LG is a broadly diversified business group, active in most sectors of the Korean economy. It has grown rapidly and continuously since its founding in 1947. Originating as two of Korea's foremost brand names, Lucky and Goldstar, LG adopted its new name and corporate identity— "the face of the future"— in 1995. LG has developed into a highly integrated corporation spanning four business fields: Chemicals & Energy, Electronics & Telecommunications, Services and Finance.

One of Korea's Largest

LG Chemical, formerly known as Lucky, pioneered Korea's chemical industry and evolved into a major chemical company. LG Electronics, formerly Goldstar, produced the nation's first radio and first TV set, and became a leading brand name in Korean consumer electronics. Their growth created LG, which has become one of the largest business groups in the Korea operating around world with 130,000 employees and revenues of $81 billion. LG now has the size and the resources to compete on a global basis with the world's foremost companies.

Continuous Growth

As the Korean market began opening up to foreign competition, LG grew rapidly. It started new businesses, made acquisitions and increased market share. With a solid national base the company moved aggressively into foreign markets. These developments helped LG's annual revenues rise to $64 billion in 1995.

Revenues: 70% within Korea / 30% International

LG's development as an international company began in exports, and has outpaced the opening of the Korean economy. LG today comprises 10% of Korea's gross national product. Now a major international business group, LG has recently expanded through investments in other countries. International revenues now account for 30% of LG's total.

Robust Korean Economy

As a protected market from the 1950s through the 1980s, Korea experienced one of the fastest national economic expansions in modern history, evolving from an undeveloped agrarian society to a modern industrialized state. LG was prominent among a new group of companies fueled by the growth of the Korean consumer class. Transformed into world-class competitors, these companies were ready to benefit from falling global political and economic barriers.

"First Revolution"

As international trading started to increase dramatically around the world, LG anticipated these changes at home and abroad, and launched its First Management Revolution. It moved to a new level of professional management, modernized all aspects of operations, raised internal standards to more internationally competitive levels and renewed employees' dedication to customers.

Global Business Group Based in Korea

LG is becoming a global organization with a global culture; it views the world as a single market and measures itself against the international benchmarks used by leading global corporations. LG is establishing itself as a global brand with worldwide recognition for the quality of its people, its products and its services.

One of the World's Largest and Fastest

To reach its goal of becoming one of the world's largest companies, LG will combine the resources of a large company with the speed and flexibility of a small company This combination will propel LG businesses to become leaders in every market in which they compete.

LG Global Growth

The years from 1999 to 2005 mark the period of LG's Second Management Revolution. No longer operating within a national market, the new LG anticipates and responds to global economic and sociopolitical change. As a result, a new sense of global competitiveness is evident throughout LG. Adapting to meet the challenges of the future, LG's corporate structure is now evolving into an alliance of autonomous companies that, while continuing to share the LG brand and business philosophy,will pursue their own individual objective.

Revenues: 50% within Korea / 50% International

The new LG is not a Korean multinational company; it is a global company with regional headquarters in key locations around the world and a home office that happens to be in Seoul,Korea. In the coming years, an even greater portion of LG's revenues will derive from sales to customers in countries other than Korea. To meet this goal, LG is expanding its operations with local talent in key international locations. The LG of the 21st century will have an increasingly cosmopolitan makeup that reinforces its global reach.

Global and Virtual Worlds

As economic change accelerates, markets are shifting and unifying. At the same time, new technologies are expanding a virtual world where physical barriers do not exist. Both of these trends open new business channels in which speed to market is increasingly important. To lead in this environment of discontinuous change, LG will develop breakthrough products and services that take full advantage of new technologies - often in startlingly simple ways.

"Second Revolution"

LG's Second Management Revolution signals a new level of commitment to customer value, high ethical principles and leadership through example. The goal: to transform LG into a worldwide leader by 2005.