for the employee as per which he is
required to spend specific time in each department. During such period, he is
reporting to the respective department head. The objective of the induction
programs is to familiarize the participant to the function of different
department. The copies of the same are sent to the General Manager and all
concerned. At the end of the induction, the trainee has to submit a report to the
Personnel Department.
Executives
In the case of a new entrant, he is called in General shift for 2 days for training
under a senior executive to familiarize him with the welfare facilities like card
punching, canteen, public conveniences, rules and regulations, standing orders,
shift timings, spell outs, medical facilities, leave procedures etc. After two days
of training, he is deployed in the concerned department. The Personnel Officer
organizes this.
Management Trainees Training
Management trainees are given a fortnight of induction programs. Corporate
HR advises it as per Management Trainee Training programs designed by
them. Thereafter, a detailed training programs is carried out whereby the
incumbent is to understand in depth of working of each department at various
locations as per the programs given by the Corporate HR. Corporate HR
maintains all relevant records pertaining to Management Trainees training at
Bangalore.

2.3.4 Training Effectiveness
For each training programs conducted in-house for LG Delhi branch
personnel,a training brochure is developed.
The brochure developed consists of the following information:
Programs objectives: Need of the training and what are the objectives that this
training aims to achieve, what likely outcomes are expected to come out of
impact of this training.




1. Programs content: Topics being covered during the training.
2. Methodology adopted.
3. Program faculty.
4. Personnel to be covered.
5. Training methodology.
6. Training effectiveness criteria and scale.
7. The training effectiveness is measured by measurement of the achievement
of the objectives.

A person gets nominated for the training program in the following two ways:
Training programs flowing from training needs:
The programs are divided into three broad categories:
1. Functional
2. Behavioral
3. General/ Omnibus programs
Functional: The outcome of the training is measured by comparing the data
pre-training and post-training. A scale is developed for measuring the
effectiveness of training based on the % achievement of the objectives.

Behavioral: The effectiveness of the training of this nature is measured
annually. This is seen through the training need identification for the coming
year for the employee. If the training need is repeated there, then the training
provided is taken as ineffective. If the training need is repeated but with focus
on a part of the need, then the training is partially effective.

General: These are the training needs flowing directly from the organizational
needs. Examples of these can be ISO 9000 training, ISO 14000 training and
any awareness training. These are omnibus training programs, which are run
for a large number of employees.

The Effectiveness Of Training Is Measured By:
1. Achievement of those organizational objectives within the time lines.
2. Number of audit issues raised on the areas covered in the training.
3. Any other such thing as defined in the training brochure.

The effectiveness of the outside training programs is measured on the same line
as above. However, no detailed brochure is prepared for the same. The
measurement criterion for the programs is defined in the beginning of the
programs and effectiveness measured against the same. A consolidated
effectiveness report of the training programs is prepared at the end of the year.
The programs that are found to be ineffective are reworked.

Training programs for testing out the training
Also there are training programs, which are not flowing directly from the
training needs measurement of effectiveness of the training is not needed to be
measured.

