RIYADH, 3 October 2006 —LG Electronics has won several prestigious awards and commendations this year for its world-class innovative products and services. “These awards are the testimony to the high quality of our products, whose performance have been lauded globally by one and all” said K. W. Kim, LG’s president for Middle East & Africa Operations. Kim said that LGE has won a number of international awards, for instance the ‘Red Dot Design Award’ for its notebook computers.
The company has also bagged three EISA Awards this year for “European Plasma TV 2006-2007” “European Digital Video Recorder 2006-2007” and the “European HT Innovation 2006-2007” at the official awarding ceremony that took place on the Sept. 1 at IFA Berlin. Moreover, LGE is also on expansion course in Saudi Arabia and in many other countries of the Middle East. LG Electronics, the global digital leader, started its operation in 1958 as a pioneer industry in the Korean market.
But, this company has grown from strength to strength since then. The company, today, has emerged as a global force in electronics, information and communication products with ever expanding sales that totaled $38 billion in 2005. The company has more than 77,000 employees working in 77 subsidiaries around the globe, said Kim, while referring to the achievement of the LGE.
He said that the LGE has taken the lead for the last six consecutive years in terms of the manufacturing of air conditioners. It has achieved a global sales of 10 million units in just two years. Notwithstanding the pressure of high oil and increasing raw materials prices as well as the rapidly growing relentless competition form China and Japan, LGE has made an outstanding market achievement worldwide.
Referring to the success of LGE, Kim said that this success can, in the first place, be attributed to the well-established strategy with a customer-oriented policy. It seeks to abide by the performance criteria that best satisfies customers’ expectations. “We always ensure full compliance with the highest standards of quality, observe international environmental requirements, offer the most competitive prices and also work to ensure continuous adherence to the high technology as well as after sales service,” said Kim.
“In short, LG quality, cost competitiveness and inventive marketing techniques have been the cornerstones of LG Electronics policies and strategy,” said Kim, while referring to the LG’s R&D division, which has a one billion dollar fund. This fund has given a major boost to the research and product development works at LGE, said the LG chief.
Asked about the presence of LGE in Saudi market, Kim said that the company started its operation way back in 1995. LGE has been mainly operating in Saudi Arabia through its specialized agents namely United Yousef Naghi Co. Ltd., H G Ibrahim Shaker Co. Ltd., Al-Jassim Electronics Est. and Sky & Axiom Telecom LG mobiles phones distributors. He said that the policy adopted by LG to work with several agents in the local market has proved very beneficial. LG’s policy again is to support all its distributors by providing them high quality service standards and qualified technicians.
Referring to the partnership of LG with local Saudi distributors, C. K. Cho, LG’s general manager for Saudi Arabia, said that the success of LG can be attributed to the great spirit of partnership. This partnership is more evident when LG with its distributors come forward to join local welfare projects or initiatives to extend benefits to the deprived section of society. One such initiative is “LG Media Club”, which is envisaged as part of LG Electronics’ strategy to support and highlight the vital contribution of media to the society and its valued support for companies operating in Saudi Arabia.
“As part of its continued cooperation with the academic institutions, LG Air Conditioning Academy has recently hosted a training program for engineering students of King Abdul Aziz University headed by Dr. Omar Ali Al Rabghi,”, said Cho. The academy has so far organized three training courses that were attended by technical personnel of the Ministry of Interior, Defense Forces, and the Border Guards of Najran. It also organized recently the first inter-school sports Olympics 2006, with the support and cooperation of various international schools in Jeddah.
On the product front, LG Electronics has announced the arrival of the new versions of its phenomenally successful Chocolate handset. The latest versions of the million-selling phone include white and pink handsets and new “premium” chocolate phones with unique design variations and enhanced technical specifications.
Asked about LG’s tie-up with Ibrahim Shaker Group, Cho said that the two companies have signed a joint venture agreement to set up a $30 million manufacturing facility in Saudi Arabia,. This project, Cho said, will be executed in two phases within a period of five years. LG will be holding 51 percent stake and H.G Ibrahim Shaker Company 49 percent. The plant will be located in the second industrial area and it will be operational in the first half of 2007.
