DuPont 2009 Annual Report Download - page 6

Part I
ITEM 1. BUSINESS, continued
vehicle original equipment manufacturer (OEM) industry supply chain. The company has long-standing relationships
with these customers and they are considered to be important to the segments’ operating results.
Competition
As a science and technology based company, DuPont competes on a variety of factors such as product quality and
performance or specifications, continuity of supply, price, customer service and breadth of product line, depending on
the characteristics of the particular market involved and the product or service provided.
Major competitors include diversified industrial companies principally based in the U.S., Western Europe, Japan,
China, Korea and India. In the aggregate, these competitors offer a wide range of products from agricultural,
commodity and specialty chemicals to plastics, fibers and advanced materials. The company also competes in certain
markets with smaller, more specialized firms who offer a narrow range of products or converted products that
functionally compete with the company’s offerings.
Pioneer sells advanced plant genetics, principally for the global production of corn and soybeans and thus directly
competes with other seed and plant biotechnology companies. The Nutrition & Health business also provides food
safety equipment and soy-based food ingredients in competition with other major grain and food processors.
Research and Development
The company conducts research in the U.S. at either dedicated research facilities or manufacturing plants. The highest
concentration of research is in the Wilmington, Delaware area at several large research centers. Among these, the
Experimental Station laboratories engage in investigative and applied research, the Chestnut Run laboratories focus on
applied research and the Stine-Haskell Research Center conducts agricultural product research and toxicological
research to assure the safe manufacture, handling and use of products and raw materials.
Other major research locations in the U.S. include Mt. Clemens in Mt. Clemens, Michigan, dedicated to coatings
research; Pioneer research facilities in Johnston, Iowa; The Solae Company facilities in St. Louis, Missouri; polymer
research facilities in Richmond, Virginia, and Parkersburg, West Virginia; and electronic technology research facilities
in Research Triangle Park, North Carolina, Towanda, Pennsylvania, and Santa Barbara, California.
DuPont, reflecting the company’s global interests, also operates additional research and development facilities at
locations outside the U.S., with major facilities located in Sao Paulo, Brazil; Kingston, Canada; Shanghai, China;
Meyrin, Switzerland; Seoul, Korea; Wuppertal, Germany; Hyderabad, India; and Utsunomiya, Japan.
The objectives of the company’s research and development programs are to create new technologies, processes and
business opportunities in relevant fields, as well as to improve existing products and processes. Each segment of the
company funds research and development activities that support its business mission. Recently, the company has
broadened its sustainability commitments beyond environmental footprint reduction to include market-driven targets
for research and development investment. The company is expanding its offerings addressing safety, environment,
energy and climate challenges in the global marketplace by developing and commercializing renewable, bio-based
materials; advanced biofuels; energy-efficient technologies; enhanced safety and protection products; and alternative
energy products and technologies. The goals are tied directly to business growth, including increasing food
production, increasing renewable sources for energy and raw materials, and providing greater safety and protection for
life, assets, and the environment.
The corporate research laboratories are responsible for conducting research programs aligned with corporate
strategy. All research and development activities are administered by senior research and development management
to ensure consistency with the business and corporate strategy. The future of the company is not dependent upon the
outcome of any single research program.
Additional information with respect to research and development, including the amount incurred during each of the last
three fiscal years, is included in Item 7, Management’s Discussion and Analysis of Financial Condition and Results of
Operations, on page 20 of this report.
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