1. Jarmo Pehkonen

2.  Introduction - Problem to be solved
 Company
 Macro situation of Brazilian market
 Theoretical references
 Market analyse of Pema
 Conclusions

3. PROBLEM TO BE SOLVED
How to conquer new emergent market?
Which are the segments to be focused?
What is the Positioning of the Company in the
market?

4.  Established: 1970
 Number of personnel: 140
 R&D/engineering staff: 60
 Net sales 2011: EUR 40 million
 Exports:90% of production world-wide, and
60% of that outside of Europe.

8. 1. Engineered Heavy Fabrication
2. Mobile Machinery
3. Civil Construction
4. Ship Building and Offshore
5. Industrial Boilers
6. Wind Energy
7. Process and Nuclear

9.  Pre-sal Oil discoveries are the DRIVER
 Sudden increase of steel structure capacity >
Brazil became small for the demand.
 Local content requirement. Steel structures
must be made in BRAZIL.
 High labour cost and low productivity
 PEMA offers solution to improve fabrication
productivity and quality.

10. UPPSALA STUDY
1. Export sales manager
2. Expatriate sales manager in the target
region
3. Local partner company/joint venture
4. Own subsidiary
5. Acquisition of the competitor

11.  DIVIDE MARKET TO SEGMENT
 CHOOSE TARGET SEGMENTS
 DEFINE POSITIONING OF THE COMPANY

12.  Rough range estimate 100-200 Mreals / year
 No exact statistic available
 Competitors
 Esab with partners
 Koreans
 Japanese
 German
 American
 Potential clients
 Shipyards, various
 Mobile machinery fabricators, Volvo, Caterpillar, Case
New Holland etc
 Industrial boilersSimisa, Confab

13. 1. PRODUCT SALES through local partner
company. BRL
2. SOLUTIONS SALES. Directly from PEMA´s
Finnish legal entity to end user. EURO
AFTER SALES. Contract local service partner.
Royalties from service partner to PEMA. End
client buys directly from Service partner.

15. Products 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35
Solution
Roller bed tower manufacturing line x x x
Head and tailstock production lines x x x x
Robotized welding station for towerdoor frames x
Micro Panel line x x x x x x x
Flat panel production line x x x
T-Bar fabrication line x x x x x x
H-Bar fabrication line x x x x x x
Block production solution x x x x x x
Profile processing line x x x x x x
Membrane wallpanel production automation x x x x x x x x x x x
Wheel loader front frame fabrication cell x x x x x x
Trailer body frame welding cell x x x x x x
Fully automated welding of crane booms x x x x x x x

16. Engineered
Strateric Market Areas, SMA's, industry Heavy Mobile Civil Shipbuilding Industrial Process and
segments Fabrication Machinery Construction and offshore Boilers Wind Energy Nuclear
Solutions
Roller bed tower manufacturing line x
Head and tailstock production lines x
Robotized welding station for towerdoor frames x
Micro Panel line x
Flat panel production line x
T-Bar fabrication line x
H-Bar fabrication line x
Block production solution x
Profile processing line x
Membrane wallpanel production automation x
Wheel loader front frame fabrication cell x
Trailer body frame welding cell x
Fully automated welding of crane booms x

17. Engineered
Strateric Market Areas, SMA's, industry Heavy Mobile Civil Shipbuilding Industrial Process and
segments Fabrication Machinery Construction and offshore Boilers Wind Energy Nuclear
Atractiviness, 1 Min, 5 Max
Market size 4,0 4,0 3,0 5,0 2,0 3,0 1,0
Profitability 4,0 3,0 3,0 4,0 5,0 3,0 3,0
Product offering 1, Solution offering 5 3,0 4,0 2,0 5,0 5,0 3,0 3,0
Competitors, 5 low, 1 high 2,0 3,0 3,0 3,0 3,0 4,0 3,0
Average 3,3 3,5 2,8 4,3 3,8 3,3 2,5

19.  Brazil is promising and potential market
 PEMA goes to regions – Internationalization
 Focus on selected market segments
 Business models
 After sales plan
 Keepon eye to find correct moment to open
own Subsidiary!