Problems Of The Organization In Respect Of Training Needs
The training department of the Company is confronted with the following
problems:
1. There is no regular training schedule for the officers and staff.
2. The training given to the employees is not standardized.
3. No work-study has been done on the requirement of training.
4. No in-house training programs have been conducted.
2.4 Strategy of LG:
It is interesting to know how in such a short period of time it became the top
AC marketer in India some reflection with regards to their extremely
successful strategy are mentioned below:
1. LGs strategists focused on and were interested in expanding the Indian
AC market than wresting share away from other players.
2. LG shouldered the strong responsibility of expanding the Indian market,
which is small and very much sceptible to downturns.
3. It very cleverly targeted the home installation segment, which boomed
while the corporate segment went into a gloom. (In March 2000)
4. It reflects the high degree of wisdom of the MD of LGEIL Mr.K.R.Kim
of very accurately analyzing the opportunity of a new player is better off
things differently in a competitive market that is split between price-
fighters and technology-boasters.
5. LG decided to be a value-driver, selling novel product benefits.
6. LGs then GM Sales Mr. Pradeep Tognatta zeroed in on a very crucial
change in the consumer expectation from an AC, which I quote here, is
At one time an AC was just a cooling machine. But now people want it
to improve the aesthetics of the room, give them status, be easy to
operate and improve health Based upon this insight into consumer
insight LG Air conditioner captured the health position in the
consumer mind space, LG has been able to alter the perception of what
purpose an AC must serve. In fact, it has taken the satisfaction parameter
to a new plane altogether.
7. Another thing that LG did differently and rather boldly was to go retail
in a big way putting its AC s right up in front, in easy access of the
consumer. Before LG entered the market, ACs were not considered
show room display items. They had to be ordered and were not very
visible. After the initial outburst of distribution expansion, LG is
proceeding cautiously into new zones.
8. Mr. Pradeep Tognatta strongly believed in Philip Kotlers ADIACS
Theory of selling Attraction, Desire, Interest, Attention, Conviction and
Selling.
9. Mr. Tognatta stated that the target audiences for AC s are those who
wish to upgrade from room coolers to ACs. Right now, the penetration is
less than 2 percent. Half the country doesnt have electricity, and the
other half experiences power shortage.
10. The company precisely understands that AC satisfaction depends on
service, to some extent. So its no point selling a product where the
service back up is inadequate. If an AC breaks down in the middle of the
night, the consumer wants it fixed immediately. This is why LG has the
Happy Call system. As soon as the dealer concludes a sale, he calls
control cell, which pages the field staff. After three days the control cell
calls back the customer to see if he/she is satisfied.
For 15 days, at the peak of the season, all dealers provide service till 2.30 at
night. All the SSDs are trained intensively by LG, and every technician is
given world-class instructions on how to handle complaints. Some are even
sent to Korea for a stint at the global headquarters, hence involving them
closely with a corporation they can proud of.
LGs credo is clear: if the company is professional, everyone associated
with the brand must project the same image. All those measures add up to
create customer satisfaction. And this spells consumer pull. This gives LG
enormous clout with the trade.
2.4.1 Significant excerpts from the Literature Survey:
Strategic Brand Management Creating and sustaining Brand
Equity Long Term second edition Jean Noel Kapferer
This book happens to be one of the very few books available on the subject of
strategic brand management. There is comprehensive literature available on the
various facts of brand management and some of the very recent concepts that
have evolved in the field of Brand management. There are different chapters
given in this book that deal with important concepts like:
Brand Equity
The brand is a focal point for all the positive and negative impressions created
by the buyer over time as he comes into contract with the brand products,
distribution channel, personnel and communication. On top of this, by
concentrating on a single name, the latter acquires an aura of exclusivity. The
brand continues to be, at least in the short term, a by word for quality even after
the patent has expired. The brand performs an economic function in the mind
of the consumer and thus has a lasting and memorable effect on the companies
activities, be it as distributor or owner of the brand. The value of a brand comes
from its ability to gain an exclusive, positive and prominent meaning in the
minds of a large number consumer.

Brand Identity
Brand identity is a recent concept, however researchers have already delved
into the concept of corporate identity by the late 80s so to simply put it .It is
the common element sending a single message amid the wide variety of its
products, actions and slogans.
Corporate Identity - It is what helps organization, or a part of it; feel that it
truly exists and that it is a coherent and unique being, with a history and a place
of its own, different from others.

Identity Vs Change
Brand image is on the receivers side. Image research focuses on the way in
which certain groups perceive a product, a brand etc. The image refers to the
way in which these groups decode all of the signals emanating from the
product, services and communication covered by the brand. Identity is on the
senders side. The purpose in this case is to specify the brands meaning, aim
and self-image. Image is both the result and interpretation thereof. In terms of
brand management identity precedes image. Before projecting an image to the
public, we must know exactly what we want to project.

Brand Architecture
It addresses the crucial issue of brand product relationship. LG follows the
strategy of umbrella brand. This strategy suggests that all the operations of the
company across the globe use a single brand name. It does have various
product lines but all of them use a single brand name. The main advantage of
umbrella strategy is the capitalization of one single name and economies of
scale on an international level. LG follows this strategy and has been quite
successful in its venture across the globe. It also permits considerable savings
when they enter new strategic markets. An umbrella brand strategy allows the
core brand to be nurtured by association with products with which it was not
previously associated. Also umbrella brands impose very few constraints. Each
division has its own communications to increase its market share and to
emphasize the specific qualities of its own brand. A note of caution here is that
only companies that are able to launch superior new products can use the
umbrella strategy. In each new market, the product will have to succeed on its
own merits, despite its brand name. LG has been extremely successful in not
only launching new product categories in new markets but also in a very short
time span become leaders in the markets it ventures into.

