Adidas 2000 Annual Report Download - page 27

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adidas-Salomon ANNUAL REPORT 2000
23
Strategy
Mavic
Mavic is both the reference and leading brand when it comes to
high-end rims and wheels for mountain and road racing bikes.
Mavic strategy in the recent years has been to move its prod-
uct offering from rims to complete wheels. This strategy proved
to be successful, with key products such as the Ksyrium SSC
road wheel and the Cross-Max mountain bike wheel clearly
leading the market. We are now extending this strategy further
to include wheel offerings at mid-range price points, thus
attracting leisure cyclists in addition to our already strong base
of performance cyclists.
In addition to this product extension, Mavic is utilizing its close
relationship with Salomon to make its production and design
capacities more efficient. We are currently in the process of
moving a significant portion of Mavic production to Romania
where Salomon already has established production facilities. In
addition, Mavic development teams will be moving to Salomon
headquarters in France in 2001. Together, these moves will
enable Mavic to benefit from all possible synergies with Salomon
in terms of product design, development and marketing.
Salomon and Mavic Outlook
Salomon is the brand in our portfolio with the strongest poten-
tial for extension into fast-growing new sports categories. Two
examples where we will expand in the near future include skate
-
boarding and water sports. As a result of our strong commitment
to innovation, a new, more marketing-oriented approach to the
market and promising products in the pipeline, we are confident
that Salomon sales will grow at double-digit rates going forward.
As a result of its integration into the Salomon organization and
its product extension, Mavic will also develop positively.