JVC 2012 Annual Report Download - page 11

The Group will also seize new opportunities in the businesses engaged in cameras, video and audio equipment, and
entertainment, taking into account the spread of smartphones and other mobile devices, high-speed communications, the shift
from HDD to SSD, and the transition from memory media to cloud services. The focus will be on products and services that are
compatible with these trends, and the development of new business areas that are closely related to existing businesses.
* Smart safety field
To develop new areas in the Car Electronics business, the Group will focus on developing devices—including head-up displays
(HUDs), rear-view cameras, and drive recorders—that support drivers by improving safety and functionality.
With regard to the opportunities presented by the mobile radio business, in which the Group holds the worldʼs second
largest market presence, the focus will be on digitization. Currently expanding its business in proprietary digital professional radio
systems for U.S. private companies, the Group will begin sales to the public safety sector in the U.S. and private companies in
Japan. Business expansion will also result from focusing on the development of new digital professional radio systems that meet
the needs of the markets in Europe, China, and other Asian countries.
In the businesses of cameras and video equipment, in recognition of the opportunities presented by the trend toward
enhanced security and the growing awareness of the need for security, the Groupʼs camera and video equipment businesses will
concentrate on combining the advanced technologies used in cameras, video, data compression, and radio communications.
Slated for development is a system that combines a land mobile radio with a security camera, as well as security products
connected to smartphones.
b. Expanding businesses in emerging markets
Launched in September 2012 as a company-wide organization under the direct control of the CEO, the Emerging Market
Planning Division is responsible for expanding the Groupʼs businesses to match regional needs, where there is ample room for
growth. To achieve this goal, we will draw on manufacturing innovations from emerging market countries, based on the concept
of departing from full in-house production, through partnerships with Shinwa and other companies, to deliver products
specifically designed for emerging markets via enhanced sales structures.
* Deliver products specifically designed for emerging markets
- Improve car audio for digital media; enhance completed products with Shinwa-supplied mechanisms
- Analog radio systems, community-based radio systems, security cameras, and professional video cameras
- Consumer-use video cameras, headphones, and projectors
* Sales forces in emerging markets
- Integration of sales subsidiaries in emerging markets
- Exploration of sales channels, including non-home appliance shops
- Establishment of marketing companies in India and Indonesia
* Acquisition of new businesses
- Expansion of business with automobile and equipment manufacturers
- Acquisition of low-tier businesses for governments and consumers
c. Establishment of a lean corporate structure
In implementing its growth strategy from a long-term perspective, the Group has adopted a three-pronged approach by:
reorganizing its head office functions to make them leaner and more efficient and reinforcing its business divisions by shifting
management resources from the head office to business divisions; improving the efficiency of manufacturing and sales functions
by integrating overseas sales companies; and innovating the consolidated value chain. The Group will utilize the cash and profits
these efforts generate to bolster its financial base.
* Reorganizing head office functions; reinforcing business divisions
Following the management integration of Victor and Kenwood in October 2008, JVCKENWOOD centralized all of its head office
functions to integrate and streamline those functions that were common to both companies, which had operated under different
systems, and, as a result, to maximize the effects of management integration; after four years, this process has been completed.
The Group then reorganized its head office on November 1, 2012, establishing a leaner head office and stronger business
divisions. Concurrently, the Group has been shifting human resources from the head office to business divisions and a newly
established Professional Business Support Division.
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JVC KENWOOD Corporation
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