Makita Corporation - Introduction

Introduction

3-11-8, Sumiyoshi-cho
Anjo, Aichi 446-8502
Japan
Telephone: (0566) 98-1711
Fax: (0566) 98-6021
Web site: http://www.makita.co.jp

Public Company
Incorporated: 1938 as Makita Electric Works, Ltd.
Employees: 8,344
Sales: ¥175.60 billion ($1.49 billion) (2003)
Stock Exchanges: Tokyo Nagoya Amsterdam NASDAQ
NAIC: 333991 Power-Driven Handtool Manufacturing; 333210 Sawmill and Woodworking Machinery Manufacturing; 333112 Lawn and Garden Tractor and Home Lawn and Garden Equipment Manufacturing; 333319 Other Commercial and Service Industry Machinery Manufacturing; 335212 Household Vacuum Cleaner Manufacturing; 335312 Motor and Generator Manufacturing; 811411 Home and Garden Equipment Repair and Maintenance

Makita Corporation is Japan's number one manufacturer and exporter of electric power tools. The company develops, manufactures, and distributes tools—more than 350 different products in all—in four areas. Makita's portable general purpose tools group, which accounted for more than 52 percent of 2003 revenues, encompasses drills, jackhammers, grinders, sanders, screwdrivers, and other construction equipment. The portable woodworking tools group includes saws, planers, routers, nailers, and other carpentry tools. It generated about 19 percent of sales in 2003. Stationary woodworking machines, including table saws, planer-joiners, and band saws, contributed just over 1 percent of sales. Though the company has traditionally targeted the professional user, Makita's distinctive turquoise tools increasingly appeal to the do-it-yourself market. Consumer tools include heavy-duty and household vacuums, chain saws, brush cutters, hedge trimmers, and blowers. These, along with industrial-use dust collectors and generators, made up around 11 percent of annual revenues. Makita's parts and repair services were another important business area, contributing more than 16 percent of revenues in 2003.

Having launched multinational operations in 1970, Makita boasted more than 100 sales offices and 39 overseas subsidiaries in the early 2000s, selling its products in more than 100 countries around the world. Although North America was its oldest market and generated 26 percent of sales in 2003, Makita's largest foreign market was Europe, constituting just under 33 percent of sales. Approximately 22 percent of revenues originated within Japan itself, while Southeast Asia contributed almost 8 percent. Aiming to make its products as close to its customers as possible, Makita manufactures its power tools and other products at plants in Japan, Brazil, Canada, China, Germany, the United Kingdom, and the United States.