Brand Extension
Brand extension involves entering into new product markets using a single
brand name. LG as a strategic intent announced itself as a company that
follows umbrella brand strategy hence it opts for brand extension. The only
note of caution in Brand extension is that the communication of the product
must be integrated across the various product lines, failing to do so would
almost definitely result in the dilution of the brand. LG has stated its focus
across products has a health focus. This ensures that the brand does not get
diluted and infact assists in creating a strong brand awareness and goodwill.
This ensures that the brand image across products and various segments of
products and consumers remains positive.

Multi Brand Portfolio
This focuses on the companies that would like to focus on developing multiple
brands. The chapter provides insights on the company and strategies that
address the core issues of developing and sustaining multiple brands.
Decline, ageing and revitalization
Brand entropy and degeneracy occur all so frequently in the current marketing
scenario where and competition is intense and companies in order to grow
follow high growth and expansion strategy. The brand value gets diluted and
this leads to decrease in sales in the long run. In the present business
environment a lot of focus is given to the intangible assets of the company in
deciding the sale value of the company. In such times if the brand is declining
or aging which happens in its normal course of life will lead to significant
financial loss to the company. To ensure that the brand does not degenerate
strategies are chalked out in this. It also states tips as to how to identify
whether a given brand is degenerating or not.

Making brands go global
World is turning into a global village. Given this latest evolution in the
business scenario where the massive revolution in the telecom and
transportation sector has left the companies coming in close proximity of each
other a lot of companies are contemplating opportunities to go global. LG
already is a strong global brand. This gives insight into the various aspects and
resources that are essential for a company to contemplate building a global
brand.

Brand Valuation
This chapter provides processes in valuing a brand. Brand is considered to be
an intangible asset of the company however in recent times the companies have
become sensitive to the fact that this asset actually happens to be a strong force
in the balance sheet and hence various methods of valuing a brand are being
evolved to derive the fair value of the company. This chapter states some of the
methods that are currently in use and also the problems that the company could
encounter while valuing its brand.

Advertising Management by M.V.Kulkarni 4th Edition 2003 published by
Everest Publishing. The advertising management book has totally dedicated to
the concept of brand management. It has given the steps of brand management,
which have been included in the introduction.

2.4.2 Strategic Brand Management Process by Roland Berger - Strategic
Brand Development Group Roland Berger has published an article that
provides a 5-step model for Strategic Brand Management. Berger has stated the
five main steps to be considered while stating the model for Brand
management the points are:
LG Air conditioners Redefining Satisfaction Strategy
This article was published at a time when LG had just about found a firm
foothold in this lucrative market of India and was at a juncture of making
extremely quick inroads into this market. The author very appropriately in a
concise form states the core of LG Air conditioners strategic focus. The article
starts of with this powerful statement by the author Health focus and power of
reach. These two lines are sufficient to aptly express the strategic intent of the
company
Position the product on the health platform by claiming that the company
is very health conscious and the product is for those consumers who
want the air blowing into their living space to be germ and bacteria free
air.
LGs focus on the aggressive penetration strategy to ensure that the
product reach is extensive.
The focus on the home segment.


The article highlights how the LGs strategists focused on expanding the
AC market than wresting share away from the other players.
1. The companys insight into the fact that being a multi products company
has turned out to be an advantage. Aware of the fact that an ACs only
company would be seen as the expert, LG laid greate r emphasis on the
product differentiation.
2. It lucidly takes us through the incubation of the company into this
market to the leadership position that it has gained within a short span of
3 years.
3. It further highlights the core competitive advantage that LG had over
Carrier that leveraged the company to the helm of the industry, i.e. its
extremely strong distribution network. LG started the retailing of AC in
the Indian market.
4. LG has a strong retailer network of more than 2500 retailers. Intensive
training is imparted to the sales personnel of these dealer outlets on the
product knowledge and the appropriate way of delivering a convincing
sales pitch.

After the initial burst of distribution expansion the company is now proceeding
cautiously into the new zones. This article also highlights the fact that LG is
quite aware of the needs of the consumer by understanding the fact that AC
satisfaction depends on service, to some extent. So its no point selling a
product where the service back-up is inadequate. For this LG has set up the
Happy Call system that is a 24 -hour call line for service and maintenance
related complaint handling system. This facility also ensures that the customers
have been getting proper service delivery in case of any fault immediately the
service staff is asked to pay a visit to the customer. For 15 days at the peak of
the season, all dealers provide service till 2.30 am. To motivate the technicians
few are even sent to Korea for a stint at the global headquarters, thus involving
them closely with a corporation they can be proud of.

