A Study On Consumer Buying Behavior of LG Brand
A Study On Consumer Buying Behavior of LG Brand
A Study On Consumer Buying Behavior of LG Brand
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CERTIFICATE
I, Yashvi Lahoti of Thakur College of Science and Commerce of TYBAF, VIth SEM
hereby declare that, I have completed this project on psychology of investors while
investing in stock market in the year 2019-2020. This information submitted is true and
original to the best of my knowledge.
Date:
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YASHVI ANJANIKUMAR LAHOTI Date: Place: / CERTIFICATE I, Yashvi Lahoti of Thakur College
of Science and Commerce of TYBAF, VIth SEM hereby declare that, I have completed this
project on psychology of investors while investing in stock market in the year 2019-2020. This
information submitted is true and original to the best of my knowledge. Coordinator Project
Guide Principal Date: Place: College Stamp Internal Examiner External Examiner INDEX
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ACKNOWLEDGEMENT
First of all I would like to take this opportunity to thank the Mumbai University for
having projects as a part of the BAF curriculum. Many people have influenced the
shape and content of this project and many supported me through it.
With great pleasure I thank DR. Nishikant Jha, BAF coordinator at Thakur College of
Science and Commerce for being an inspiration in the completion of this project. I
thank him for the invaluable help provided during the completion of this project and for
providing me guidance and numerous suggestions throughout the entire duration of the
project.
I would also like to thank my friends and family for their invaluable support without
which the project would not have materialized. Last but not the least I would like to
thank the almighty for always helping me and getting me through the toughest of times .
PREFACE
Humans are completely rational decision makers who carefully evaluate all facts and
evidences before taking decisions that aim at maximizing outcomes. For decades,
investors’ complete rationality was the main assumption of most of the research work in
finance. In fact, it was assumed that asset prices were entirely influenced by these
rational investors’ anticipations and reactions only, which consequently influenced
demand and supply and thereafter, the price. Rationality refers to the comprehensive
and objective treatment of all available as well as latent information to arrive at
‘correct’ decisions that maximize the pay-off to the decision maker. As all humans were
considered equally rational, there was only one correct or best solution to every
problem, in black-and-white and there was no question of any grey areas.
This basic assumption of rationality, however, stands challenged in the present times by
the growing body of individuals as well as published knowledge, advocating the
uniqueness of each individual in terms of his specific characteristics, his objectives, and
his constraints.
Although this changed thought process casts an impact on all the areas in which any
kind of decision making is required, the subject considered by the researcher is the
investment behavior of individuals. Through this research, the researcher brings out the
differences in the investment behaviors of individuals due to individual differences in
the said individuals in terms of their demographic and psychographic characteristics.
The key point which the researcher seeks to make is that even in a subject as scientific
and quantifiable as investment, there is no one-size-fits-all approach for all individuals.
This research is one of the first of its kind in Indian settings, though similar studies have
been conducted in western countries. The implication of this study for Indian
investment marketplace is that given the plethora of investment products available and
also the huge social, cultural, linguistic, demographic, geographic and psychographic
diversity in a country like India, the marketers of financial products, in general, and the
financial advisors and distributors, in particular, need to recognize the undeniable fact
that every investor is unique and therefore, his needs are unique and consequently, the
entire package of investment services which have to be delivered to each individual
have to be customized, to achieve true and long-term well-being of all parties involved.
The researcher proposes that based on an in-depth assessment of the psychographic and
demographic traits / characteristics of the target customer, the financial service
providers must devise customized financial services and processes for them in order to
generate optimum satisfaction.
Accordingly, this thesis gives a framework to the financial advisory sector regarding
client profiling based on demographics and psychographics, using the Big Five
Personality Trait Inventory. Based on an in-depth study of related research, the
researcher considered seven demographic and five psychographic factors and analyzed
the association of these independent factors with various facets of the investment
behavior, including Risk Capacity, Investment Strategy, Investment Attitude and
Investment Priorities, after collecting structured responses from 1627 salaried
individuals. Accordingly, the association or its lack thereof has been compiled for each
factor. A cluster analysis has also been done, which classifies the entire heterogeneous
sample into five distinct homogenous clusters, having distinctive psychological traits
and investment behaviors. The names which the researcher has given to these five
distinct clusters, based on the psychographic and unique investment behaviors of each
cluster are Vigilant Extrovert, Cautious Recluse, Cynical Speculator, Irrational Dreamer
and Meticulous Professor.
