Trust Recovery Growth Vitalization - Marubeni

Strategy Overseas by Operations Business Segmentlance
Europe
During the year ended March 31, 2005, the 12 euro zone countries recorded an average GDP
growth of more than 2% while the 10 new EU members, excluding Malta, had a growth rate of
more than 4%. Even more significant are the high growth rates of more than 7% in Romania
and Turkey, two of the four nations that hope to join the EU. In general, higher growth rates
are seen in countries able to supply low-cost labor, which attract large inflows of capital and
capital goods. Successful trading company activities thus depend on the ability to acquire local
information from these rapidly growing countries and regions.
Marubeni Europe plc is focusing on two strategies in line with
the “V” PLAN. One of them is to place our priorities on Poland,
the Czech Republic, Hungary and Romania, which are becoming
manufacturing bases for Western European nations. The
other is to increase business volume in Turkey, the CIS region,
the Arab Maghreb Union (Algeria, Morocco and Tunisia) and
other countries near the borders of Europe. In the Czech Republic
and Hungary, Marubeni Europe provides a full line of
services for Japanese auto parts manufacturers, including the
installation of production equipment and supply of materials. In
Romania and Turkey, we are meeting the needs of local customers
for medical equipment by packaging sales with credit
extended by European and U.S. export credit organizations.
Regarding market sectors, Marubeni Europe’s strategy is to
build strong positions in niche products and services. One
tactic is to increase sales in Europe of value-added synthetic
resin products targeting specialized needs. Marubeni Europe is
also acquiring rights to handle textile products with prestigious
British brand names. To market these products, we draw on a
complete line of functions that make use of Marubeni’s extensive
sales channels and business relationships. For example,
we made an investment in Mackintosh, a well-known British
line of coats. We are using a variety of expertise to execute a
global strategy for Mackintosh in conjunction with GLOBE-
TROTTER, a travel bag brand.
In the fiscal year ending March 31, 2006 as well, Marubeni
Europe is committed to the effective execution of the regional
and merchandise strategies outlined above.
GLOBE-TROTTER storefront and interior. The Futaba factory in the Czech Republic.