LG NO 1 Cover Feature, Business India
This article that recently appeared in Business India provides a birds eye view
of the functioning of LG Electronics India operations in the reign of Mr.
Kwang-ro Kim, MD of LG Electronics India Ltd. Over the 7 years of it s
operations in India LG has scaled many a mile. Its been consistently becoming
a market leader in all its various product lines. It touched the astronomical sales
figure of 4500 Crores in 2003. LG has the biggest share of the pie in quite a
few products that have been launched under its single brand name.
Other significant excerpts of this article are:
1. LGs achievement in the first quarter of this year i.e. (January-April 2004)
Vis a Vis the same quarter last year has amplified the Indian managements
positive attitude. During this quarter, LG logged 38% growth in consumer
electronics 51% growth in home appliances 69% growth in its IT business.
Overall sales grew 53% to cross Rs 1000 Crores.
2. The article gave a brief insight into the principal values that drive Kim MD
LG Electronics India. He follows to fundamental principals they are self
control and rational thinking. All wars, even the recent Iraq one, are not
won after the air strikes are over but when the army takes on the enemy on
the ground, he says. This is what Kim believed even before he waged war
for the Korean company in the Indian market. He calls his aggressive
market play feet marketing, which he feels is the key factor that made LG
a formidable force in the consumer durables.
3. Kim has also taken a clue from Jim Clemmer, the Canadian management
expert who has described passion as a burning commitment to a cause.
The article did shed some light on LG expectation and vision in India
making its intentions about getting the latest technology innovations to
India clear.
4. LG rural focus: Innovation in product offerings and building strong brand
equity are one part of the success story. But the real one that has driven
LGs numbers to heights is the rural mantra. For LG, rural markets include
all other cities excluding metros and the A+ - class cities. In its marketing
framework LG caters to both urban and rural populations. The Indian rural
market with its large size and demand base, offers great opportunities to
marketers. The semi-urban and rural contribution to turnover is 65%.
5. In addition, its association with the health platform and cricket helped it in
wrest a strong position in the mind space of consumers in rural India.
6. LG Marketing Force LG has appointed 4 marketing managers (north, south,
east and west) 40 marketing managers in the branches. LG covers India
with 72 regional offices, 61 central area offices, and 43 branches.
Additionally it has over 1123 regional area offices at the district level.

AdEx India Analysis
The article states numbers based upon their independent research with regards
to the print advertisement spends by the major companies in and the general
trends of advertisement spends in this country. Some important excerpts that
are worth a mention are: Companies have reduced their spend in Air
conditioner advertising as compared to the year 2000. A drop of 12% has been
observed as compared to the year 2000. The research as done over the past
three years i.e. (2000-2003) indicates that the spend peaks in the 2nd quarter of
the year which is when the summer is at its peak and the build up for the same
starts from the 1st quarter. The least spend is observed in the 3rd quarter. An
interesting pattern can be observed with regards to retail advertising
(advertisements released directly by dealers and not by the manufacturer). The
research indicates :
1. The share of retail advertising of the Air-conditioners category has
always been higher compared to all retail advertising over the past few
years.
2. The share of spend in retail advertising is consistently rising. In the year
2003 it stands at 7%. This trend is observed when the share of all retail
advertising has been more or less stagnant, with a share hovering around
the 2 % mark.
3. Top 10 advertisers in this category contribute 90% of the advertising
expenditure.
4. LG electronics has been the Top advertiser in this category in 2000 and
2003.














CHAPTER 3
RESEARCH METHODOLOGY

3.1 Objectives of study
* To find out the dealer satisfaction with the consideration of Customer
value.
* To determine the role of media in marketing awareness of existing and
its latest innovative technology.
* To identify the factor and features by which a consumer influenced to
buy the LG products.
* To find out the services provided by the LG is appropriate or not.
The objective was to find out the dealer satisfaction of LG products, role of
media in marketing awareness of LG products from dealers and the services
they are getting from LG so that if any problems then can be resolved to
increase the sale. The first & foremost step in any research work is to identify
the problems or objectives on which the researcher has to work on. There are
two types of objectives met in this study, as explained below:

Major Objective
To analyze the existing training practices, its effectiveness and recommend
measures to improve the training practices in the organization.
Minor Objective
To study the frequency of training, training methods and their effects on the
trainees and recommend certain measures for improvement.
To study the present practices enforced in respect of training at the
personnel department and recommend any changes if necessary.
To examine present training strategies.
To study Impact of training on productivity.
To study about the requirements of further training needs.
To study effectiveness of training program.
To study and take feedback and analyze the level of satisfaction amongst
the employees in respect of training activities and suggest alternatives.

