LG 2011 Annual Report Download - page 13

There are five essential pillars upon which we will build that future:
Product Leadership
The foundation of a manufacturing company lies in its products. In our industry, that means
offering truly differentiated products that make consumers take notice and say, “This is It!” But
this is only accomplished when everyone onboard—from R&D and design through quality and
marketing—execute with that consumers’ needs in mind. I am excited to share with you that many
of our products, from 3D Cinema TV and LTE phones to the world’s largest capacity refrigerators
and washing machines, have truly captured the hearts and minds of people around the world.
And 2012 promises to deliver even more on the wishes of consumers.
Strong Fundamentals
The more the world changes, the more imperative it becomes that we stay true to the
fundamentals. We will strictly observe the processes that enable us to enhance both productivity
and profitability. We will adhere to ‘Jeong-do Management’ by keeping our promises to all
stakeholders, and pursuing victory in a fairly contested business practices. It is only through
these strong fundamentals that we will continue to grow steadily in all economic and business
environments, whether that may be positive opportunities or unexpected challenges.
Superior Value
What will keep customers turning to us first? The more we can conceive and execute customized
market strategies, the more we will maintain a truly differentiated value proposition that sets
us apart from our competitors. By focusing on the value we offer more than the volume we
derive, we will maintain the long-term trust of customers in every kind of market, and our goal of
sustainable growth will be much easier to attain.
No. 1 Passion, No. 1 Culture
“Passion” I believe, is expressed through one’s actions to achieve what he or she believes in, and
aims to attain. This is not limited to our leaders or the managers that are “out-in-the-field,” but
it pertains to all. I pride myself in being a member of such a company that promotes Passion
as its No 1 virtue, and where this value cultivates creative culture, ultimately leading its people to
business success and more.
Preparation for the Future
To back up our word in product leadership and constantly developing consumer
values, our R&D ensures that we target to be the first mover in the market with new
ideas and products. To make certain that there would not be an under-supported
area, we will be expanding our investment in R&D with continuous efforts in securing
the brightest and the most innovative minds in the industry. Innovative ideas are our
most valuable currency for the future.
2012 Motto
“Put progressive thinking first, prepare for the future in advance, and create a
culture where we do things the right way.”
Once again, thank you for all of your thoughts and valuable input through the past
year. I hope that this can help add to your generous efforts in caring and moving
forward with us as friends, colleagues, business partners, and shareholders of LG
Electronics.
Thank you,
Bon-Joon Koo
Vice Chairman & CEO of LG Electronics
January 2012
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