Nikon 2000 Annual Report Download - page 5

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Shigeo Ono
Chairman
WORKING WITH NEW VISION
In March 2000, we formulated a new vision statement and management plan for the Nikon Group. Vision Nikon 21
contains a revised corporate philosophy, in which the keywords are “trustworthiness and creativity,” as well as concrete
goals that we must achieve collectively as a company. It is the leading concept of our policies, and sets out the actions
that we need to take as individual employees and group firms to realize both the spirit and foundation of our corporate
vision.
Our two major business domains are focused within the visual imaging field, chiefly cameras, and high-tech industry
related fields, mainly steppers. Vision Nikon 21 sets out the direction we must take in both these domains to foster the
creation of new business over the coming decades.
REEVALUATION OF THE VALUE CHAIN
To further strengthen the Nikon brand and enhance profitability, we are currently in the process of reevaluating and
reconstructing the entire value chain of our research and product development, manufacturing, sales, logistics and
customer service. By adopting a consistent, comprehensive, value-oriented philosophy, we are working to establish a
business model within each stage of this process to enhance profitability as well as to make Nikon more resilient to
today's harsh and fast-changing business environment.
FOCUSING MANAGEMENT RESOURCES ON GROWTH AREAS
In addition to the various measures outlined above, we are focusing our efforts in the areas that have the greatest
potential. In practical terms, this means concentrating our management resources and investing selectively in existing
businesses that show the greatest potential. At the same time, we also plan to invest in new business areas to augment
sales growth.
In the visual imaging field, we see significant potential in the development of digital cameras as portable IT devices. We
intend to make this business a key contributor to Nikon Group revenues. Within high-tech industry related fields, we plan
to build on our core competencies and create fresh business opportunities in stepper-related fields.
We also plan to move into the field of optical disk stampers, which constitute a fast-growing market.
BUSINESS OUTLOOK
Foreign exchange market trends continue to pose a potential threat to our sales in overseas markets. Although fragility of
a recovery in consumer spending gives little cause for optimism in the consumer products sector in Japan, the markets
for digital cameras are expected to expand worldwide. Private-sector capital investment in Japan, on the other hand,
appears to be at the beginning of an upturn, and the semiconductor market is projected to stage a sharp recovery. The
prospects for our industrial instruments business therefore appear comparatively positive.
Refreshed by a strengthened corporate vision and inspired with fresh motivation, we are working hard to reconstruct our
various business and management systems. These efforts will make us more market-responsive as a company, raise
profit margins, and further strengthen the power of the Nikon brand. We ask all our shareholders for their continued
support and understanding as we forge ahead with these tasks.
Shoichiro Yoshida
President
JULY 2000