3.2 SCOPE OF STUDY

1. This Study will help LG Electronics India to know about the position of
their brands as well as their competitors in the respective territory or
localities.
2. This study will help LG Electronics India to know their customers and
their needs more effectively.
3. This Study will help LG Electronics India to know the feedback given
by the consumers for their services given to them.
4. To study LGs share in Indian electronic market.
5. It will help to estimate the level of awareness established in market and
in deciding the extent of promotion required.
6. It will help in finding out the customers expectation about the product
and also help to know the customer physiology.
7. This report will help in showing the problem associated with electronics
industry.

3.3 METHODOLOGY

RESEARCH DESIGN:
1. Descriptive research design was followed.
2. This type of research design includes surveys and fact-finding enquiries
of different kinds. The major purpose of descriptive research is
description of affairs as it exists at present.
3. Under this research design questionnaires were used to collect data.
4. The questionnaires were formed under the companys norms.
5. It was a structured questionnaire, consisting of both closed ended and
open end question.
6. A list of Prospective customers was prepared which were located in
Noida and Delhi.
7. All the data regarding the questionnaire was collected in 8 weeks time.
8. The research process consists of a series of closely related activities.


SAMPLE DESIGN:
SAMPLE SIZE: 100 customers were interviewed for collecting the data.
SAMPLE UNIT: The area covered was Delhi and NCR (Noida and
Ghaziabad).
TIME FRAME: The research has been done in 4 weeks time.
3.4 LIMITATIONS OF THE STUDY
1. There was Paucity of time
2. Some respondents were not willing to give appointment due to their busy
schedule.
3. Due to very large size of the population, only a selected sample of
customer could be contacted.
4. Due to time constraint and other imperative work load during the time
period, it could not be made possible to explore more area of concern
pertaining to study.
5. Also impossible for company to prove information is confidential.
6. Due to fast pace of life, some customers were not able to do justification
to the questionnaire.
7. Personal biases might have come while answer the questionnaire, which
were unavoidable.
8. Although all effort were taken to make the result of the work as accurate
as possible.
The sample size taken by us for the study may not be a true representative of
the entire sector defined for the study.
CHAPTER 4
DATA ANALYSIS & INTERPRETATION


Q1- Have you ever purchased LG product?

Options No. of respondents %age of respondents
Yes
46 92%
No 4 8%

Table no.1: No. of people purchased LG product




Figure no.1: No. of people purchased LG product


Analysis and Interpretation: As can be inferred from the above pie-chart that
the maximum number of respondents had purchased LG product.92% says they
purchased the LG product and 8% says they dont purchased yet.


92%
8%
Ever purchased LG product
Yes
No
2) While purchasing consumer durables which parameter influences you?


Parameters No. of respondents %age of respondents
Price 11 22%
Product features 17 34%
Brand 12 24%
Services 9 18%
Durability 1 2%

Table no. 2 Parameters that influence to buy consumer durables.



Figure no. 2 Parameters that influences to buy consumer durables

Analysis and Interpretation: As can be inferred from the above pie-chart
there are different parameters that the consumer may consider while purchasing
the consumer durables.22% says price, 34% says product feature, 24% says
brand, 18% says services,2% says its durability.
22%
34%
24%
18%
2%
Parameters influencing to buy consumer durabes
Price
Product features
Brand
Services
Durability
3) Which product of LG are you using?
Products No. of respondents %age of respondents
Television 17

34%
Refrigerator 10 20%
Microwave 6 12%
Air-Conditioner 6 12%
Washing Machine 4 8%
Other 7 14%

Table no. 3 Different products of LG



Figure no. 3 Different products of LG.

Analysis and Interpretation: As can be inferred from the above pie-chart
there are different products which are offered by LG electronics and people are
using them acoording to their preference.As they use the LG products for
different purposes so there is different choices.
34%
0%
20%
12%
12%
8%
14%
People using different LG products
Television
Refrigerator
Microwave
Air-Conditioner
Washing Machine
Other
4) How frequently you change your consumer durables?

