Pioneer 2011 Annual Report Download - page 7

Pioneer Corporation Annual Report 2011 05
Initiatives for Further Growth
Steadily implementing a growth
strategy, for a leap forward as the New Pioneer
XStrengthening alliances
Going forward, Pioneer will develop even closer
relationships with major customers, while building
further on our alliances. In the area of optical discs,
through a joint venture with Sharp Corporation, we
have achieved a return to profitability with the
fusion of both companies’ strengths.
Also, we will focus on developing alliances with
partners who are able to utilize Pioneer’s strengths,
including the expansion of our automotive original
equipment manufacturer (OEM) business in China
through a joint venture with Shanghai Automotive
Industry Corporation (Group), and expanding sales
of home AV products through an alliance with
Suning Appliance Co., Ltd., a major mass-market
electronics retailer in China.
XProposing a new world of car navigation
One of our first initiatives has been to cooperate
with NTT Docomo, Inc. in the launch of the Navi
Cradle, which enables increasingly popular smart-
phones to obtain highly accurate vehicle position
information, as well as Pioneer’s proprietary probe
(vehicle driving) information. This technology has
evolved the smartphone into a full-fledged car nav-
igation system. We are also looking at overseas
markets for further growth in this business going
forward.
XExpanding business in emerging markets
In order to strengthen our position in China, Brazil,
India, the Middle East, and other emerging markets
undergoing remarkable growth, we are aggres-
sively utilizing OEM, original design manufacturer
(ODM), and electronic manufacturing services
(EMS), to further reduce manufacturing costs and
make products that conform to the needs of each
local market, aiming to increase sales and profits.
XDeveloping new businesses
Pioneer is developing new businesses that have
the potential to be the next core businesses, along-
side Car Electronics and Home Electronics. In addi-
tion to our ongoing joint development with
Mitsubishi Chemical Corporation in OLED lighting,
our HVT speakers, which use revolutionary, first-of-
its-kind technology to achieve a rich bass sound
in a slim design, are being developed for a variety
of uses from car audio to home AV products,
including flat-panel televisions.
Pioneer’s Future Direction
Increasing its corporate value with continued
growth in sales and profits
With regard to results in fiscal 2012, the year end-
ing March 31, 2012, we anticipate effects from the
disaster, especially during the first half of the year.
Nevertheless, we plan to implement recovery
measures to minimize the impact of the disaster,
including the use of inventory parts, switching to
alternative parts, increasing sales of current mod-
els, developing additional new models, and adjust-
ing the timing of new model launches. Moreover,
we will steadily pursue the “Initiatives for Further
Growth” outlined above to continue to generate
higher sales and operating income.
With regard to dividends, we deeply regret that
we have decided to pay no dividend in fiscal 2011,
but are hoping to restore dividend payments as
soon as possible.
Going forward, we will make every effort to
increase corporate value by communicating effec-
tively with our stakeholders. I ask for your contin-
ued support and understanding as we work toward
these goals.
June 29, 2011
Susumu Kotani
President and Representative Director