By Vineetha Menon
CEO reveals plans to ride the economic downturn during his visit to Dubai
LG Electronics CEO Yong Nam revealed that the company would be increasing its investments in research and development, marketing, branding and design in a bid to stay competitive during the economic downturn.
The comments were made during Nam’s visit to Dubai, where he was received by Sheikh Maktoum bin Mohammed bin Rashid Al Maktoum, deputy ruler of Dubai and chairman of TECOM.
“Every company - not just LG - has been affected negatively by the economic downturn,” said CEO Nam, adding that the “poor performance of many global companies in the last quarter of 2008 was a wake-up call that we needed to take drastic actions, not just safe ones.”
The company will be focusing on solar power, commercial air conditioners and business (B2B) solutions, which are the sectors LG expects to expand and become profitable once the economy recovers.
LG Electronics also aims to bring down manufacturing and indirect expenses by over $2 billion this year.