J A N CORPORATION TRADING COUNTRY: CANADA TRADING PRODUCT: PERSONAL MOVIE WATCH

TRADING COUNTRY:

CANADA

TRADING PRODUCT:

PERSONAL MOVIE WATCH

ECONOMIC ANALYSIS Exchange Rates 1 Canadian dollar buys 1.04 U.S. dollars U.S. exports are more competitive

1 Canadian dollar buys 1.04 U.S. dollars

U.S. exports are more competitive

ECONOMIC ANALYSIS Inflation Rates Current Inflation Rate: 2.5% Target range: 1 - 3 %

Current Inflation Rate: 2.5%

Target range: 1 - 3 %

Canada is expected to be the only G7 country in surplus from 2006 to 2008

Canada ’ s debt burden has declined from the 2nd highest to the lowest in the G7

Canada has maintained a budgetary surplus since 1997, unlike the U.S.

The Market Debt-to-GDP ratio is lower in Canada than in the U.S.

MARKET AUDIT - COMPETITIVE MARKET ANALYSIS Canadians and Americans are very similar Brand name is the top-purchasing driver New digital technologies affecting consumer preferences

Canadians and Americans are very similar

Brand name is the top-purchasing driver

New digital technologies affecting consumer preferences

PRODUCT EVALUATION ADVANTAGES Low price Light weigh Easy to use Retail stores availability 1.8” 2 GB storage USB interface 260,000 color screen Software CD files converter Multiple video formats + audio

ADVANTAGES

Low price

Light weigh

Easy to use

Retail stores availability

1.8”

2 GB storage

USB interface

260,000 color screen

Software CD files converter

Multiple video formats + audio

PRODUCT EVALUATION DISADVANTAGES Fairly large Unattractive Small screen

DISADVANTAGES

Fairly large

Unattractive

Small screen

OUR MARKET - Geographical Region Most technologically developed provinces Quebec Ontario Alberta British Columbia

Most technologically developed provinces

OUR MARKET - Product Transportation Via air or Via truck

Via air

OUR MARKET - Buying habits Easy to use, popular, inexpensive products Gen Y women (born between 1977-1994) are the leading purchasers of electronic products Internet is the first place customers visit when doing research on a new product

Easy to use, popular, inexpensive products

Gen Y women (born between 1977-1994) are the leading purchasers of electronic products

Internet is the first place customers visit when doing research on a new product

PRODUCT DISTRIBUTION

PRODUCT DISTRIBUTION Custom’s Broker Import-Export Broker

ADVERTISING

PRICING STRATEGY P/unit cost: $31.04 USD P/case cost: $1,200.00 USD 38% Profit Margin Volume-based discounts $99.99 CAD OUR RETAIL PRICE

P/unit cost: $31.04 USD

P/case cost: $1,200.00 USD

38% Profit Margin

Volume-based discounts

OUR COMPETITION - Sony Walkman Video $87.88 2GB storage capacity 1.8" QVGA LCD Screen Windows Media Audio Compatibility FM Tune Time Machine Shuffle Music Search Bi-Directional LCD Display

$87.88

2GB storage capacity

1.8" QVGA LCD Screen

Windows Media Audio Compatibility

FM Tune

Time Machine Shuffle

Music Search

Bi-Directional LCD Display

OUR COMPETITION - Creative Zen $99.99 2 GB storage capacity 1.5" color display Flash memory Built-in speakers Audio recording capability World clock

$99.99

2 GB storage capacity

1.5" color display

Flash memory

Built-in speakers

Audio recording capability

World clock

OUR COMPETITION - Philips 2GB MP3 Video Player $99.99 2 GB storage capacity 2.2" color display FM radio Built-in speakers Music, photo and video playback

$99.99

2 GB storage capacity

2.2" color display

FM radio

Built-in speakers

Music, photo and video playback

OUR COMPETITION - Samsung T9 $119.99 2 GB storage capacity 1.8" TFT LCD color screen FM radio USB connectivity Voice recording capability

$119.99

2 GB storage capacity

1.8" TFT LCD color screen

FM radio

USB connectivity

Voice recording capability

COMPARATIVE CHART

MARKETPLACE Government participation Regional Office of Revenue Canada Canadian Association of Importers and Exporters Canada Ontario Business Service Centre Export Controls Division (TIE) exportcontrols.gc.ca international.gc.ca cbsa-asfc.gc.ca cnsc.gc.ca cgp.gc AGENCIES WEBSITES

Regional Office of Revenue Canada

Canadian Association of Importers and Exporters

Canada Ontario Business Service Centre

Export Controls Division (TIE)

exportcontrols.gc.ca

international.gc.ca

cbsa-asfc.gc.ca

cnsc.gc.ca

cgp.gc

2008 PROJECTIONS 20K units sales Personal video player industry is expected to grow to 4.5 billion dollars worldwide!

20K units sales

Personal video player industry is expected to grow to 4.5 billion dollars worldwide!

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