Last Wednesday, I got a wake-up call the likes of which I never expected…and it has changed my life. Oh yeah, not hyperbole. It started with a simple walk and ended with what I think demonstrates an important lesson in life…and an important lesson in business.
Management
In Wake of Fiscal Year Loss, Pioneer Seeks Business Alliances…and Capital
Pioneer Corp. is seeking to form a business and capital alliance with Japan’s NTT DoCoMo Inc. according to a story today in The Japan Times. The company will also try to enhance its ties with Mitsubishi Electric Corp. “in a bid to survive” in its main car electronics business with a stronger financial footing.
The announcement was made the same day that the company announced their Fiscal 2013 results in which sales came in at ¥451.8 billion ($4.4 billion), up 3.5% over ¥436.8 billion. But more importantly, the company announced a big loss of ¥19.6 billion ($191.6 million)…much worse than the profit of ¥3.7 billion last year.
See more on why Pioneer needs these new alliances… [Read more…] about In Wake of Fiscal Year Loss, Pioneer Seeks Business Alliances…and Capital
Huge Loss & Management Dismissals Induce Sharp Pain at Sharp Corp.
Sharp Corp. announced this week the worst net loss in its long corporate history for the fiscal year that ended March 31, 2013. Booking a net loss of ¥545.35 billion ($5.4 billion), the company has aggressively moved to shake up the company management replacing both the President and Chairman in a rare (for a Japanese company) public rebuke of company leaders. And in what may be a signal to the market, the new President has no ties to the company’s TV business…and he’s talking tough.
See more on this worse-than-expected result… [Read more…] about Huge Loss & Management Dismissals Induce Sharp Pain at Sharp Corp.
Nortek Reports Uneven Q1 Results, But TECH Actually Contributes This Time
Nortek, Inc. reported their financial results from the first quarter of fiscal 2013 late last week. The results were mixed as the company deals with a struggling economy and a difficult internal restructuring that is impacting costs now, with any resulting benefits to be realized still down the road. But for the first time in several quarters, the company’s Technology Solutions Segment (TECH) actually offered a positive contribution with growth in both sales and profits offsetting losses in other divisions. But TECH’s success was largely due to a recent acquisition in the security business.
See more on Nortek’s results… [Read more…] about Nortek Reports Uneven Q1 Results, But TECH Actually Contributes This Time
Banks Throw Sharp a $1.5 Billion Lifeline
Two key banks in Japan announced yesterday that they will extend Sharp Corp. an additional line of credit of ¥150 billion ($1.5 billion) over and above all of their other financing. Mizuho Corporate Bank and Bank of Tokyo-Mitsubishi UFJ originally had considered a ¥100 billion line, but ultimately decided to up the ante with each bank kicking in ¥75 billion – a real lifeline to the struggling electronics manufacturer.
See more on this surprise announcement out of Japan… [Read more…] about Banks Throw Sharp a $1.5 Billion Lifeline
Kathy Gornik: Why I Sold Thiel…
*Strata-gee.com EXCLUSIVE*
Much has been written on the changes at Lexington, KY-based Thiel Audio Products Company (Thiel) in the wake of its purchase by a group of Tennessee investors that we first reported last November. Shortly after their acquisition, strata-gee.com was invited to speak with Bill Thomas – one of those Tennessee investors and now the new CEO of Thiel Audio. And a couple of months after that, we had the opportunity to speak with new Thiel interim COO and Board member Bob Brown.
But many Thiel-related reps and dealers kept asking us about co-founder and former President Kathy Gornik. Some of this curiosity was related to rumors that Gornik had been forcibly removed from the respected high-end loudspeaker company that she helped found. And some of the interest centered around an unanswered question, not covered by any of the press (including Strata-gee.com) as to why Gornik decided to sell the company.
Now, Gornik has granted Strata-gee.com an exclusive interview…to tell her side of the story… [Read more…] about Kathy Gornik: Why I Sold Thiel…
JVC Kenwood Financial Results Miss the Mark…Again
At the end of last week, JVC Kenwood Corporation released a summary of results for their fiscal year ending March 31, 2013. On the eve of this announcement, the company recast their forecasts for the year to reflect their actual results. In both cases, the news was not good as the company’s results failed to meet both their original…and revised forecasts.
See more on JVC Kenwood’s results…including our analysis of their overall trends… [Read more…] about JVC Kenwood Financial Results Miss the Mark…Again
Layoffs Hit Panasonic Lithium Ion Battery Plant
Panasonic Corp. has laid off 20% of their workforce – or 600 employees – in its lithium ion battery operations, according to a report by the Nikkei yesterday in Osaka, Japan. The move was made in an attempt to help turn the division profitable. The company has also decided to restructure their manufacturing processes as the layoffs alone won’t likely be enough to achieve profitability.
See more on this dramatic restructuring from the struggling Japanese giant… [Read more…] about Layoffs Hit Panasonic Lithium Ion Battery Plant
Core Brands to Significantly Downsize Their Sales Rep Network
BREAKING NEWS *EXCLUSIVE*
Just three weeks ago, we had the opportunity to speak with Core Brands Senior Vice President of Marketing Paul Starkey, who confirmed information we had received from multiple sources about an impending announcement of significant changes in the way the company planned to go to market. Starkey confirmed much of the information we had uncovered, especially changes to systems and processes.
But regarding one major initiative we asked Starkey about – that of an extensive restructuring of its sales representative network – he was not able to confirm…at that time.
But that changed last Friday when the company told reps of a major sales force restructuring… [Read more…] about Core Brands to Significantly Downsize Their Sales Rep Network
5 Reasons Why You Should Love the Competition
Amanda Dai loves competition. In an excellent blog post on Huffington Post, she talks about competition in a way that sets her apart from a large number of people, including many of my tech industry colleagues. For many of us, competition is the enemy…and we are at war. For others, the competition is someone to be (too) closely watched…so much so that they dictate our actions. “Price Shack has the Mega 456 on sale?!? Drop our price immediately!”
