You are on page 1of 5



%&*-RLQ%&*,QWHUYLHZ3UHS3UDFWLFH&DVHV&RPSHWLWLYH6WUDWHJ\

+RPH!-RLQ%&*!3UDFWLFH&DVHV!&RPSHWLWLYH6WUDWHJ\

&RPSHWLWLYH6WUDWHJ\
&UHDWLQJD&RPSHWLWLYH6WUDWHJ\IRUD'LVFRXQW5HWDLOHU
<RXUFOLHQWLVWKHODUJHVWGLVFRXQWUHWDLOHULQ&DQDGDZLWKVWRUHVVSUHDGWKURXJKRXWWKHFRXQWU\
/HW
VFDOOLW&DQDGD&R)RUVHYHUDO\HDUVUXQQLQJ&DQDGD&RKDVVXUSDVVHGWKHVHFRQGODUJHVW&DQDGLDQ
UHWDLOHU VWRUHV LQERWKUHODWLYHPDUNHWVKDUHDQGSURILWDELOLW\+RZHYHUWKHODUJHVWGLVFRXQW
UHWDLOHULQWKH8QLWHG6WDWHV86&RKDVMXVWERXJKWRXW&DQDGD&R
VFRPSHWLWLRQDQGLVSODQQLQJWR
FRQYHUWDOOVWRUHVWR86&RVWRUHV7KH&(2RI&DQDGD&RLVTXLWHSHUWXUEHGE\WKLVWXUQRIHYHQWV
DQGDVNV\RXWKHIROORZLQJTXHVWLRQV6KRXOG,EHZRUULHG"+RZVKRXOG,UHDFW"+RZZRXOG\RXDGYLVH
WKH&(2"
(VWDEOLVK8QGHUVWDQGLQJRIWKH&DVH
6RWKHFOLHQW&DQDGD&RLVIDFLQJFRPSHWLWLRQLQ&DQDGDIURPD8QLWHG6WDWHVFRPSHWLWRU2XUWDVNLV
WRHYDOXDWHWKHH[WHQWRIWKHWKUHDWDQGDGYLVHWKHFOLHQWRQDVWUDWHJ\%HIRUH,FDQDGYLVHWKH&(2,
QHHGVRPHPRUHLQIRUPDWLRQDERXWWKHVLWXDWLRQ)LUVWRIDOO,
PQRWVXUH,XQGHUVWDQGZKDWDGLVFRXQW
UHWDLOHULV
$GLVFRXQWUHWDLOHUVHOOVDODUJHYDULHW\RIFRQVXPHUJRRGVDWGLVFRXQWHGSULFHVJHQHUDOO\
FDUU\LQJHYHU\WKLQJIURPKRXVHZDUHVDQGDSSOLDQFHVWRFORWKLQJ.PDUW:RROZRUWKDQG:DO
0DUWDUHSULPHH[DPSOHVLQWKH8QLWHG6WDWHV
6HW8SWKH)UDPHZRUN
2K,VHH7KHQ,WKLQNLWPDNHVVHQVHWRVWUXFWXUHWKHSUREOHPWKLVZD\)LUVWOHW
VXQGHUVWDQGWKH
FRPSHWLWLRQLQWKH&DQDGLDQPDUNHWDQGKRZ&DQDGD&RKDVEHFRPHWKHPDUNHWOHDGHU7KHQOHW
VORRN
DWWKH8QLWHG6WDWHVWRXQGHUVWDQGKRZ86&RKDVDFKLHYHGLWVSRVLWLRQ$WWKHHQGZHFDQPHUJHWKH
WZRGLVFXVVLRQVWRXQGHUVWDQGZKHWKHU86&R
VVWUHQJWKLQWKH8QLWHG6WDWHVLVWUDQVIHUDEOHWRWKH
&DQDGLDQPDUNHW
7KDWVRXQGVILQH/HW
VVWDUWWKHQZLWKWKH&DQDGLDQGLVFRXQWUHWDLOPDUNHW:KDWZRXOG\RX
OLNHWRNQRZ"
(YDOXDWHWKH&DVH8VLQJWKH)UDPHZRUN
$UH&DQDGD&R
VVWRUHVFORVHWRWKHFRPSHWLWLRQ
VVWRUHVRUGRWKH\VHUYHGLIIHUHQWJHRJUDSKLF
DUHDV"
7KHVWRUHVDUHORFDWHGLQVLPLODUJHRJUDSKLFUHJLRQV,QIDFW\RXPLJKWHYHQVHHD&DQDGD&R
VWRUHRQRQHFRUQHUDQGWKHFRPSHWLWLRQRQWKHYHU\QH[WFRUQHU
'R&DQDGD&RDQGWKHFRPSHWLWLRQVHOODVLPLODUSURGXFWPL["
<HV&DQDGD&R
VVWRUHVWHQGWRKDYHDZLGHUYDULHW\RIEUDQGQDPHVEXWE\DQGODUJHWKH
SURGXFWPL[LVVLPLODU
$UH&DQDGD&R
VSULFHVVLJQLILFDQWO\ORZHUWKDQWKHFRPSHWLWLRQ
V"

