Interesting read here:
2011/07/01 15:21 - Ricoh To Buy Pentax Brand From Hoya
"Ricoh is involved in fierce price competition in the compact digital camera market, which is placing downward pressure on midsize makers' profits. The move by Ricoh could trigger a major industry realignment."
"Ricoh decided in late May to slash 10,000 jobs, or 10% of its workforce, over three years. Sales of mainstay office equipment have slowed, prompting the firm to diversify its earnings base by enhancing its lineup of consumer products. Ricoh's digital camera business remains unprofitable, but the firm believes it could grow using Hoya's sales channels in the U.S. and Europe, and by increasing sales in emerging countries."
"While its digital camera division was in the red in 2008, Ricoh's efforts to restructure, such as moving production bases overseas and reducing the number of models, helped the division swing into the black. However, Ricoh has decided to focus on more profitable businesses such as medical equipment. The Camera & Imaging Products Association estimates that overall shipments of digital cameras in 2011 will grow 7% on the year to a record high of 131 million units. However, shipments of compact digital cameras are projected to rise just 6% in an increasingly competitive sector. "