Avnet 2003 Annual Report Download - page 8

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EMEA also grew as a percent of enterprise revenue. It is important to note, however, that the strength
of the euro versus the dollar during the fiscal year has produced the interesting result of inflating EMEA
sales when translated into U.S. dollars as compared with the prior year while increasing expenses from
the region, thus masking EMEA’s expense reduction efforts.
In the Americas, enterprise revenue fell as the market correction wound down and the transfer to Asia
continued. Still, the Americas remains our Company’s number one region in terms of revenue and profit.
Electronic Outlook predicts the North American electronic equipment market will grow more than
8 percent in 2004, and the Americas are forecast to remain the largest producer of electronic equipment,
with 43 percent of the worldwide total this calendar year.
re:IMAGINE
Services, IT Investments Foster Growth, Increase Profit
In addition to distributing and reselling technology products, services in areas such as design, supply
chain, storage management, and server and network integration (among many others) represent a key
strategic initiative. Margins for traditional product distribution are under constant pressure. To mitigate
this, we must make sure we are delivering services that are valuable to our customers and suppliers
while being fairly compensated for that value. We continue to refine our existing offerings while
searching for innovative ways to save our customers and suppliers money and help them grow faster,
thus enabling their success.
For example, Avnet Electronics Marketing offers 10 services centering on supply chain issues.
Some are bundled along with the products it sells, while others stand alone, removing the burden
of working capital from the equation. In FY ’03 Avnet Computer Marketing solidified a method for
delivering professional services nationwide while maintaining a high level of customer service, which
it will expand upon in FY ’04. Channel Connection™was enhanced, offering real-time, secure access
Avnet Computer Marketing opened a fully automated
European Solutions Center in Tongeren, Belgium,
its first in the EMEA region. The center offers basic
logistics and more complex value-added services such as
vendor authorized assembly, system configuration and
support, software preloading and system customization,
providing turnkey solutions support to customers.
annual report2003
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