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Mid-Term and Long-Term Corporate Strategy

Through our core operations-the manufacture and sale of golf and tennis equipment-Dunlop Sports Group is working to support a wide range of athletes, from top pros to everyday amateurs, with a focus on golf clubs, golf balls, tennis rackets and tennis balls, the areas in which our technical expertise is especially strong.

This technological know-how is founded on digital simulation technologies using supercomputers, which are incorporated into product development with increasing scope and precision, in a concerted effort to develop appealing, high-performance products that stand head and shoulders above the competition.

With our three golf equipment brands, XXIO, Srixon, and Cleveland Golf, we are strategically developing our global presence. In the area of tennis equipment, our operations focus on promoting increased penetration of the Srixon brand in the Japanese market, along with the Dunlop brand that gave the company its start. We are also pressing forward with development of Babolat, a French brand for which we own the rights in Japan.

In the domestic market, we will continue to leverage our high brand value in all our marketing activities, while at the same time increasing and consolidating our position as a leader in golf and tennis equipment with robust sales strength. Also, through our support for golf tournaments as well as golf and tennis schools, we will work to enrich our customers' sporting lifestyles by providing a variety of leisure opportunities.

In global markets, and especially the United States, the world's largest market for our products, we will seek to increase brand value while at the same time strengthening our sales network, with the goal of increasing our share of the golf club and golf ball markets in each region. In the US market in particular, we will leverage the high market share enjoyed by Cleveland Golf wedges to promote increased sales of woods and irons. We will also work to increase US market penetration of Srixon golf balls, which have already achieved a favorable market share in the UK and Europe.

Through these efforts, we will work vigorously to achieve our mid- to long-term objective of 100 billion yen in sales and an overseas sales ratio of 50%, while securing our status as a corporate group that is trusted around the globe.

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