LG Electronics’ “Life’s Good” global campaign in Dubai, the US, UK, Vietnam and more (Image courtesy of LG Elecs)
SEOUL, Nov. 21 (Korea Bizwire) – LG Electronics Inc. on Thursday announced a large-scale business reorganization to enhance competitiveness and synergies as it aims to morph into a “smart life solutions” provider by 2030.
The move is aimed at further strengthening the home appliance firm’s mainstay businesses and securing new growth drivers, the company said in a statement.
LG Electronics has reshuffled its four business divisions — Home Appliance & Air Solutions, Home Entertainment, Vehicle component Solutions and Business Solutions — into Home Appliance Solution, Media Entertainment Solution (MS), Vehicle Solution (VS) and Eco Solution (ES) divisions, it said.
The MS division mainly sells content promoted on LG TVs, the VS division is involved in vehicles’ infotainment systems and other electronic components, and the ES division is engaged in EV-charging and green-tech solutions, which the company regards as potential growth engines.
In addition, LG Electronics has generated a new business division that handles heating, ventilation and air conditioning (HVAC) projects, noting that the HVAC segment is “a pillar of growth” for the company, the statement said.
“The company has launched the HVAC business as an independent division separately from the home appliance segment as the HVAC business is largely based on B2B deals,” it said.
A total of 42 executives have been promoted as part of the business reshuffle.
LG Electronics promoted Kim Young-lak, executive vice president of the Korea Sales & Marketing Company, to president of the significant domestic sales division effective Jan. 1 amid a tougher competition with smaller rivals.
Kim has aggressively pushed for the home appliance subscription model, which combines products and services at home and in overseas markets, leading the paradigm shift in the competitive home appliance market, the statement said.
(Yonhap)
