Pioneer 2010 Annual Report Download - page 12

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2010 (results)*2011 2012 2013
135.5
–9.2
0
154.0
4.0
185.0
5.5
212.0
Expanding Business in Europe, North
America, and Newly Emerging Markets
In the home AV business, we aim to capture the top market
share of AV receivers primarily in Europe and North America,
and expand sales. In addition, we will launch and expand
sales of iPod*-ready audio systems, and bring to market new
concept audio products including built-in home audio sys-
tems and multi AV systems. Furthermore, in fiscal 2010, we
formed a business alliance with Suning Appliance Co., Ltd., a
major Chinese home electronics mass retailer, with the aim
of expanding sales channels in China, which are growing
rapidly. Pioneer will work to expand sales of its AV products
by utilizing Suning Appliance’s strong sales channels covering
major cities in various regions of China.
Securing Growth Potential with Strong
Technological Expertise
In the DJ equipment business, where we command a top
share of the market, we aim not only to continuously launch
top-position products on the market, but also to strengthen
our response to the change of DJ styles using file music and
PCs, and to expand sales by strengthening our product lineup
in the BRICs and other newly emerging markets. Other initia-
tives to increase sales and profits include launching sound
system products and providing visual systems for clubs that
leverage our strong position in the club market. In this
manner, we will work to expand the DJ equipment business.
Optical Disc Joint Venture with Sharp
Corporation
In November 2009, Pioneer launched an optical disc joint
venture with Sharp Corporation. The joint venture has under-
taken the development, design, production and sales of mainly
Blu-ray Disc drives, recorders and players in the fast-growing
Blu-ray Disc market, and has reduced development costs by
effectively utilizing business resources. As a result, the joint
venture achieved profitability in the second half of fiscal 2010.
Looking ahead, we are forecasting significant growth for Blu-
ray Disc-related markets for both home AV and PC use. We
plan to expand sales of Blu-ray Disc-related products, espe-
cially through the early commercialization of products incorpo-
rating new standards and new technologies.
In the Home Electronics business, Pioneer is tar-
geting net sales of ¥212 billion and operating
income of ¥5.5 billion in fiscal 2013. Looking
ahead, Pioneer will focus on pursuing every
opportunity to significantly reduce costs and
drive market expansion in China and other newly
emerging markets mainly in three businesses:
home AV, DJ equipment and optical discs.
Through these measures, Pioneer aims to restore
profitability in the Home Electronics business in
fiscal 2012.
Medium-term Plan Targets
Blu-ray Disc-related products
* From fiscal 2011, AV accessories are reclassified from the “Others” segment to
the “Home Electronics” segment. In accordance with this change, figures for fiscal
2010 have been restated.
(Billions of yen)
Home Electronics Growth Strategy
■
Net sales (left scale)
■
Operating income (loss) (right scale)
* iPod is a registered trademark of Apple Inc. in the U.S. and other countries.
PIONEER CORPORATION Annual Report 2010
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