In March 2007, Mazda drew up the Mazda Advancement Plan (FY2007-FY2010), a new mid-term plan based on its long-term vision, and we specified a global retail volume of more than 1.6 million units as one of our numerical targets. To achieve this goal, we need to spread our brand concept of developing vehicles that look inviting to drive, are fun to drive, and will keep people wanting to drive them again, throughout the world. In FY2006, Mazda's overseas sales ratio amounted to a sizable 73%. Coordination with the companies in Europe, the Americas, ASEAN and China is vital, but the dialogue with distributors and dealerships in these regions and countries is also extremely important.
For example, Mazda Motor Europe GmbH (MME) covers Europe, a single economic market with 27 member nations. Demand for new automobiles in this great economic bloc, including adjacent emerging markets such as Russia, Southeast Europe and the former Soviet Union members, is forecast to be 19 million units in 2007, which would overtake North America as the world's largest automobile market. In seeking customer satisfaction in a market with the diversity and complexity of 30 nations and 20 languages, we must be united as "One Mazda" with the distributors and dealerships in each country. Consequently, over the past few years we have redeveloped our sales system in each country with MME playing a key role.
Direct management of independent wholesalers in key countries is one example of this. In addition, we have newly established supply companies in new markets such as Eastern Europe and have opened National Sales Companies (NSCs) in 19 countries. A framework has been prepared that can fully implement MME's business strategy in each national market. The result of the gradual success of these reforms is that European sales have approximately doubled in six years. In particular, sales for calendar year 2006 exceeded 300,000 units for the first time in 15 years.
- European Sales Routes