Kenwood 2006 Annual Report Download - page 6

（%）
100
20 40 60 80
57.8 30.4 10.4
1.3
56.4 28.2 13.4
2.0
2005/3
2004/3
2006/3
Consolidated net sales composition by business segment
Communications Equipment Business
Car Electronics Business
Home Electronics Business Others
58.7 31.9 8.1
1.3
0
Kenwood, which was established in 1946 in Akaho, Nagano Prefecture as
a company specializing in radio assembly and repair, produced an
advanced high-frequency coil by taking advantage of its location
surrounded by mountains, where radio waves were weak. The
high-frequency technology that was built at that time became the base for
the Company to develop FM tuners and amateur radios. Since then, it has
expanded its business domains steadily to include home-use and
car-mounted audio systems as well as commercial radio equipment
businesses. Its business areas have also expanded into North America,
Europe, Asia, particularly China, East Europe, particularly Russia, Latin
America and the Middle East.
During the period when the Company was called TRIO Electronics, Inc.
(1960 - 1986), it developed as a full-scale audio manufacturer with the
launch of FM tuners that were evaluated as the world’s best, followed by
transistorizing audio products for the first time in the industry. The
Company leveraged its advanced technologies that it had developed in
home-use audio products to enter into the car audio product and portable
audio product markets in 1980 and 1982, respectively, establishing the
foundation of its present concept of sound entertainment.
After changing its name to Kenwood Corporation in 1986, the
Company aggressively entered new business fields such as car navigation
systems and mobile phone business enabled by advances in digital
networks and IT technologies, becoming known as the “Kenwood - sound
and communications.” Its business performance was poor for some time
due to the severity of the business environment after the collapse of
Japan’s bubble economy. The Company carried on a bold structural
reform starting in July 2002, and succeeded in completely reforming its
financial base and capital structure in August 2005. Thus, Kenwood was
able to make a clean break with the difficulties of the past.
At present, the Company is making efforts to expand its corporate value
in accordance with the second mid-term business plan, the “Value
Creation Plan” formulated in May 2005 based on the corporate vision of a
new Kenwood “Reaching out to discover, inspire and enhance the
enjoyment of life.” Kenwood is pursuing a growth strategy in its core
businesses of Car Electronics, Communications Equipment, and Home
Electronics by making use of its assets including technical prowess,
product planning capability, global networks, and brand power. Moreover,
as the sole manufacturer simultaneously doing the three businesses, we
will try to further combine audio and radio communications, which are our
core competences. Through these measures, we will continue our utmost
efforts to be the dominant company in the world in the business domain
of “Mobile & Home Multimedia Systems.”.
Reaching out to discover, inspire and enhance the enjoyment of life
Kenwood is aiming to become a “World Excellent Company”
with its core competencies in sound and wireless radio communications.
Corporate Profile
Home Electronics Business
Car Electronics Business
Communications
Equipment Business
●Car Electronics Consumer (Audio) Business
●Car Electronics Consumer (Multimedia) Business
●Car Electronics OEM Business
Outline of Kenwood
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