gmtPLUS09 | live from Seoul

Interesting to see that McKinsey has been giving consulting to 2 Korean giants, LG Electronics and Samsung Electronics for the past 3 months.

McKinsey recommends LGE to cease its Plasma Display Panel (PDP) TV business, unable to overcome the price competitiveness with Matsushita (Panasonic brand) and the tight LCD TV market. It will withdraw from the Chinese market, yet continue in the North America and Australian markets.

Further, the LCD JV LG.Philips announced its fourth consecutive quarterly loss. The JV makes LCDs and is 2nd in rank behind Samsung Electronics. Philips is expected to sell part of its stake in the venture this year.

McKinsey’s strategic recommendation for Samsung is pretty straightforward now that LG has been torpedoed.

This entry was posted on Wednesday, April 11th, 2007 at 11:23 am and is filed under Day In Day Out. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.