INDEX
3.2 Hypothesis 51
3.5 Limitations 55
Samsung
LG Electronics is one of the leading companies in the field of electronics with Global
presence in many countries. .
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
1. LG.Philips LCD
2. LG Chemical
3. LG Telecom
4. LG Powercom
5. LG Twins
6. LG Dacom
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) CD±RW,
e) Notebook PCs,
f) Desktop PCs,
g) PDAs,
h) PDA Phones,
i) MP3 Players,
j) New Karaoke Systems,
k) Car Infotainment
Marketing strategies
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. 3M
2. SUN
3. YAHOO
4. PHILLIPS
5. TOYOTA
6. MICROSOFT
7. HP
8. GOOGLE
9. GE
10. INTEL
11. NORTEL
12. HITACHI
13. PRADA
14. RENESAS
15. TOSHIBA
16. BESTBUY
LG BRAND IDENTITY: -
The brand of LG is delightfully smart. LG strives to enhance the customer’s life and
lifestyle with intelligent features, institutive functionality and exceptional performance.
The brand platform:-
The LG brand is composed of four basic elements –
1. Value
2. Promise
3. Benefits
4. Personality
The Brands core Value that never changes.
a. Trust,
b. Innovation,
c. People
d. 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
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
6. 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 VISION
“Jeong-DO” Management is LG‟s 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 opportunities
d) Equal Treatment
Management Principle - Creating value for customer
R&D potential
LG has the research and development facilities in Bangalore and Pune. 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.
Product localization: -
1. Product localization is the key strategy used by the LG
2. 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
Samsung
Sony
Videocon
Television –
1. 55-inch OLED TV
2. 65-inch and 77-inch OLED TV
3. LG Smart TV
4. Plasma TV
Smart Devices and mobile phones – A varied range of tablet devices and smart
phones like
1. G3,
2. G Flex
3. G2
4. A smart watch that is based on Android wear
Home Entertainment
1. Music Systems
2. Home Theatre Systems
3. BLU Ray Players
4. DVD Players
Home appliances
1. Refrigerators
2. Dishwashers
3. Microwave Ovens
4. Vacuum Cleaners
5. Washing machines
6. Water Purifiers
7. Air conditioners
LG gives tough competition to Samsung and other top brand companies due to its
ability to have a complete chain of products. If you look at the product range of LG, it is
second to none. Thus, in the marketing mix of LG, you will find that product is the
topmost advantage of the brand.
Next, it opened its own manufacturing units in places like Noida, Bhopal etc. The
company tied up with retailers for the direct sales of its products and distributors for
the channel sales. LG has 46 branch offices that work directly with every field of
distribution. A policy of regional distribution is maintained and they follow the policy
of stock rotation. LG products are available very easily at all the malls and
supermarkets. The company has its own well-maintained showrooms to provide every
service to its customers. Online shopping for LG products is also possible at every
shopping site. The LG exclusive showrooms are known to be the most profitable for
retailers because of the product depth that LG has. Excellent distributors and the
companies focus on supply chain are the two reasons for the success of the place
element in the marketing mix of LG.
The places of distribution for LG are through the local stores. This was the main
strategy of the company. But with the passage of time the advent of ecommerce we find
that the LG goods are sold through their own site and also other ecommerce platforms.
They are available all throughout the market and are a great way to showcase their
products. We find that the LG Company has tied with other companies outlets also.
Sometimes we find their products also on display in the outlets of other shops. Like the
case of Reliance outlets for the gadgets, we find that the LG products are on display.
The mobile stores outlets also have LG phones. The way they place their products
shows that they make sure that all the products are available to the customers. Either
through the finger tips in the form of ecommerce or through the outlets where they have
the opportunity to check the products first hand.
The pricing policy of LG consists of “cost plus fixed markup”. It means that the policy
for pricing consists of cost of the product and a reasonable profit. A special team has
been appointed to research the market in a detailed manner. Here the prices of its
competitors are collected along with the consumer’s thoughts through extensive
research. Every factor is thoroughly analyzed and after evaluating its own costing and
the market research the actual price of a product is determined. When the company
launched its products in India for the first time, they were all of high range but later as
the company opened its own manufacturing units; it has been able to lower the prices of
the products.
LG electronics has decided to follow a policy of price competitiveness for the rural
areas. In order to reach out to the rural base in every nook and corner it has decided to
reduce the prices as increase in volume will result in huge revenues and profits.
