Company Operations: • Main office: Taiwan Regional Sales Offices in Milan, Brazil, Toronto, Singapore Focus is company sales & promotion and support merchandising of retailers Retailers maintain ample inventories to satisfy demand
• Seasonal Production and Seasonal Demand Sales: 20% in each Q1-3 40% in Q4
• Retailers place orders 90 days in advance of expected sales. Assembly: 20% in Q4-1 &2 40% in Q3
• Assembly & Shipping Assembly in just-in-time basis 4-person assembly teams (PATs) at well-equipped workstations. Delivery time 3 days – 3 weeks Cost - $5 entry level $10 multi-featured
Worldwide Market • Market Growth Projections • Years 6-10 = 8-10% annually • Years 11-15 = 4-6% • Growth can deviate as much as 1% in either direction, with different size deviations for each region.
P/Q Ratings • World Digital Camera Federation (WDCF) assigns the P/Q ratings • Performance/Quality (P/Q) rating of ½ to 5 points • Currently, both the entry-level and multi-featured have a 2 ½ P/Q rating
Digital Retailers • 50,000 retailers • Each of the four geographical regions has: 12,500 retailers: Multi-store retail chains (100/region) – biggest % of entry -level Online electronics retailers (400/region) - second for both entry–level & multi-featured Local camera shops (12,000/region) – biggest % of multi-featured
• Retail markups over the wholesale price runs 50% to 100% • Retailers typically carry anywhere from 2-4 brands of digital cameras and stock only certain models of the brands they do carry. • Chain stores are drawn to carry the best-selling brands and mainly stock entry-level cameras • Local Camera shops and online retailers are more amenable 易控制的 to stocking and promoting low-volume brands, especially those with