2. Logitech Confidential
Presented By:
ID Name Program
11104012 Md. Mominul Islam MBA
12104012 Rajib Bosak MBA
12104017 Dilip Chandra Ghosh MBA
12104025 Md. Kuddus MBA
12104016 Md. Abdul Al Mamun MBA
11104032 Md. Arifuzzaman Miah MBA
3. Logitech Confidential
Logitech
• “Logitech is a world leader in global provider of personal computer
accessories headquartered in Romanel-sur-Morges, Switzerland. The
company develops and markets products like peripheral devices for PCs,
including keyboards, mice, microphones, game controllers and webcams.
Logitech also makes home and computer speakers, headphones, wireless
audio devices, as well as audio devices for MP3 players and mobile
phones.”
• Logitech purpose is to provide user-friendly interfaces with agility and low
cost.
Founded Switzerland (October 2, 1981)
• Daniel Borel
Founders • Pierluigi Zappacosta
• Giacomo Marini
4. Logitech Confidential
Romanel-sur-Morges
Headquarters:
Switzerland.
Area served : Worldwide
Website : www.logitech.com
Industry : Computer peripherals
• Guerrino De Luca (Chairman and acting CEO)
Key people • Erik Bardman (SVP, Finance and CFO)
Logo :
5. Logitech Confidential
CURRENT SITUATION
Current performance:
• 1981 – Established in Switzerland by Daniel Borel & Pierluigi
Zappacosta & Giacomo Marini.
• 1982 – introduces its first computer mouse, the P4
• 1984 – introduces the C7, which sells for under $100 and does
not require a separate power supply.
• 1989 –introduces the Series 9 mouse.
• 1997 –first USB mouse
• 2000 –Optical sensor to track movement mouse.
• 2003 – exceeds $1b in annual revenue; ships its 500m mouse
• 2005 – opens new facility in Suzhou, China
• 2006 – 130 new products; 143m products shipped worldwide
6. Logitech Confidential
LOGITECH TODAY
• Global operations
– California – marketing, finance, and logistics (some R&D)
– Switzerland – research and development (programming)
– Ireland – design, mechanical engineering, sales support
– Netherlands – European distribution
– Taiwan – worldwide operations
– Suzhou, China – manufacturing
• Performance
– more than 11000 employees
– distribution in more than 100 countries
– projected sales, $2.4 billion (11% OEM; 89% retail)
7. Logitech Confidential
FINANCIAL INFORMATION
Mar Mar 2010 Mar 2011 Mar 2012
2009
Revenues 2.209B 1.967B 2.363B 2.316B
Gross Profit 691.23M 626.89M 836.50M 776.59M
Net Income 107.03M 64.95M 128.46M 71.45M
Assets 1.422B 1.600B 1.862B 1.856B
Current Liabilities 289.29M 440.29M 470.72M 487.79M
Shareholder's 997.70M
999.71M 1.205B 1.150B
Equity
Net change in Cash 10.4 -172.8 158.0 0.4
8. Logitech Confidential
LOGITECH PRODUCTS
o Keyboards
o Webcams
o Speakers
o headphones
o Gaming devices
o Network music systems
o Video-security solutions
o Remote controls
o Digital Writing
9. Logitech Confidential
LOGITECH PRODUCTS
1982 1984 1989
2012
Ii’s products are now distributed worldwide, in over 100 countries.
10. Logitech Confidential
TOP MANAGEMENT
Guerrino De Luca
Chairman of Logitech's board of directors
Acting President & Chief Executive Officer
Erik Bardman Junien Labrousse Werner Heid
Sr. Vice President Executive Vice President Sr. Vice President
Chief Financial Officer Products Sales & Marketing
Finance
11. Logitech Confidential
Vision Statement
The interface that links people and information will
transform the way they work, learn, communicate & play
Mission Statement
Logitech brings to market tools that enrich the interface
between people and information
12. Logitech Confidential
EXTERNAL ENVIRONMENT GENERAL
The company is facing a tremendous competition of its operating business. The
products of Logitech are highly competitive overall world. The main competitive
factors for the company are given below:
Frequent introduction of new products.