Promotion in the Marketing mix of LG
LG electronics has always believed in the concept of promotional advertisement. It feels
that a direct communication with the consumer is necessary to sell its products and
hence its advertisements can be seen throughout the year in televisions, magazines,
newspapers and internet. The brand also gives special discounts to retailers and
distributors who advertise regularly and who open exclusive shops for LG. The
advertisement is the maximum for newly introduced products and for products which
give high turnover like panels and refrigerators.
In order to maintain its brand name the company is accustomed to invite famous
personalities from the field of entertainment and sports. For example, In China Kim
Tae-Hee, a famous actor is its brand ambassador, whereas in India, Akshay Kumar, the
famous Bollywood actor has acted in the LG commercials. LG became the first brand to
sponsor the 1999 and 2003 world cup of cricket. LG has also sponsored the ICC
Awards and the Formula-One for five years from 2009-2013.
The main belief of the LG Company is that they should communicate directly with the
customers, and therefore we find that a lot of advertisements all throughout the year
through the various sources like television, radio, internet, newspaper and magazine.
The promotional strategy in the marketing mix focuses on strong brand awareness
through all possible channels. LG mainly advertise the products which are a high
turnover material and they make sure that more number of customers is aware of the
products and thus their sales are increased. They pick up the famous faces of the
country and they in due course make them the brand ambassador. This is the reason
because people will directly relate to the products available to them. LG also promotes
their products through the various sporting events where they become the sponsors of
the team or the tournament. The LG company makes sure that the product is always in
the mind of the probable customers and that they will consider their company when
they want to buy the product. Hence, this covers the entire LG marketing mix.
LG REFRIGERATORS
LG refrigerators are packed with latest innovations and come in a variety of styles,
including:
French-Door Refrigerators: The line of elegant fridges offer the latest advances in food
freshness combines with impressive storage capacity.
Side-by-Side Refrigerators: One of the most popular styles, these fridges feature LG’s
latest cooling and freshness technology, convenient storage throughout and styling that
enhances every kitchen.
Bottom-Freezer Refrigerators: the fridge stays at eye level, exactly where you want
LG is also a front runner, when it comes to bringing the latest features to its lineup of
smart TVs. Depending upon your requirement, you can choose your preferred screen
size. The range is available from 24 inch and you can go for a large 65 inch TV for
making the most of entertainment. LG has options in 4K TV, OLED TVs, 3D TVs and
Ultra HD TVs for the enthusiasts.
Some of the prominent features include; 60 Hz Refresh rate, Wide Angle Viewing, 20
Watt Speaker output, Bluetooth support, wifi support, and many more. You can also
connect your smartphone to the TV and cast your favorite media content like YouTube
& Netflix.
LG smart TV has support for Android OS and you can get Android play apps in your
smart TV for better Android experience.
Consumer Buying Behavior
Consumer Buying Behavior refers to the buying behavior of the ultimate consumer. A
firm needs to analyze buying behavior for:
Buyer’s reactions to a firms marketing strategy has a great impact on the firm’s
success.
The marketing concept stresses that a firm should create a Marketing Mix (MM)
that satisfies (gives utility to) customers, therefore need to analyze the what,
where, when and how consumers buy.
Marketers can better predict how consumers will respond to marketing strategies.
Personal risk
Social risk
Economic risk
The four type of consumer buying behavior are:
The purchase of the same product does not always elicit the same Buying Behavior.
Product can shift from one category to the next.
Review of
Literature
According to “An impact of consumer buying behavior in decision making process
in purchase of electronic home appliances in Chennai (India): an empirical study”
Marketing starts before production and continues after sales. Marketing is the process of
creating customers. LG products are liked by one and all. The study shows that most of
the sale is done on basis of sales promotion activities and TV advertisement etc. The
important attribute of the product is quality and prices should be taken care. Product
attributes like permanence and after sales service has been appreciated. It is certified
that the customer satisfaction concept is an unpredictable one in any kind of marketing
but this study has attempt its best to reveal the same.
According to “STUDY ON CONSUMER BUYING BEHAVIOUR TOWARDS
SELECTIVE ELECTRONIC HOME APPLIANCES IN HYDERABAD CITY”
Based on this study, the researchers concluded that, people in Hyderabad city has
pertinent knowledge about diverse brands of the Electronic Home Appliances.
