An integrated manufacturing, logistics and retail model and lifestyle solutions

「As a business foundation supporting the realization of our long-term vision, we will further develop the “manufacturing-logistics-retail” business model, in which we control the entire supply chain cultivated since our founding through our own network, into a “manufacturing-logistics-IT-retail” business model by using digital technology, whose importance has increased in recent years.」

「In addition, we have improved our gross margin by reducing transportation costs through smaller product packaging and other measures that make greater use of our strength as a company spanning manufacturing, logistics, IT and retail from production through sales.」

「In addition to continuing energy-saving measures to reduce unnecessary electricity consumption at stores and logistics centres, the solar power facility “Nitori Power Plant,” which uses Japan's first surplus-electricity utilisation scheme as a renewable energy initiative, has entered full-scale operation.」

「We have also begun initiatives in which employees actually use products so that opinions from the customer's perspective can be reflected in the development of better products. As a priority measure for the Group, we will continue expanding the development of private-label products, branded “More than you expect for the price,” that are closely connected to customers' everyday lives, strengthening product capabilities and contributing to comfortable living for customers in local communities.」

「In addition to furniture and interior products, we have begun expanding into new categories and services related to daily life, seeking to broaden and integrate our business areas and evolve into a “comprehensive lifestyle solutions company” encompassing home-improvement stores and apparel.」

「During the nine-month period ended 30 November, the Group as a whole focused on various initiatives to realise synergies at an early stage, including developing private-label products in the home-improvement merchandise business, reducing expenses through the integration of purchasing functions, and opening Nitori Homes Miyahara, the first integrated store combining Nitori and 島忠.」

「In the previous consolidated fiscal year, we made 株式会社島忠 a consolidated subsidiary and have been expanding our business areas beyond furniture and interior products into home-improvement merchandise, while providing customers with comprehensive home-related services and developing businesses that address their diverse lifestyles.」

「In the previous consolidated fiscal year, we made 株式会社島忠 a consolidated subsidiary and have been expanding our business areas beyond furniture and interior products into home-improvement and general merchandise, while providing customers with comprehensive home-related services and developing businesses that address their diverse lifestyles.」

「We decided to conduct this tender offer because we believe that the business integration through the tender offer and the making of the target company a wholly owned subsidiary will enable the two companies to achieve synergies through close collaboration, expand our business areas beyond furniture and interior products into home-improvement and general merchandise, provide customers with comprehensive home-related services, and develop businesses that address their diverse lifestyles.」

「Against this management backdrop, the Group is working to establish a full-fledged global chain by evolving the strengths of its proprietary “manufacturing, logistics, IT and retail” business model and, in Japan, promoting coordinated product proposals and O2O (Online to Offline), while overseas expanding its e-commerce business and undertaking other initiatives tailored to the market characteristics and growth stage of each region, thereby providing products, stores and services that are even more responsive to customers' needs.」

「We will leverage the strengths of our proprietary “manufacturing, logistics and retail” business model to provide products, stores and services that are even more responsive to customers' needs.」

「Against this management backdrop, the Group is implementing organisational, structural and systems reforms to establish a full-fledged global chain, while leveraging the strengths of its proprietary “manufacturing, logistics and retail” business model to provide products, stores and services that are even more responsive to customers' needs.」

「While strengthening the sources of the Group's corporate value, including 1) its efficient and attractive product development capabilities as a “manufacturing, logistics and retail business,” 2) its proprietary logistics system for overseas manufacturing bases and the import and delivery of manufactured products, and 3) its total-coordination capabilities as a “lifestyle solutions company,” it is essential to implement the various measures under the medium- to long-term management plan in a timely and appropriate manner.」

「While strengthening the sources of the Group's corporate value, including 1) its efficient and attractive product development capabilities as a “manufacturing, logistics and retail business,” 2) its proprietary logistics system for overseas manufacturing bases and the import and delivery of manufactured products, and 3) its total-coordination capabilities as a “lifestyle solutions company,” it is essential to implement the various measures under the medium- to long-term management plan in a timely and appropriate manner.」

「While strengthening the sources of the Group's corporate value, including 1) its efficient and attractive product development capabilities as a “manufacturing, logistics and retail business,” 2) its proprietary logistics system for overseas manufacturing bases and the import and delivery of manufactured products, and 3) its total-coordination capabilities as a “lifestyle solutions company,” it is essential to implement the various measures under the medium- to long-term management plan in a timely and appropriate manner.」

「While strengthening the sources of the Group's corporate value, including 1) its efficient and attractive product development capabilities as a “manufacturing, logistics and retail business,” 2) its proprietary logistics system for overseas manufacturing bases and the import and delivery of manufactured products, and 3) its total-coordination capabilities as a “lifestyle solutions company,”」

「While strengthening the sources of the Group's corporate value, including 1) its efficient and attractive product development capabilities as a “manufacturing, logistics and retail business,” 2) its proprietary logistics system for overseas manufacturing bases and the import and delivery of manufactured products, and 3) its total-coordination capabilities as a “lifestyle solutions company,”」

「While strengthening the sources of the Group's corporate value, including 1) its efficient and attractive product development capabilities as a “manufacturing, logistics and retail business,” 2) its proprietary logistics system for overseas manufacturing bases and the import and delivery of manufactured products, and 3) its total-coordination capabilities as a “lifestyle solutions company,”」