Management Plan

Management Plan

As a holding company, we manage and supervise a group of subsidiaries in our business portfolios. The business sectors to which our current business portfolios belong are the fashion brand business and construction consulting business. Subject to tough competition, these are saturated markets, or so-called declining industries.
We believe that our first step to take is to determine the selling and general administrative expenses and appropriate number of employees that we can pay for by the sales generated in the declining existing markets, and in order to secure the necessary gross profit margin, reduce the cost of sales.
For our global investment business, which has been incorporated into our portfolios starting this term, our plan is to primarily carry out highly profitable real estate investment but also handle development projects that promise future capital gains jointly with local partners in the U.S. market, which is expected to enjoy continued population increase.
As for securities investments, we plan to mainly invest in highly safe fixed rate bonds. In our view, we need to acquire a few more business portfolios to be immune to the impact of economic fluctuations as a corporate group. Accordingly, our important strategies are to restructure our existing businesses and acquire new business portfolios. We are going to mainly look for companies that are running actual businesses, that are not highly leveraged, and that belong to different business types than those of our existing businesses.

Business Policy

While we currently have two core businesses consisting of the construction consulting business and fashion brand business, having entered the overseas real estate business, we will make efforts to increase profits in three business portfolios going forward.
In the construction consulting business, Crearia Inc. has consistently been engaged in the maintenance and design of river-related infrastructure since its establishment. Taking full advantage of its accumulated know-how and always improving its special technical expertise in water, Crearia will continue to meet ever-changing social needs. Furthermore, turning our eyes toward neighboring regions and upstream regions in addition to our existing business fields, Crearia will make efforts to evolve into a company actively committed to environmental conservation and restoration. Crearia will strive to be a company with a distinctive presence with the most advanced technical skills and customer support even though small in size in the construction consulting industry, thereby contributing to the profitability of our group.
In the fashion brand business, TriIs International Inc., our subsidiary in Taiwan, has started a licensing business in the previous term. Utilizing our experience from having expanded our licensing business in Japan, TriIs International will turn CLATHAS and Hamano Inc. into successful brands both in Taiwan and globally to enhance their brand value. In the new overseas real estate business, we will aggressively pursue real estate and securities investment businesses in the U.S. As domestic markets are shrinking, we consider it indispensable to increase overseas investment to raise the corporate value of our group. As described above, our group is underpinned by the three business portfolios of our construction consulting business, fashion brand business, and overseas real estate business. Securing a more stable profit base through these three pillars, we will continue to aggressively participate in businesses that are likely to further reinforce the profitability of our group and strive to be a corporate group immune to economic fluctuations.

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