Knowledge about Electronic Home appliances differ based on the age level. The
demographic factors like age, gender, marital status, qualification, occupation, income
and family type discriminating the buying behavior of home appliances is based on this
study the awareness level of home Electronic Home appliances are moderate in
Hyderabad City. Most of the respondents have the relevant knowledge on the renowned
brands like Godrej, Whirlpool, LG, Samsung and other company brands. Based on
grades and rankings given by respondents, the main factors involved in selecting home
appliances are price then brand name, then quality, then service and the last are the
other offers given by the retailer. Respondents are not much prejudiced by retailer’s
information. The media and advertising furnishes more requisite information when
compare to other medium of dissemination of information to the public. In the case of
TV, respondents are influenced by picture quality first, then sound, then screen quality,
then size and color. In the case of refrigerator, respondents are influenced by efficiency
first, then capacity, then sturdy, then storage space, and then aesthetic of the
refrigerator. In the case of washing machine, respondents are influenced by efficiency
first, then capacity, then sturdy, then storage space, and then aesthetic of the Washing
Machine.
The present era has witnessed a revolutionary change in the trend of advertising. The
role of advertisements is important and influences the buying behavior of consumers.
This research was a study on impact of advertisements on consumer buying behavior
with respect to consumer electronic Based on the analysis it can be concluded that
advertisements have a significant impact on the consumer buying behavior. This study
can be helpful for advertisers in the consumer electronics sector to understand what
triggers a consumer’s intention to purchase. It can also determine which element in
advertising is most affecting and which has a comparatively lower impact.
From the study, it is to conclude that buying behavior and post purchase satisfaction
vary among the consumers for select brands and factors influencing them is also found
differ in the urban and rural areas. Since electronic industry in India is more vibrant,
and also the present marketing mix practices of the companies are well directed to
satisfy the consumers, finally, it is recommended to the companies of 3 select brands is
that there is a tremendous scope of development in rural India. From the observation, it
is clearly understood that companies have not formulated differentiated strategies for
urban and rural areas in India. Differentiating and matching the expectations of the
urban and rural people will help the companies to gain wider reach and helps to increase
the productivity.
Despite the basic characteristics of consumers the behavior pattern of consumers are
more or less similar to each other, particularly in the aspects like quality, preference and
decision making. However it is evident that the present approaches to draw the attention
of customers are not adequate. The consumers are particular about the appropriate
system of distribution and hence there is a great need for change in the electronics
buying system. It may not be always correct to say that consumers behave in the same
way as it much depends on type of products, quality of the products and price of the
products. Consumer attitude towards electronics based on age group , income group
,and price leads major role while purchasing the electronic goods.
According to “BRAND LOYALTY – INFLUENCING CONSUMER BUYING
BEHAVIOUR”
Brand loyalty has certain components through which it is affected. They are:-
Experience Learning Motivation Brand Preference After doing the analysis from
the data collected it can be concluded that buying behavior of customers is strongly
affected by the past experience with a certain brand and that helps them to decide
whether to go for that brand again or not. i.e. if the experience is good with the existing
brand then they are will to buy a L.E.D TV of the same brand and vice versa. Thus the
Brand loyalty is very much affected by good or bad experience of the consumer with
the brand of TV they have already used. The consumers having good experience get
motivated to buy other Television of the same brand and thus it make them Loyal to
that brand. In the above case Samsung is the most preferred Brand as majority of the
customers who have used Samsung are satisfied with the product and are willing to
purchase product of same brand. Those who are loyal to a certain brand also impact
their circle through word of mouth as they recommend the same brand to others based
on their experience. The consumer buying behavior towards a L.E.D is depended on
few major factors Like:- Performance Design Picture Quality Sound Quality
These are the factors/attributes about which the customers are more concerned and they
want most in a L.E.D Television. And as per the survey majority of respondents with
62% do not mind in paying extra price for the Brand they prefer till it gives the features
they expect from that Brand. Thus price is not a strong factor which affects the Brand
Loyalty of the consumer in case of A L.E.D Television. The Customer Preference is
also not much affected by the advertisement or the celebrity who is endorsing the brand
as most of the respondents believed in their experience with the brand and the Image of
the Brand which would help them decide to buy L.E.D TV of which Brand.
Research
Methodology
3.1 OBJECTIVES OF THE STUDY:
The objectives are designed to have a particular direction to the study like what aspect
of the topic is going to be studied. A topic can be studied from various parameter, the
objectives designed for a project gives an idea that in what manner the topic is studied,
what is the flow of project, what are the variables selected for the project, etc.
The hypothesis or the research problem of the study is designed in such manner to find
out the relationship between the variables, i.e. does the effect on has any impact on the
other. We can also say that the following hypothesis will let us know how closely they
are correlated with each other.
