Thanks to cutthroat competition from various original equipment manufacturers (OEMs) across the globe, LG is apparently mired in trouble. The South Korean tech giant is being forced to significantly cut down the prices of its premium smartphones with top-shelf configurations.

According to Korean Herald, which cited credible insider sources, LG, touted as South Korea's second-best smartphone maker, is facing a decline in smartphone sales. The predominant reason, quoted by the publication, is “increased competition” from many top players as well as new companies offering handsets at dirt cheap prices. 

Based on inputs from South Korea's major carrier SK Telecom, the average price associated with 17 handsets built by LG is 175,341 won, which roughly translates to $150. The aforesaid amount is specific to customers of SK Telecom who opted for 60,000-won level subscription plans.

In comparison, the average price for handsets manufactured by Samsung -- the No. 1 smartphone manufacturer in Korea -- is reportedly 414,357 won ($355). Apple’s iPhones sell at an average price of 858,533 won ($735). The numbers clearly show the plight of LG.

The report also said that local network carriers are chasing customers by offering them huge discounts on all LG devices. It is worth noting that LG’s second-quarter results did not meet expectations. The company's mobile division posted nearly flat revenue in comparison to the same period in 2014. Its operating profit plunged 99.7 percent, and smartphone shipments reportedly fell 3 percent to 14.1 million units compared to the year before.

Going by this report, will international customers see a price cut, sooner or later? Only time will tell.