Rapid technological advances.
Competitors frequently cut prices of their products.
Product quality and reliability.
Availability of products
Marketing and distribution capability.
Service and support.
Above are the main threats for the company. So if company want to survive in
competition ,must have to concentrate above factors.
13. Logitech Confidential
STRENGTHS OF THE COMPANY ARE WORLDWIDE REPUTATION,
QUALITATIVE PRODUCTS, ADEQUATE RESOURCE, EXPERIENCED
EMPLOYEE, EXCELLENT MARKETING STRATEGY, AVAILABILITY OF
PRODUCTS, WORLDWIDE MARKETING.
THE COMPANY OPERATES ITS BUSINESS ON A GEOGRAPHIC BASIS.
THE COMPANY REPORTABLE OPERATING SEGMENTS CONSISTED OF
THE AMERICAS, CHAINA AND ASIA PACIFIC. THE RETAIL SEGMENT
OPERATED LOGITECH- OWNED RETAIL STORES IN THE CHAINA AND IN
INTERNATIONAL MARKETS.
Industry environment
The local companies of China are trying to emulate with multinational
companies. The models of Chinese companies are vary from one to another.
But generally offers qualitative products at a chipper price. Firstly Chinese
companies try to take idea about concern industry and try to become second
position in their home market rather than third or fourth position. It is true that
they are not economically viable but day by day progressing.
14. Logitech Confidential
INTERNAL ENVIRONMENT
Corporate Structure
Matrix structure of management.
Corporate Culture
Global mindset.
Efficiency.
Transparency and visibility
Strong project management practices.
15. Logitech Confidential
MARKETING
Logitech operates their business over the California,Switzerland,China and
many other countries.Logitech `s products distribution in more than 100
countries.Logitech has sales apporach are retail sales,direct and indirect
distribution channels and business with others company.
Marketing mix
Product: Innovative products internationally.
Price: Buying power of international market.
Promotion: Logitech should continue promotion of its products on the
ground of innovation, style and technical elegance, internationally.
Place: Eastern Europe, Middle East, and North Africa regions, Americas
and in Asia Pacific in Asian
16. Logitech Confidential
FINANCE
In 2008-2009 hit hard on Logitech`s business.
Sales figures were decrease $2.00 bill. From 2.2 bill in 2010
to 2009.
Operating income was also decrease $78 mill from $110 mill
the previous year.
Net income was decrease $65 mill from $107 mill in the
previous year.
Gross margin was increase 31.9% to 31.3% in previous year.
18. Logitech Confidential
IDENTIFICATION OF STRATEGIC ISSUES
Logitech implemented a strategy of innovation
To enhance products with the technologic.
To create the most advanced software.
Most innovative and collaborative experience for customer.
To enhance future portfolios.
Expend the depth of the peripheral product line
Quick cam PC of connecting corporation.
Develop close partnerships with specific platforms.[Phone and
Blackberry].
Produce apps [applications for each platform. And
Produce ` platform neutral’ apps by using he mobile web.
19. Logitech Confidential
Recommendations
To seek long term profitable growth.
Offering the highest quality products.
Promote more electronic or digital peripherals.
Promote environmental friendlier products.
The passion and dedication of employees.
Setup and distribute domestically in China and India.
Focused strategies on reducing dependencies on suppliers
including retail sales channel.
Maintain current strategy.
Brand Establishment.
Mouse Advancements.
Notes: Mattox Heads up strategy - he will be behind looking into some of the more market entry strategies Has significant experience within the company, so he knows what they are capable of and what will integrate the best with Dell's strengths Has a broader perspective than simply on current operations Cannon Will be a signficant player in the expansion into growth markets abroad Has experience with global hardware manufacturing and marketing Will also be able to give insight into better operating procedures and cost cutting initiatives Garriques New addition to the management team Comes over from Motorola where he successfully spearheaded an image makeover (Razr, etc) Will hopefully be able to complete similar makeover of the tired Dell brand