HYPOTHESIS 1:
HYPOTHESIS 2:
H0 - LG’s quality of products does not influence people to buy its products
HYPOTHESIS 3:
HYPOTHESIS 4:
HYPOTHESIS 5:
1. Questionnaire method
Secondary Data: Various research studies conducted on the topic in the past were
reviewed to gain further insight into the topic. These were collected from internet
sources, authentic research papers and journals.
Closed-ended questions
Open-ended questions
Open-ended questions are exploratory in nature, and offer the researchers rich,
qualitative data. In essence, they provide the researcher with an opportunity to gain
insight on all the opinions on a topic they are not familiar with. However, being
qualitative in nature makes these types of questions lack the statistical significance
needed for conclusive research
3.5 LIMITATIONS OF THE STUDY:
Limitations of a research project arise when there are uncontrollable variables which are
harder to be brought in control. This reduces the accuracy and credibility of results.
However, for this study only 140 responses were taken into consideration from the
undergraduate commerce students of Mumbai University.
-The period of research was very short and hence more the researcher was unable to
gather more responses.
-The research sample size was limited.
-The scope of discussion was limited as a very in depth study was needed in every field
of science. This helps in finding an accurate solution.
3.5 RESEARCH GAP
The difference between management’s perception of what customers expect and what
customers really want.
For e.g. when a customer asked for a particular product of Lg and management fails to
understand what customers really expect from Lg
For e.g. when management has a good idea of a product but fails to develop them into
appropriate product specification
The difference between product quality specification and actual product delivery
For e.g. the management delivered a product to the customer, hoping they would find it
interesting and the customer rejects the products
For e.g. the management promised the customer’s expectations would be fulfilled
The difference between the costumer expectations of a product and what they actually
receive
For e.g. the customer except the product to be excellent and it doesn’t happen
Data
Analysis
The data collection method means the various sources from where the data has been
collected by the researcher. There are several methods for collection of data, especially
in surveys and descriptive researches. As during data collection for descriptive research
the primary data is collected from the respondents through direct communication or
through personal interviews.
For the purpose of the research, the primary data was collected through a close ended
structured questionnaire which was designed pre hand and an online survey was done
using Google forms. Online survey was the most feasible form as the data was to be
collected from varied population in short period of time. The data collected was a scaled
data i.e. like scale of value 10 each. Survey was answered by undergraduate commerce
students of various colleges under Mumbai University. Close ended questionnaire
method is the most feasible method of data collection as a fixed set of questions is
prepared and surveyed. Therefore, uniform observations were obtained through the
survey.
Q.1 Age
The maximum responses were from the age group 18 to 25 years of age. I tried to get
majority of the responses from the working population.
Q.2 Occupation
There are different categories of working individuals. The maximum reviews are from
the student category since it is a college based project. Next, professionals,
entrepreneurs and salaried individuals.
Q.3 which brand do you prefer for electronic products?
These are the best brands in the electronic industry. The top two brands are Samsung
and LG, followed by Panasonic, Videocon and others.
Q.4 which factor influences you more for choosing a brand?
There are different qualities that influence the customer to buy the product. Maximum
number of responses agree with quality being the most important factor for buying a
product, followed by brand image, price and after sales service.
Q.5 what brand of refrigerator do you own?
The above chart shows that the maximum market share of refrigerators sold is held by
Samsung, followed by LG, whirlpool and godrej.
Q.6 what type of refrigerator do you prefer?
There are different types of refrigerators available in the market. The above chart
shows that people mostly prefer the normal type i.e. top freezer. Next side-by-side,
French door, door in door and bottom freezer.
Q.7 who influenced you more with you buying decision?
Any person buying any product is always influenced by someone to buy that product.
The piechart given shows that most of them are influenced by family member,
followed by people who take buying decisions themselves. Next are friends and
relatives.
Q.8 what attracted you the most while buying the refrigerator?
There are different qualities which lead the buyers to buy the refrigerator. According
to the chart, quality is the most important attribute for buying a refrigerator. Brand
image and price being the next attributes.
Q.9 does buying a branded refrigerator make any difference?
The chart shows that people prefer to buy branded refrigerators over non-branded
refrigerators.
Q.10 What brand of Television you own?
According to the above chart, Samsung is the topmost brand in the sales of televisions.
Next we have LG, followed by Panasonic and onida.
Q.11 Do style and looks of the television matter to you?
According to the pie chart 82% of the responses agree that looks of the television
matter to them.
Q.12 which type of television you prefer to buy?
