Review of Operations by Region Other Regions Driving ahead in Oceania and building up markets in South America, the Middle East and Africa. Makita is active in Central and South America, the its business in the region in response to rising con- Middle East, Africa and Oceania, and its presence in struction demand fueled by the recent years’ sharp these regions is steadily expanding. increase in oil prices. In Central and South America, since establishing a In Oceania, Makita operates sales subsidiaries in production and sales subsidiary in Brazil in 1981, the Australia and New Zealand. Makita (Australia) Pty. Company has established local subsidiaries in Mexico, Ltd. (MAU), established in 1973, engages in sales and Argentina and Chile. In Florida in the U.S., the Group service activities closely attuned to customer require- operates Makita Latin America Inc. as a sales subsid- ments from its Sydney head office and two sales of- iary with responsibility for Central America and the fices. MAU introduced lithium-ion battery products Caribbean basin. in Australia in the autumn of 2006, and is steadily In recent years, the Central and South American increasing sales of these products. subsidiaries, notably in Brazil, have continued to show In fiscal 2007, sales across these three regions in- double-digit sales growth each year. To respond to creased satisfactorily, with an overall rise of 18.0% year this sales expansion and further strengthen the sales on year to ¥38,112 million, accounting for 13.6% of network, the Company established Makita Peru S.A., the Group’s consolidated net sales. Central and South a new subsidiary in Peru that began operation in May 2007. The establishment of this subsidiary brings the number of local subsidiaries in Central and South America to six, and Makita will take full advantage of this network to further bolster its sales and after-sales service structure in the region. In the Middle East and Africa, Makita operates Makita Gulf FZE, a sales subsidiary in Dubai, United Arab Emirates, as a base for supplying products to the Middle East and Africa. Makita is actively developing GA5020 125mm 5” Angle Grinder High power and high durability combined in a lightweight, dust-proof and slim body with ergonomic trigger-switch grip. 14 Makita Corporation Share of Net Sales Share of Production Volume Share of Assets (before elimination) Share of Employees (% / FY 2007) (% / FY 2007) (% / FY 2007) (% / FY 2007) 436 thousand units ¥26,535 million 586 ¥38,112 million 13.6 2.5 5.5 6.5 Consolidated total: ¥279,933 million Consolidated total: 17,528 thousand units Consolidated total: ¥484,118 million Consolidated total: 9,062 America saw a sales increase of 20.6% year on year in these regions by accurately ascertaining economic to ¥12,704 million, sales in the Middle East and Africa trends and customer needs, engaging in flexible business rose by 19.6% to ¥13,064 million, and sales in Oceania operations involving the introduction of products that increased by 13.7% to ¥12,344 million. deliver high customer satisfaction, and increasing the ef- Business expansion and growth are expected to ficiency of its sales and service networks. continue in Central and South America, the Middle East and Africa, though not in the already mature markets of Oceania. Makita aims to establish a solid business base e v i s n o in s k r two e N s e Sal xh fle g wit in t a r e orks. s, op need vice netw mer r o e t s s u s and nd c nds a of its sale ic tre y c m n o ie n effic g eco g the ainin scert easin r a c ly in te d ccura action an by a f ions satis g r e e r m usto these igh c se in ver h d ba li li e o d s ga that lishin ucts estab e of prod is a c it du Mak intro y to ibilit sp e R g n i p s o t l e e k v r De rse Ma Dive BFR750 18V Cordless Auto Feed Screwdriver High-torque cordless power with features to ensure durability and reliable screw driving, including aluminum casing attachment and built-in screw guide. Appearance of new product symposium held for sales agents in Santiago, Chile, August 2006 Guadalajara Trade Fair in Mexico, September 2006. Annual Report 2007 15
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