The goal is to create a business structure that fosters a virtuous cycle of profit and growth.
Generating revenue through premium brands, expanding into emerging markets this year.

LG Electronics Vice Chairman Cho Sung-jin held his first press conference since taking office as CEO in Las Vegas, USA on the 7th (Korean time) and announced, “I will create a business structure in which profits and growth develop in a virtuous cycle.”

Vice Chairman Cho said, “I feel a heavy sense of responsibility as I take on the role of CEO amidst this challenging business environment,” and emphasized, “I will transplant the No. 1 DNA into all of LG Electronics’ businesses to make the LG brand a truly first-class brand that customers desire.”

To establish a leading brand, Vice Chairman Cho plans to pursue three key priorities: ▲Profitable Growth, ▲Quality First, ▲Internalization of a Leading Structure, and Smart Working. Drawing on his experience and expertise in the home appliance industry and his management philosophy that "quality is a manufacturing company's core competitiveness," Vice Chairman Cho has established the goal of realizing "leading quality" by emphasizing quality as a core management pillar.

▲ LG Electronics Vice Chairman Cho Seong-jin

Vice Chairman Cho plans to run the business with a focus on growth based on profitability rather than obsessing over quantitative growth. ▲In the B2C sector, we plan to build the capacity to generate profits in any situation by enhancing our business structure and strengthening our premium brand. ▲In the B2B sector, we plan to accelerate growth through customer-focused business models and proactively invest to increase our growth rate and preempt market opportunities.

Vice Chairman Cho also plans to internalize a "top-tier constitution" through constant challenge and a drive to win through tenacity, passion, and immersion. He also plans to transform the work culture into a smart one centered on efficiency, speed, and strong execution. In his New Year's address, Vice Chairman Cho called for a shift in working methods, emphasizing the importance of completing tasks through efficiency, speed, and execution, rather than simply focusing on time.

Emphasize the balance between B2C and B2B to accelerate healthy growth.

Vice Chairman Cho emphasized the balance between B2C and B2B to accelerate sound growth based on the business portfolio.

Vice Chairman Cho will chair the LG SIGNATURE Committee, the control tower for the ultra-premium "LG SIGNATURE" brand, which launched in Korea, the US, and Europe last year, and will personally oversee matters related to "LG SIGNATURE." LG Electronics plans to expand the launch of "LG SIGNATURE" to emerging markets such as Asia, the Middle East, the CIS, and Central and South America this year, including China.

The home appliance business is divided into kitchen and living spaces to suit customer lifestyles, focusing on convergence and premium products to maintain high profitability. LG Electronics plans to actively invest in system air conditioners and built-in appliances in the B2B segment, and ovens, vacuum cleaners, water purifiers, and air care products in the B2C segment. Small home appliances also differentiate themselves in terms of design and performance to enhance their premium image.

For the TV business, LG will continue to lead the global premium TV market by expanding the launch of its next-generation OLED TVs. Signage will also continue to expand its growth platform. For the mobile business, we will prioritize securing product competitiveness through fundamental performance and quality innovation, establishing a business structure that generates profits while laying the foundation for our re-emergence as a premium brand.

To accelerate the growth of its automotive components business, LG Electronics plans to continuously invest resources in areas such as In-Vehicle Infotainment (IVI), electric vehicle components, rear lamps, and Advanced Driver Assistance Systems (ADAS). It will also establish a business structure focused on quality and profitability. The company plans to participate in its business partners' strategy development from the outset, expanding its experience with successful strategic partnerships.

LG Electronics anticipates a challenging environment for the foreseeable future due to declining solar cell prices, but will continue its recent strategy of focusing on high-output products to simultaneously drive profit and growth. The company is also actively fostering ESS (Energy Storage Systems) and EMS (Energy Management Systems).

Fostering the robotics business as a future business pillar

LG Electronics plans to foster its robotics business as a key pillar of its future business. Last year, it integrated its IoT (Internet of Things) capabilities, previously fragmented across various organizations, into the newly established "H&A Smart Solutions Business Division." The division is developing home robots and robots for public services, closely linked to its existing home appliance business.

Since last year, we have been developing airport robots for airport users in collaboration with Incheon International Airport Corporation. Vice Chairman Cho expressed his commitment to fostering not only the finished product business but also the parts business. Based on our world-class competitiveness in components, such as motors and compressors based on inverter technology that deliver high efficiency and performance, we plan to increase external sales of core components.

The Design Center, Cloud Center, Innovation Business Center, and LSR (Life Soft Research)/UX (User eXperience) Research Center will all be moved directly to the CEO, expanding their company-wide roles. LG Electronics plans to apply new business paradigms like IoT, big data, artificial intelligence, and cloud computing to its existing businesses, connecting them to future growth engines.