The above chart shows most people prefer to buy a smart TV, followed by a simple
LED TV.
Q.13 from where did you buy the television?
According to the pie chart, most of the people by the televisions from retail outlets,
malls and online stores.
Q.14 since when are you using the television
According to the chart, most of the televisions in the households are older than 4 or
more years.
Q.15 Are you satisfied with your LG products?
According to the pie chart most of the customers are satisfied with their LG products.
Q.16 Rate the After sales Services provided by LG Electronics
According to the graph given, people have rated the after sales service of LG products
between 7 to 8.
Q.17 if any other brand provides with better services will you go for that
brand?
According to pie chart given almost everyone would shift to a different brand if better
services are provided
Findings and
Conclusion
Findings:
The data was collected was collected from primary and secondary sources. For the only
primary a survey was done online and 100 responses were collected by the researchers
whereas secondary data was collected from multiple websites and journals.
The findings of primary data were as follows:
There are many brands in the market like Samsung, LG, Panasonic, Videocon
and many others. The top most market holders are Samsung, and LG.
Quality of the product is the most important attribute for most of the
respondents, followed by brand image and price.
According to the respondents Samsung and LG have the biggest market for
refrigerators, to be specific the French-door and top freezer refrigerators.
According to our respondents, quality and brand image of the refrigerator
matters the most. Family members influence the buying decisions of the buyer.
Branded refrigerators have a greater market compared to non-branded
refrigerators.
According to the respondents, the most popular television brands are Samsung,
LG, Panasonic and Onida followed by others, the style and looks matter to the
customers.
A smart TV is the most trending right now, mostly brought from malls and
retail outlets. Online stores are rising with their sales. The maximum life of a
television is around 6-7 years.
LG customers majorly are satisfied with their products and have rated the after
sales service provided by LG 7-8 points on 10
Maximum customers have a mentality to shift towards a brand providing better
products and services.
Conclusion:
Electronic products are vital part of our daily lives today. We need an electronic device
in almost every job we do. Televisions, refrigerators, washing machine, mobile phones
and many other products. We need the best quality products for ourselves, which makes
the buying decisions of these products are very difficult.
My study says, LG started off as a topmost company dealing in electronic products,
with the entry of new companies with better technologies, LG lagged behind due to
outdated technology.
According to survey conducted by me, LG has a good reputation in the market. LG may
try to improve the qualities and after sales services provided by them.
In current market scenario, the competition in the electronic sector is highest, so as to
remain in competition all companies have to develop in terms of customer satisfaction
and others features. LG is good at what it provides to its customers but it needs
improvements in some areas.
According to the survey, the topmost brand for both refrigerators and televisions is
Samsung, hence becoming its biggest competitor, it needs to improve in the innovations
and launch the best quality products in market to compete with Samsung.
Consumer satisfaction is really important field in today’s market. It is very important
for companies to satisfy their customers with all their wants and demands. It is really
necessary for them to understand their customer’s desires and provide them with the
same.
LG has a great internal structure with a long term serving mission and code of conduct.
LG being a Japanese company follows Japanese methods of management although LG
India has a different policy and code of conduct.
LG has spread its feet in almost all categories of electronic products, whether it is
mobile phones, washing machines, televisions or sound systems. It has a tie up with
many companies like yahoo.com etc...
Thus, any brand if needs a good market share it has to focus on customer satisfaction in
the first place then there are other aspects as well. LG as a brand needs improvement in
qualities of its products, its style and looks and the services provided by them to their
customers.
Recommendations &
Suggestions
1. Secondary supports play an important role in the customers mind and create
awareness among the customers. The secondary support includes Demonstration,
Exhibition & Even Sponsors.
2. From the survey it was found out that the majority of customer’s don’t buy consumer
durables from exhibitions. They just visit the exhibitions to see the co. latest model.
3. They want to buy from the showrooms or from co. showrooms. For them service is
important .Beside convenience and other factors service is key factor.
4. Also majority of customers do not want any financing scheme for purchasing the
durables.
5. There was heavy rush on weekends so large numbers of ISD‟s were appointed that
day. Also the live demo calls helps in selling. Exchange offers also generate sale.
6. Customers are also now very choosy in buying the product and it is important for the
company to make loyal customer of their brand.
7. In survey we found that LG has captured maximum market share in every category.
LG dominates CTV, LCD, and Refrigerator, and Washing machine, category.
10. Customers are also now very choosy in buying the product and it is important for
the company to make loyal customer of their brand.