ZZZEFJFRPMRLQBEFJSUDFWLFHBFDVHVFRPSHWLWLYHBVWUDWHJ\DVS[





%&*-RLQ%&*,QWHUYLHZ3UHS3UDFWLFH&DVHV&RPSHWLWLYH6WUDWHJ\

1R)RUFHUWDLQLWHPV&DQDGD&RLVOHVVH[SHQVLYHDQGIRURWKHUVWKHFRPSHWLWLRQLVOHVV
H[SHQVLYHEXWWKHDYHUDJHSULFHOHYHOLVVLPLODU
,V&DQDGD&RPRUHSURILWDEOHMXVWEHFDXVHLWKDVPRUHVWRUHVRUGRHVLWKDYHKLJKHUSURILWVSHUVWRUH"
,WDFWXDOO\KDVKLJKHUSURILWVWKDQWKHFRPSHWLWLRQRQDSHUVWRUHEDVLV
:HOOKLJKHUSURILWVFRXOGEHWKHUHVXOWRIORZHUFRVWVRUKLJKHUUHYHQXHV$UHWKHKLJKHUSHUVWRUH
SURILWVGXHWRORZHUFRVWVWKDQWKHFRPSHWLWLRQ
VRUWKHUHVXOWRIKLJKHUSHUVWRUHVDOHV"
&DQDGD&R
VFRVWVWUXFWXUHLVQ
WDQ\ORZHUWKDQWKHFRPSHWLWLRQ
V,WVKLJKHUSHUVWRUHSURILWVDUH
GXHWRKLJKHUSHUVWRUHVDOHV
,VWKDWEHFDXVHLWKDVELJJHUVWRUHV"
1R&DQDGD&R
VDYHUDJHVWRUHVL]HLVDSSUR[LPDWHO\WKHVDPHDVWKDWRIWKHFRPSHWLWLRQ
,IWKH\
UHVHOOLQJVLPLODUSURGXFWVDWVLPLODUSULFHVLQVLPLODUO\VL]HGVWRUHVLQVLPLODUORFDWLRQVZK\DUH
&DQDGD&R
VSHUVWRUHVDOHVKLJKHUWKDQWKHFRPSHWLWLRQ
V"
,W
V\RXUMREWRILJXUHWKDWRXW
,V&DQDGD&REHWWHUPDQDJHGWKDQWKHFRPSHWLWLRQ"
,GRQ
WNQRZWKDW&DQDGD&RDVDFRPSDQ\LVQHFHVVDULO\EHWWHUPDQDJHGEXW,FDQWHOO\RXWKDW
LWVPDQDJHPHQWPRGHOIRULQGLYLGXDOVWRUHVLVVLJQLILFDQWO\GLIIHUHQW
+RZVR"
7KHFRPSHWLWRU
VVWRUHVDUHFHQWUDOO\RZQHGE\WKHFRPSDQ\ZKLOH&DQDGD&RXVHVDIUDQFKLVH
PRGHOLQZKLFKHDFKLQGLYLGXDOVWRUHLVRZQHGDQGPDQDJHGE\DIUDQFKLVHHZKRKDVLQYHVWHGLQ
WKHVWRUHDQGUHWDLQVSDUWRIWKHSURILW
,QWKDWFDVH,ZRXOGJXHVVWKDWWKH&DQDGD&RVWRUHVDUHSUREDEO\EHWWHUPDQDJHGVLQFHWKHLQGLYLGXDO
VWRUHRZQHUVKDYHDJUHDWHULQFHQWLYHWRPD[LPL]HSURILW
<RXDUHH[DFWO\ULJKW,WWXUQVRXWWKDW&DQDGD&R
VKLJKHUVDOHVDUHGXHSULPDULO\WRD
VLJQLILFDQWO\KLJKHUOHYHORIFXVWRPHUVHUYLFH7KHVWRUHVDUHFOHDQHUPRUHDWWUDFWLYHEHWWHU
VWRFNHGDQGVRRQ7KHFRPSDQ\GLVFRYHUHGWKLVWKURXJKDVHULHVRIFXVWRPHUVXUYH\VODVW
\HDU,WKLQN\RX
YHVXIILFLHQWO\FRYHUHGWKH&DQDGLDQPDUNHWOHW
VPRYHQRZWRDGLVFXVVLRQRI
WKH8QLWHG6WDWHVPDUNHW
+RZPDQ\VWRUHVGRHV86&RRZQLQWKH8QLWHG6WDWHVDQGKRZPDQ\GRHVWKHVHFRQGODUJHVWGLVFRXQW
UHWDLOHURZQ"
86&RRZQVVWRUHVDQGWKHVHFRQGODUJHVWFRPSHWLWRURZQVDSSUR[LPDWHO\VWRUHV
$UH86&RVWRUHVELJJHUWKDQWKRVHRIWKHW\SLFDOGLVFRXQWUHWDLOHULQWKH8QLWHG6WDWHV"
<HV86&RVWRUHVDYHUDJHVTXDUHIHHWZKHUHDVWKHW\SLFDOGLVFRXQWUHWDLOVWRUHLV
DSSUR[LPDWHO\VTXDUHIHHW
7KRVHQXPEHUVVXJJHVWWKDW86&RVKRXOGEHVHOOLQJURXJKO\HLJKWWLPHVWKHYROXPHRIWKHQHDUHVW
8QLWHG6WDWHVFRPSHWLWRU
&ORVH86&R
VVDOHVDUHDSSUR[LPDWHO\ELOOLRQZKHUHDVWKHQHDUHVWFRPSHWLWRUVHOOVDERXW
ELOOLRQZRUWKRIPHUFKDQGLVH
,ZRXOGWKLQNWKDWVDOHVRIWKDWVL]HJLYH86&RVLJQLILFDQWFORXWZLWKVXSSOLHUV'RHVLWKDYHDORZHUFRVW