Options No. of respondents % age of respondents
1-3 years 10 20%
3-5 years 9 18%
5-10 years 17 34%
More than 10 years 14 28%

Table no. 4 Frequency of changing the consumer durables..



Figure no. 4 Frequency of changing the consumer durables.


Analysis and Interpretation: As can be inferred from the above pie-chart
shows the frequency of changing the consumer durables by the consumer.20%
says 1-3 years,18% says 3-5years,34% says 5-10years,28% says more than
10years.
20%
18%
34%
28%
Frequency of changing the consumer durables
1-3 years
3-5 years
5-10 years
More than 10 years
5) How is your experience with this brand?

Options No. of respondents %age of respondents
Excellent 10 20%
Very good 15 30%
Good 17 34%
Fair 5 10%
Poor 3 6%

Table no. 5 Experience with this brand.



Figure no. 5 Experience with this brand.


Analysis and Interpretation: As can be inferred from the above pie-chart
there are different experience of different types of consumers with the brand.
20%
30%
34%
10%
6%
Experience with this brand
Excellent
Very good
Good
Fair
Poor
6) Do you think the product of this brand is value for money?

Option No. of respondents %age of respondents
Yes of course 23 46%
Little bit 15 30%
Not really 6 12%
Not at all 6 12%

Table no.6 Products of this brand are value for money



Figure no. 6 Products of this brand are value for money


Analysis and Interpretation: As can be inferred from the above pie-chart
interpret that how the products of LG electronics are value for money to the
different types of consumers.46% says yes,30% says little bit, 12% not
really,125 says not at all.

46%
30%
12%
12%
The product of this brand is value for money
Yes of couse
Little bit
Not really
Not at all
7) How do you see the compliant handling of the brand?

Option No. of respondents % age of respondents
Excellent 9 18%
Very good 17 34%
Good 8 16%
Fair 6 12%
Poor 10 20%


Table no. 7 Compliant in handling the brand.




Figure no. 7 Compliant in handling the brand.

Analysis and Interpretation: As can be inferred from the above pie-chart
shows that how much difficulty is face by the consumers in handling the LG
brand.18% says its excellent,34% says very good,16% says its good,12% says
its fair,20% says its poor.
18%
34%
16%
12%
20%
Compliant in handling the brand
Excellent
Very good
Good
Fair
Poor
8) Did you ever made call to customer cell for any query?
Option No. of respondents % age of respondents
Yes 38 76%
No 12 24%

Table no. 8 How many consumer made call to customer cell for queries.




Figure no. 8 How many consumer made call to customer cell for queries.

Analysis and Interpretation: As can be inferred from the above pie-chart
interpret that how much consumers of consumer durables made call to the
customer cell for any queries about the product or the brand information.76%
says its yes,24% says its no.





76%
24%
Made call to customer cell for any query
Yes
No
9) Did the service executive serve you better?


Option No. of respondents % age of respondents
Yes 35 70%
No 15 30%

Table no. 9: No. of people satisfy with the service executive



Figure no 9: No. of people satisfy with the service executive.

Analysis and Interpretation: As can be inferred from the above pie-chart
shows that how many people are satisfy with the services offered by the service
executives.70% says yes while 30% says no.



70%
30%
The service executive serve's better
Yes
No
10) The service executives respond immediately after the call for service?

Option No. of respondents % age of respondents
Yes 35 70%
No 15 30%

Table no. 10: Response from service executive after the call for service



Figure no. 10: Response from service executive after the call for service


Analysis and Interpretation: As can be inferred from the above pie-chart
interpret at the response of service executive immediately after the call for
service by the consumer.70% says yes while 30% says no.





70%
30%
Service executive responds immediately after the call for service
Yes
No
11) Did the supervisor of the LG product educate you about the details of the
product you are buying?


Option No. of respondents % age of respondents
Yes 36 72%
No 14 28%

Table no.11: The supervisor educate the consumer about the product




Figure no. 11: The supervisor educate the consumer about the product



Analysis and Interpretation: As can be inferred from the above pie-chart
shows that the did supervisor of LG product educate the consumer in detail
about the product that the consumer is buying.72% says yes while 28% says
no.

72%
28%
The supervisor educate the consumer about the product
Yes
No
12) Do you prefer to buy other brand instead of LG?

