Repositioning of Lg

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  • Topic: LG Group, South Korea, LG Electronics
  • Pages : 2 (609 words )
  • Download(s) : 57
  • Published : August 6, 2010
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Re-positioning involves changing the identity of a product, relative to the identity of competing products, in the collective minds of the target market. It is more then just a mere marketing challenge. It involves making hard decisions about how a market is shifting and how a firm's competitors will react. Often these decisions must be made without the benefit of sufficient information, simply because the definition of "volatility" is that change becomes difficult or impossible to predict. The LG Corp is South Korea's second largest conglomerate that produces electronics, chemicals, and telecommunications products and operates subsidiaries like LG Electronics, LG Display, LG Telecom and LG Chem in over 80 countries. Since its founding in 1958, LG Electronics has led the way to an ever-more advanced digital era. Along the way, its constantly evolving technological expertise has lent itself to many new products and applied technologies. Pre 2008 lg electronics marketed itself as an aggressive price warrior durable products company whose sole motive was to provide finest global electronics products at cheap prices wholly decided by the demand of the product. This strategy gave LG a lot of advantages in markets like india and other developing nations where the customers were looking for cheap but durable products. But in 2008 the company saw that only providing cheap competitive products will not be beneficial in the long run as it had already started facing stiff competition from Chinese durable goods manufacturers. Due to this the company took a flagship decision of repositioning itself and henceforth be communicated as a brand that causes happiness, an enabler of life enrichment. The focus will be on the softer aspects of things. It introduced a new global brand identity: "Stylish design and smart technology, in products that fit our consumer's lives." With this the company tried to create an image or identity in the minds of their target market for its product,...
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