ZZZEFJFRPMRLQBEFJSUDFWLFHBFDVHVFRPSHWLWLYHBVWUDWHJ\DVS[





%&*-RLQ%&*,QWHUYLHZ3UHS3UDFWLFH&DVHV&RPSHWLWLYH6WUDWHJ\

RIJRRGVWKDQWKHFRPSHWLWLRQ"
,QIDFWLWVFRVWRIJRRGVLVDSSUR[LPDWHO\SHUFHQWOHVVWKDQWKDWRIWKHFRPSHWLWLRQ
6RLWSUREDEO\KDVORZHUSULFHV
5LJKWDJDLQ,WVSULFHVDUHRQDYHUDJHDERXWWHQSHUFHQWORZHUWKDQWKRVHRIWKHFRPSHWLWLRQ
6RLWVHHPVWKDW86&RKDVEHHQVRVXFFHVVIXOSULPDULO\EHFDXVHLWKDVORZHUSULFHVWKDQLWV
FRPSHWLWRUV
7KDW
VSDUWO\ULJKW,WVVXFFHVVSUREDEO\DOVRKDVVRPHWKLQJWRGRZLWKDODUJHUVHOHFWLRQRI
SURGXFWVJLYHQWKHODUJHUDYHUDJHVWRUHVL]H
+RZGLG86&RJHWVRPXFKELJJHUWKDQWKHFRPSHWLWLRQ"
,WVWDUWHGE\EXLOGLQJVXSHUVWRUHVLQUXUDOPDUNHWVVHUYHGPDLQO\E\PRPDQGSRSVWRUHVDQG
VPDOOGLVFRXQWUHWDLOHUV86&REHWWKDWSHRSOHZRXOGEHZLOOLQJWREX\IURPLWDQGLWZDVULJKW
$VLWJUHZDQGGHYHORSHGPRUHFORXWZLWKVXSSOLHUVLWEHJDQWREX\RXWRWKHUGLVFRXQWUHWDLOHUV
DQGFRQYHUWWKHLUVWRUHVWRWKH86&RIRUPDW
6RZKHQHYHU86&REX\VRXWDFRPSHWLQJVWRUHLWDOVRSK\VLFDOO\H[SDQGVLW"
1RWQHFHVVDULO\6RPHWLPHVLWGRHVEXWZKHQ,VDLGLWFRQYHUWVLWWRWKH86&RIRUPDW,PHDQW
WKDWLWFDUULHVWKHVDPHEUDQGVDWSULFHVWKDWDUHRQDYHUDJHWHQSHUFHQWORZHUWKDQWKH
FRPSHWLWLRQ
V
:KDWFULWHULDGRHV86&RXVHLQGHFLGLQJZKHWKHULWVKRXOGSK\VLFDOO\H[SDQGDVWRUHLW
VMXVWERXJKW
RXW"
,WGHSHQGVRQDORWRIIDFWRUVVXFKDVWKHVL]HRIWKHH[LVWLQJVWRUHORFDOPDUNHWFRPSHWLWLRQ
ORFDOUHDOHVWDWHFRVWVDQGVRRQEXW,GRQ
WWKLQNZHQHHGWRJRLQWRWKDWKHUH
:HOO,WKRXJKWLWPLJKWEHUHOHYDQWLQWHUPVRISUHGLFWLQJZKDWLWZLOOGRZLWKWKHVWRUHVWKDWLW
ERXJKWLQ&DQDGD
/HW
VMXVWDVVXPHWKDWLWGRHVQ
WSODQWRH[SDQGWKH&DQDGLDQVWRUHVEH\RQGWKHLUFXUUHQWVL]H
2.,WKLQN,
YHOHDUQHGHQRXJKDERXW86&R,
GOLNHWRDVNDIHZTXHVWLRQVDERXW86&R
VDELOLW\WR
VXFFHHGLQWKH&DQDGLDQPDUNHW'RHV86&RKDYHDVWURQJEUDQGQDPHLQ&DQDGD"
1R$OWKRXJKPHPEHUVRIWKH&DQDGLDQEXVLQHVVFRPPXQLW\DUHFHUWDLQO\IDPLOLDUZLWKWKH
FRPSDQ\EHFDXVHRILWV8QLWHG6WDWHVVXFFHVVWKH&DQDGLDQFRQVXPHULVEDVLFDOO\XQDZDUHRI
86&R
VH[LVWHQFH
'RHV&DQDGD&RFDUU\SURGXFWVVLPLODUWR86&R
VRUGRHVWKH&DQDGLDQFRQVXPHUH[SHFWGLIIHUHQW
SURGXFWVDQGEUDQGVWKDQWKH8QLWHG6WDWHVGLVFRXQWUHWDLOFRQVXPHU"
7KHWZRFRPSDQLHVFDUU\VLPLODUSURGXFWVDOWKRXJKWKH&DQDGD&RVWRUHVOHDQPRUHKHDYLO\
WRZDUG&DQDGLDQVXSSOLHUV
+RZPXFKYROXPHGRHV&DQDGD&RDFWXDOO\VHOO"
$ERXWPLOOLRQZRUWKRIJRRGVDQQXDOO\
,VWKHUHDQ\UHDVRQWRWKLQNWKDWWKHFRVWVRIGRLQJEXVLQHVVIRU86&RZLOOEHKLJKHULQWKH&DQDGLDQ
PDUNHW"
&DQ\RXEHPRUHVSHFLILF"

