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    Distribution Channel of LG

    Uploaded by

    Badal Bhattacharya
    LG manufactures mobile phones in plants in Pune and Greater Noida, producing 20 lacs units per month. The phones are sent to mother warehouses in Greater Noida and Pune, and then transported to branch warehouses across India. From there, CFAs help redistribute the phones to distributors and dealers, who sell to consumers through LG shops, other retailers, and websites. LG aims to expand its retail network from 20,000 to 40,000 dealers to gain a 10% market share by 2010.

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    Distribution Channel of LG

    Uploaded by

    Badal Bhattacharya
    503 views3 pages
    LG manufactures mobile phones in plants in Pune and Greater Noida, producing 20 lacs units per month. The phones are sent to mother warehouses in Greater Noida and Pune, and then transported to branch warehouses across India. From there, CFAs help redistribute the phones to distributors and dealers, who sell to consumers through LG shops, other retailers, and websites. LG aims to expand its retail network from 20,000 to 40,000 dealers to gain a 10% market share by 2010.

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    88464377-Distribution-Channel-of-LG

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    LG manufactures mobile phones in plants in Pune and Greater Noida, producing 20 lacs units per month. The phones are sent to mother warehouses in Greater Noida and Pune, and then transported to branch warehouses across India. From there, CFAs help redistribute the phones to distributors and dealers, who sell to consumers through LG shops, other retailers, and websites. LG aims to expand its retail network from 20,000 to 40,000 dealers to gain a 10% market share by 2010.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    503 views3 pages

    Distribution Channel of LG

    Uploaded by

    Badal Bhattacharya
    LG manufactures mobile phones in plants in Pune and Greater Noida, producing 20 lacs units per month. The phones are sent to mother warehouses in Greater Noida and Pune, and then transported to branch warehouses across India. From there, CFAs help redistribute the phones to distributors and dealers, who sell to consumers through LG shops, other retailers, and websites. LG aims to expand its retail network from 20,000 to 40,000 dealers to gain a 10% market share by 2010.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 3

    Distribution channel of LG-

    LG has its own manufacturing plant in Pune and Greater Noida. Currently 20 lacs Units of mobile phones
    in every month. LG has three types of warehouses

     Mother- warehouse
     Branch-warehouse
     Spare parts-warehouse

    In warehouse, the products are pinup with 3-color paper to get the knowledge about the delivery.

    1. Red Card – To stop the product going into market,


    2. Green card – To allow the product for delivery in market,
    3. Yellow Card – After the product labeled with green, allow this to move in market

    Distribution Channel Of LG GSM mobile phones-

    Once the mobile phones manufactured from these manufacturing facilities are transported to mother
    warehouse. The mother warehouse is that where the products from the factory are kept and from that
    warehouse, the products are sent to the branch warehouse. One mother-warehouse is located in
    Greater -Noida and another in Pune manufacturing plant. Then, LG mobile phones are transported to its
    branch-warehouse. Branch-warehouse are located in various states of India such as Mumbai, Delhi,
    Kolkata, Pune, Hyderabad like big cities. These Warehouse are responsible for wide distribution of LG
    mobile phone products into various Tier-1, tier-2 and tier-3 cities with the help of distributors and
    Carrying and forwarding agencies (CFAs).

    Mobile phones are redistributed from branch-warehouse to distributors with the intervention of CFAs.
    CFAs are responsible for transporting mobile phones to dealers within a particular time limits. They
    communicate to distributors about the consignments and deliver it to distributors’ godowns. CFAs do
    not hold titles of consignment. In the case of any damages, they do not take responsibilities of
    consignments. These LG distributors redistributes the products to dealers in various cities, LG owned
    shops, Hot-spot, Univercell, Virgin’s the mobile stores and lgez buy .com. At the end, LG mobile phone
    products are delivered to finel customers and institutions.
    SUPPLIERS SUPPLIERS SUPPLIERS

    FACTORY (OEM)
    FACTORY (OEM)

    WAREHOUSE WAREHOUSE WAREHOUSE

    CFA CFA CFA CFA CFA CFA

    DISTRIBUTOR DISTRIBUTOR DISTRIBUTOR

    LG SHOPPE DEALER DEALER DEALER www.lgezbuy.com

    INSTITUTIONS CONSUMERS CONSUMERS CONSUMERS CONSUMERS

    LG mobile stores- These mobile stores are opened in various big cities such as Delhi, Mumbai, Lucknow,
    Hyderabad, Chennai, Bangalore and Kolkata etc. These stores keep wide range of LG mobile phones with
    Point of sale displays about its various products. These LG mobile stores offer discounts and mobile
    peripherals free with mobile for promoting its brand and retailing mobile stores.

    Eying a market share of 10% by 2010-end in a projected 10 crore mobile phone handset market this
    year. The firm has set a target to double its retail distribution network from 20,000 dealers to 40,000 in
    India. LG announced that he will open 100 exclusive mobile handset brand stores across the country so
    that customers can come and feel the new product range.

    LG also distributes its mobile phones to other big retailers such as Hotspot, Univercell and Vergin’s The
    mobile stores.

    Distribution Channel of LG CDMA mobile phones- LG CDMA mobile phones are transported from
    mother-warehouse to branch-Warehouse. Then, CDMA mobile phones are delivered to various network
    service providers such as Reliance, Tata indicom, Airtel and Idea etc. with the help of CFAs. There they
    will assemble their respective mobile network’s SIM card and then send it to its own operators’ outlets
    and large distributors. The large distributors will further transferred to agents, chain of stores, etc. and
    finally it will reach the end customers.
    LG's mother-warehouse s
    in Greater Noida and Pune

    CFAs which helps in


    distribution

    Network operator

    Large distributors

    Mobile store, Agents and Network owned oulet s


    Dealors

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