Not really. With Pentax market share in DSLR's around 6% and profit margins down around 2% on digital cameras, it gets harder and harder to compete in the face of competitors who are continuing to gain market share and are realizing economies of scale and higher profit margins either by manufacturing their own components or by sheer buying power.
How long does one wait before deciding they can't go it alone? Evidently Pentax management thought something must be done, not just Sparx. Tom C. >From: "P. J. Alling" <[EMAIL PROTECTED]> >Reply-To: Pentax-Discuss Mail List <[email protected]> >To: Pentax-Discuss Mail List <[email protected]> >Subject: Re: Pentax Update - Shakeup in the Works (again) >Date: Tue, 24 Apr 2007 18:33:24 -0400 > > > > > Sparx had supported Urano's efforts to pursue a merger with Hoya amid >the > > belief that Pentax would not be able to survive on its own. >Does anyone else see a self fulfilling prophecy here? > >Tom C wrote: > > Excerpts... > > > > TOKYO (Nikkei)--Pentax Corp.'s top shareholder, Sparx Group Co., plans > > to back the appointment of directors to the camera manufacturer's > > board who would support Hoya Corp.'s tender offer plans > > > > This could bode ill for Pentax President Takashi Watanuki and others who > > voted down a proposed merger with Hoya and are said to be against a >business > > integration with the firm. Sparx aims to use its 23.98% stake in Pentax >to > > nudge the company toward accepting a business integration with Hoya. > > > > With all eight Pentax directors facing re-election at an upcoming >general > > shareholders meeting scheduled for June 22, Sparx plans to propose the > > reappointment of former President Fumio Urano and former Executive Vice > > President Katsuo Morio to the board. The pro-merger Urano and Morio >were > > relieved of their duties as executives earlier this month. > > > > ... > > > > Sparx apparently believes that its proposed appointments will go through > > if it can win the support of overseas shareholders who are highly >conscious > > of > > measures aimed at improving Pentax's enterprise value. > > > > Sparx had supported Urano's efforts to pursue a merger with Hoya amid >the > > belief that Pentax would not be able to survive on its own. > > > > ... > > > > Citing an internal rift at Pentax, Sparx will call for an overhaul of >the > > camera manufacturer's leadership to prevent an erosion in the company's > > share > > price and other enterprise values. > > > > > > Tom C. > > > > > > > > > > >-- >Entropy Seminar: The results of a five yeer studee ntu the sekend lw uf >thurmodynamiks aand itz inevibl fxt hon shewb rt nslpn raq liot. > > >-- >PDML Pentax-Discuss Mail List >[email protected] >http://pdml.net/mailman/listinfo/pdml_pdml.net -- PDML Pentax-Discuss Mail List [email protected] http://pdml.net/mailman/listinfo/pdml_pdml.net