ZZZEFJFRPMRLQBEFJSUDFWLFHBFDVHVFRPSHWLWLYHBVWUDWHJ\DVS[





%&*-RLQ%&*,QWHUYLHZ3UHS3UDFWLFH&DVHV&RPSHWLWLYH6WUDWHJ\

,PHDQIRUH[DPSOHDUHODERURUOHDVLQJFRVWVKLJKHULQ&DQDGDWKDQLQWKH8QLWHG6WDWHV"
&DQDGDGRHVKDYHVLJQLILFDQWO\KLJKHUODERUFRVWVDQG,
PQRWVXUHDERXWWKHFRVWVRIOHDVLQJ
VSDFH:KDWDUH\RXGULYLQJDW"
,ZDVWKLQNLQJWKDWLIWKHUHZHUHDKLJKHUFRVWRIGRLQJEXVLQHVVLQ&DQDGDSHUKDSV86&RZRXOGKDYH
WRFKDUJHKLJKHUSULFHVWKDQLWGRHVLQWKH8QLWHG6WDWHVWRFRYHULWVFRVWV
7KDW
VSUREDEO\WUXHEXWUHPHPEHU&DQDGD&RPXVWDOVRFRSHZLWKWKHVDPHKLJKODERUFRVWV
&DQ\RXWKLQNRIDGGLWLRQDOFRVWVLQFXUUHGE\86&R
V&DQDGLDQRSHUDWLRQVWKDWZRXOGQRWEH
LQFXUUHGE\&DQDGD&R"
86&RPLJKWLQFXUKLJKHUGLVWULEXWLRQFRVWVWKDQ&DQDGD&REHFDXVHLWZLOOKDYHWRVKLSSURGXFWIURPLWV
8QLWHG6WDWHVZDUHKRXVHVXSWR&DQDGD
<RXDUHSDUWLDOO\ULJKW&DQDGD&RKDVWKHDGYDQWDJHLQGLVWULEXWLRQFRVWVVLQFHLWVQHWZRUN
VSDQVOHVVJHRJUDSKLFDUHDDQGLWJHWVPRUHSURGXFWVIURP&DQDGLDQVXSSOLHUV+RZHYHUVLQFH
&DQDGD&RFRQWLQXHVWRJHWDJRRGGHDORISURGXFWIURPWKH8QLWHG6WDWHVWKHDFWXDODGYDQWDJH
WR&DQDGD&RLVQRWJUHDWRQO\DERXWWZRSHUFHQWRIRYHUDOOFRVWV
$OOWKLVVXJJHVWVWKDW86&RZLOOEHDEOHWRUHWDLQDVLJQLILFDQWSULFHDGYDQWDJHRYHU&DQDGD&R
V
VWRUHVLIQRWWHQSHUFHQWWKHQDWOHDVWVHYHQWRHLJKWSHUFHQW
,ZRXOGDJUHHZLWKWKDWFRQFOXVLRQ
6XPPDUL]HDQG0DNH5HFRPPHQGDWLRQV
