LG Electronics boosts R&D budget by 20 percent

Published April 7th, 2002 - 02:00 GMT
Al Bawaba
Al Bawaba

LG Electronics has announced a 20 percent rise in its research and development budget this year. The Korean digital manufacturer will this year spend $916 million on R&D, with a substantial portion going to next-generation mobile communications and with Middle East research continuing to impact product development and regional consumer preferences weighing strongly in design equations. 

 

In the Middle East, LG regularly conducts field research, focused on product features and design, both before and after regional product launches.  

 

“In certain cases where LG undertakes to develop a product specifically for the Middle East, such as the Q90 flat screen second generation TV introduced last year, the product development team travels to around five markets in the region to conduct intensive field research and identify unfulfilled customer needs,” said Hamad Malik, Senior Marketing and Communications Manager, LG Electronics’ Middle East and Africa Operations. 

 

“Customers are questioned about their preferences and their product aspirations. Only when the research results are compiled does the product development team begin their work,” he added. 

 

LG’s Q90 flat screen TV, which has side speakers, built-in 3D sound and an additional speaker under the screen, was a direct result of Middle East research. “We unearthed consumer demand for huge sound volumes, hence speakers were added to improve output,” explained Malik. “Woofer speakers were added towards the back to avoid vibration and the result was a ‘best in class’ home theatre product.” 

 

Middle East research often also impacts the features and design of LG global products. “Often certain features are added to ensure the products are truly in line with consumer tastes in this region,” said Malik. LG carries out research in the Middle East via specialized research companies and in association with its regional partners. — (menareport.com) 

© 2002 Mena Report (www.menareport.com)