Management Strategy
Sumitomo Corporation ("the Company") is a leading general trading company, boasting 150 locations in 70 countries throughout the world. The entire Sumitomo Corporation Group ("the Group") consists of nearly 900 companies and more than 60,000 personnel. Our Corporate Mission is to "achieve Prosperity and realize Dreams" of our stakeholders through sound business activities". To that end, we are continually striving to grow our business, utilizing our global network spanning numerous business sectors.
The Company continues to build and expand our business foundation across a variety of sectors, in ways only available to a general trading company of our status.
As one example, the Company is building a unique media business providing both infrastructure and content, spanning the cable television, multi-channel programming distribution, and movie-related businesses.
The Company is the number one firm providing television shopping programming, having secured a 35% share of a market undergoing dramatic growth.
The Company's overseas industrial complex business (the overseas market penetration of Japanese companies has continued to accelerate since the late 1980s) is involved in the development and sales of industrial complexes in Vietnam, the Philippines and Indonesia, supporting the further penetration of the manufacturing industry in Asia and assisting in building industrial infrastructure throughout Asia in local communities. In total, more than 240 companies have taken up residence in three industrial locations, creating 95,000 new jobs.
Not limiting ourselves to the development and sales of industrial complexes, the Company also provides support services for factory construction, various licensing and registration procedures, and employment services for foreign companies expanding into local markets. We also provide logistics support, helping companies import and export components/ products after factory operations begin in earnest. As a corporate citizen, we are also aware of our social responsibilities, contributing to local communities by building infrastructure in the local markets, as well as providing scholarships to local elementary and junior high school students and donating equipment to local institutions of education.
With respect to the environment, we are actively pursuing businesses in wind energy, solar energy, geothermal energy, biomass energy and other clean, renewable, environmentally friendly energy sources.
We have also focused efforts in businesses that reduce greenhouse gases in developing countries, based on the Kyoto Protocol. We are actively pursuing businesses leading to true reductions in greenhouse gases, taking advantage of funding and technology available in Japan. This includes the first-ever project in Japan registered with the United Nations for reducing hydrofluorocarbon emissions in India.
Our Integrated Corporate Strength is the source of our competitive advantage (core competence) as we pursue our businesses. Our strategic and organic integration of the robust "business foundation" and diverse, high-level "functions" of Group companies, combined with the efforts of each and every Group employee, helps us respond to the various needs of our customers. At the same time, we create new value in anticipation of global change. This capacity is what we call our "Integrated Corporate Strength."
As a general trading firm, our fundamental model is to grow the breadth of our businesses. With a history spanning more than 400 years, the Sumitomo Corporation Group has built a tremendously strong business foundation, which all our employees work together to continue to expand and strengthen.
| Integrity | Based on the Sumitomo Business Spirit, we have cultivated the integrity of our customers over the years. This is the most fundamental and valued asset of our business. |
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| Global network | With approx. 150 offices and 900 subsidiaries and associated companies worldwide, our business network provides a basic platform for the prompt and secure transfer of goods, funds, and information. |
| Global relations | Our company has established close and multifaceted relations created with over 100,000 business partners around the world across all industries. |
| Intellectual capital | The wealth of know-how, experience, and information accumulated by our skilled personnel in diverse fields is also an important element of our solid business foundation. |
Superior services and capabilities, offered to meet the needs of our customers and business partners across a wide range of applications. As globalization accelerates, we continue to upgrade our current functions, while working to create functional revolution embodied in new value. The following are examples of such activities.
| Business development | We excel in business creation, which involves identifying promising new products, developing new markets, and organizing appropriate business operations. |
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| Market intelligence & information gathering and analysis | The ability to collect various information on every industry and market worldwide through a wide range of business activities and to correctly analyze that information based on the company’s experience and know-how accumulated over decades of operation. |
| Logistics solutions | The ability to arrange many different kinds of distribution systems, to offer combined multimodal transportation services, and to build and operate optimal logistics flow systems. |
| IT solutions | This involves the ability to build Supply Chain Management (SCM) systems and to support network businesses. |
| Financial services | This includes fee collection/payment, provision of capital, project financing and advanced financing services such as securitization of assets. |
| Risk management | Only an integrated trading company with decades of business experience can expertly manage diverse risks associated with credit standing, markets, and enterprise operations. |
Bringing our Integrated Corporate Strength to bear and actively building businesses that truly contribute to the growth and progress of a wide range of industries in different regions, Sumitomo Corporation will continue to make even greater contributions to the stable and continued growth of the world economy and global society.