Option No. of respondents % age of respondents
Yes 36 72%
No 14 28%

Table no. 12: no. of people ready to buy another brand instead of LG.




Figure no.12: No. of people ready to buy another brand instead of LG.



Analysis and Interpretation: As can be inferred from the above pie-chart
shows that how many people are ready to buy another brand of product instead
of LG.72% says yes while 28% says no.


72%
28%
Prefer to buy other brand instead of LG
Yes
No
CHAPTER - 5
CONCLUSION

Result of the Study
1. Coming to home from a tiring job and then to open the wardrobe just too
bad smelling dirty clothes waiting to receive the delicacies of your hand can
easily draw tears from your eyes, but now an easy solution available in
almost all households is the presence of LG refrigerator.
2. My study found that, the dealers are somewhat satisfied with the LG
Company but some retailers are not satisfied by the company neither in the
way of credit facility nor by the distribution system of LG.
3. About the LG company I found that LG having a good position in the
market in terms of pricing but lacking badly in terms of its retailer
satisfaction.
4. Customer gets to know more by the television and they are influenced to
buy new products by the unique products that are newly come to the
market.
5. My study also found that there are various factor influencing customer in
buying decision and the most influencing factor is brand image and
advertisement and other factors play a secondary role in buying decision.





CHAPTER 6
SUGGESTIONS AND RECOMMENDATIONS


1. Company should make advertisement of LG products aggressively in the
way of hoardings which increase the more visualizes customer.
2. Company should provide credit facility to the dealer in a better way by
which they can increase their sale
3. Dealers should consider the demand of people time to time so that they
come to know what people want in a particular period of time
4. LG needs to mend and maintain its service network and adopt a good
pricing strategy.
5. Convert improved brand image and awareness in to market share.
6. Effective localization of product offerings for growth markets like India,
Brazil, and China.
7. It should focus on wide range of products to serve all categories and a
strong focus on technology and quality.








APPENDIX

Dear Sir/Madam
I Naina Nigam student of Sri Guru Tegh Bahadur Institute Of Management
And Information Technology, New Delhi are conducting a survey on The
study of customer satisfaction towards after sales service of LG electronics. I
seek your cooperation for providing following relevant information for my
research.

Name -
Age
Gender-
Occupation -
Annual Income-

1) Have you ever purchased LG products?
a) Yes b) No

2) While purchasing consumer durable which parameter influence you?
a) Price b) Product features
c) Brand d) Services e) Durability

3) Which products of LG are you using?
a) Television b) Refrigerator c) Microwave
d) Air-conditioner e) Washing machine f) If other
Please specify _______________________________________________
4) How frequently you change your consumer durable?
a) 1-3 years b) 3-5 years
c) 5-10 years d) more than 10 years

5) How is your experience with this brand?
a) Excellent b) Very good c) Good
e) Fair f) Poor

6) Do you think the product of this brand is value for money?
a) Yes of course b) Little bit
c) Not really d) Not at all

7) How do you see the compliant handling of the brand?
a) Excellent b) Very good c) Good
e) Fair f) Poor

8) Did you ever made call to customer cell for any query?
a) Yes b) No

8) Did the service executive serve you better?
a) Yes b) No

9) The service executive responds immediately after your call for service?
a) Yes b) No


10) Did the supervisor of the LG product educate you about the details of the
product you are buying?
a) Yes b) No

11) Do you prefer to buy other brand instead of LG?
a) Yes b) No

12) What are your suggestions for LG electronics to increase the sales?




Signature





BIBLIOGRAPHY


Books
1. Kotlar, Philip Marketing management, Kotlar publications, New York,
5
th
edition, 2007
2. Kothari, C.R Research methodology, Palgrave Macmillan, U.S.A. , 2
nd

edition, 2005.

Websites

1. http://www.lge.com/about/sustainability/management_system.jsp
2. http://www.lg.net/about/history/history01.jsp
3. http://www.lginnotek.com/ethics/english/Justice/JusticeAct/LGrule/LGr
ule_main.htm
4. http://www.lg.com/in/corporate-information/overview/strategic-alliances
5. http://www.lg.com/in/corporate-information/overview/global-operations
6. http://www.business-standard.com/article/companies/lg-india-aims-20-
revenue-jump-in-2013-113012800189_1.html
7. http://www.cio.in/view-top/lg%E2%80%99s-intelligent-enterprise
8. http://en.wikipedia.org/wiki/LG_Electronics