LXXXI Asamblea Nacional “La Globalización: Retos y oportunidades”

1. LXXXI Asamblea Nacional“La Globalización: Retos y oportunidades” Michael S. Inoue, Ph.D. Presidente, Sociedad Japonesa de San Diego y Tijuana (JSSDT) Senior Advisor, Kyocera International, Inc. (KII) A Former Professor, Oregon State University MéxicoJapónE. U. A.

2. Objetivo #1 • Identificar las oportunidades, los retos y las amenazas que la globalización plantea en particular a los empresarios(Kyocera Mexicana, SA de CV) y en general para el desarrollo de México(y Japón).

3. Objetivo #2 • Urgir a los responsables de las decisiones nacionales, a los políticos y en general a los mexicanos (japonés) a que unamos esfuerzos en pro de la competitividad como una fórmula indispensable para afrontar los retos y amenazas que plantea la globalización.

4. Objetivo #3 • Proponer a la sociedad puntos de consenso indispensable enMéxico (Japón y Kyocera) para hacer posible el incremento de la competitividad y en consecuencia abatir la pobreza en un mundo crecientemente globalizado.

5. Objetivo #4 • Llamar a los empresarios mexicanos(Kyocera) para que se unan a los que ya están en Coparmex(e.g. JETRO) en la búsqueda de la economía competitiva y socialmente responsable que necesita el país (Japón) frente a la globalización.

6. ¿Qué es precisamente la globalización? (Case of Japan)

7. ¿Qué es precisamentelaglobalización?

8. ¿Qué es precisamente la globalización? (Case of Kyocera)

9. Introducing Kyocera Corporation (1) • Founded : April 1959 • Headquarters : Kyoto, Japan • FY00 Sales : 1.285 Trillion Yen (about $10.2 Billion) • General Facts : >80% of sales derived from telecom, information processing and Internet-related businesses • Leading Products :Telecom & information equipment (wireless phones, copiers, printers, faxes); advanced ceramics; electronic components; semiconductor packages; solar power systems; cameras

10. Introducing Kyocera Corporation (2) • Workforce:Approximately 42,000 worldwide • Research and Development Centers: • Central Research Center, Kagoshima • Yokohama Research Center, Yokohama • Keihanna Research Center, Kyoto • Kyocera Mita R&D Center, Osaka • Advanced Ceramics Technology Center, Vancouver, WA, U.S.A. • Advanced Products Technical Center, Myrtle Beach, SC, U.S.A. • Israel Research Center, Jerusalem, Israel • Manufacturing Plants: 61 • Japan: 18 • ROW: 43 • Named by IndustryWeek among “The World’s 100 Best-Managed Companies”

11. Strategic Market Directions

12. Fine Ceramic Group Share of Kyocera Group’s FY01 Net Sales: 28.3% FY01 sales: ¥363 billion ($2.881 billion) up 34.0% • Fine Ceramic Parts • Semiconductor Parts • Consumer-related Products

13. Electronic Device Group Share of Kyocera Group’s FY01 Net Sales: 30.6% • FY01 sales: ¥393 billion • ($3.116 billion) • up 46.6% • Electronic Components

14. Equipment Group Share of Kyocera Group’s FY01 Net Sales: 36.3% • FY01 sales: ¥467 billion • ($3.709 billion) • up 117.3% • Telecommunications Equipment • Information Equipment • Optical Instruments

15. Business Segment Information Semi 34.0% Fine Cer Consumer 30.6% 36.3% Telcom Info Optical

16. Global Manufacturing • THE AMERICAS 20 Manufacturing Plants • San Diego, CA CDMA wireless phones • San Diego, CA Semiconductor packages • Beaverton, OR Semiconductor packages • Mountain Home, NC Structural ceramic parts • Vancouver, WA Structural ceramic parts • Scottsdale, AZ Solar energy products • Irvine, CA Carbide Cutting Tools • Biddeford, ME (AVX) Electronic components • Colorado Springs, CO (AVX) Electronic components • Conway, SC (AVX) Electronic components • Myrtle Beach, SC (AVX) Electronic components • Raleigh, NC (AVX) Electronic components • Olean, NY (AVX) Electronic components • Sun Valley, CA (AVX) Electronic components • Tijuana, Mexico Semiconductor packages • Chihuahua, Mexico (AVX) Electronic components • Juarez, Mexico (AVX) Electronic components • San Salvador, El Salvador (AVX) Electronic components • Sao Paulo, Brazil Optical instruments • Manaus, Brazil (AVX) Electronic Components • Provincia de Buenos Aires, Argentina Solar energy products

17. Global Manufacturing • JAPAN 18 Manufacturing Plants • Hokkaido Kitami Optical ceramics, telecom equipment, • electronic components • Fukushima Tanagura Telecom equipment • Chiba Sakura Solar systems • Nagano Okaya Optical instruments, electronic components • Tokyo Ohme Optical lenses • Mie Ise Solar power systems • Mie Tamaki Laser printers • Shiga Semiconductor packages, electronic components, • structural ceramic components, solar products • Kagoshima Sendai Semiconductor packages, electronic components, • structural ceramic parts • Kagoshima Kokubu Semiconductor packages, electronic components, • structural ceramic parts • Kagoshima Hayato Electronic components • Kyocera Elco Corp. Electronic connectors • Kyocera Optec Co. Ltd. Optical instruments • Kyocera Mita (5 plants) Copiers and facsimile equipment

18. Global Manufacturing • EUROPE / MIDDLE EAST 12 Manufacturing Plants • Paignton, England (AVX) Electronic components • Newmarket, England (AVX) Electronic components • Biggleswade, England (AVX) Electronic components • Coleraine, N. Ireland (AVX) Electronic components • Larne, N. Ireland (AVX) Electronic components • Betzdorf, Germany (AVX) Electronic components • Seurre, France (AVX) Electronic components • Beaune, France (AVX) Electronic components • Saint Appolinaire, France (AVX) Electronic components • Lanskroun, Czech Rep. (AVX) Electronic components • Uherske Hradiste, Czech Rep. (AVX) Electronic components • Jerusalem, Israel (AVX) Electronic components

19. COMPANY DDI Corporation Cellular Telephone Companies DDI Pocket Telephone Companies Taito Corporation Kyocera Multimedia Corporation Kyocera Leasing Co., Ltd. Kyocera Communication Systems Co., Ltd. Kinseki, Ltd. Kyocera Elco Corporation Kyocera Wireless Corp. S.K. Teletech Co., Ltd. Kyocera Mita Corp. AVX Corporation PRODUCT / SERVICE Telecommunications common carrier Mobile and portable telephone services PHS communication services Amusement and leisure Multimedia services Leasing services Telecom & information systems services Electronic Components Electronics Connectors CDMA wireless phones CDMA wireless phones Copiers, faxes Electronic components Major Operating Subsidiaries and Affiliates

20. Triángulo de Braham H. Maslow (1908-1970)sobre las necessidades humanas(Inoue, Murray y Blanco, p.28) Crea- tividad Auto Estima Pertenencia Segridad Necesidades Fisiológicas

21. National Development Arts, sciences Sovereignty Autonomy Education, social development Security (Laws and Order) Food, Clothing, Shelter, Energy

22. Maslow’s Triangle for a Global Corporation Co. Morality Mission Co. Structure Inspired Leadership Dedicated Workforce Safety, security, compensations

23. Maslow’s Triangle for Kyocera “Respect the Divine Co. And Love People” Motto Philosophy Kyocera Philosophy Amoebas Co. Structure Inspired Leadership “Formula for Dedicated Workforce Success” Safety, security, profit, compensations

24. Maslow’s Triangle for a Corporate Location Tech- nology Logistics Infrastructure Quality labor cost Prospect for profitability, Safety, security, water, food, housing

25. Kyocera Formula for Success The Result of our work Or of our life = Ability (0~100%) x Effort (0~100%) X Attitude (-100%~100%)

26. Kyocera PhilosophyP.A.S.S.I.O.N.Dr. Kazuo Inamori, Founder Kyocera & KDDI • Purpose/Profit • Ambition • Sincerity • Strength • Innovation • Optimism • Never Give Up

27. Global Prosperity and HappinessMexico, Japan and EUA can lead the world

28. Kyocera Corporation Consolidated BUSINESS OVERVIEW For the year ended March 31, 2001

29. Presentation Outline 1. Introducing Kyocera Corporation 2. Strategic Market Directions 3. Business Segment Information 4. Global Manufacturing 5. Organization 6. The “Inamori Group” 7. North American Operations 8. Fiscal 2000 Sales by Product Line 9. Major Operating Subsidiaries & Affiliates

30. Kyocera Strategy Products for Telecommunication Environment Quality of Life