,ZRXOGWHOOWKH&(2WKHIROORZLQJ,QWKHQHDUWHUP\RXPLJKWEHVDIH<RXUVWRUHVKDYHDPXFK
VWURQJHUEUDQGQDPHLQ&DQDGDWKDQ86&R
VDQGWKH\VHHPWREHZHOOPDQDJHG+RZHYHUDV
FRQVXPHUVJHWXVHGWRVHHLQJSULFHVWKDWDUHFRQVLVWHQWO\VHYHQWRHLJKWSHUFHQWOHVVDW86&RWKH\ZLOO
UHDOL]HWKDWVKRSSLQJDW86&RPHDQVVLJQLILFDQWVDYLQJVRYHUWKHFRXUVHRIWKH\HDU
$OWKRXJKVRPHFRQVXPHUVZLOOUHPDLQOR\DORXWRIKDELWRUEHFDXVHRI\RXUKLJKOHYHORIVHUYLFHLWLV
UHDVRQDEOHWRH[SHFWWKHGLVFRXQWVKRSSHUWRVKRSZKHUHSULFHVDUHORZHVW0RUHRYHURYHUWLPH\RXU
EUDQGQDPHDGYDQWDJHZLOOHURGHDV86&REHFRPHVPRUHIDPLOLDUWR&DQDGLDQFRQVXPHUV<RX
FHUWDLQO\KDYHWRZRUU\DERXWORVLQJVLJQLILFDQWVKDUHWR86&RVWRUHVLQWKHORQJWHUP<RXVKRXOG
SUREDEO\GRVRPHWKLQJDERXWLWQRZEHIRUHLW
VWRRODWH
&DQ\RXVXJJHVWSRVVLEOHVWUDWHJLHVIRU&DQDGD&R"
0D\EHLWFDQILQGZD\VWRFXWFRVWVDQGPDNHWKHRUJDQL]DWLRQPRUHHIILFLHQWVRLWFDQNHHSSULFHVORZ
HYHQLILWVFRVWRIJRRGVLVKLJKHU
$Q\WKLQJHOVH"
,WPLJKWFRQVLGHULQVWLWXWLQJVRPHWKLQJOLNHDIUHTXHQWVKRSSHUSURJUDPZKHUHFRQVXPHUVDFFXPXODWH
SRLQWVWKDWHQWLWOHWKHPWRIXWXUHGLVFRXQWVRQPHUFKDQGLVH
:KDWPLJKWEHDSRWHQWLDOSUREOHPZLWKWKDW"
:HOOLWPLJKWQRWEHWKDWFRVWHIIHFWLYHVLQFHLWZRXOGEHUHZDUGLQJDVLJQLILFDQWQXPEHURIVKRSSHUV
ZKRZRXOGKDYHFRQWLQXHGWRVKRSWKHUHDQ\ZD\
$Q\RWKHUVXJJHVWLRQV"
&DQDGD&RPLJKWZDQWWRSUHSDUHDPDUNHWLQJRUDGYHUWLVLQJFDPSDLJQWKDWKLJKOLJKWVLWVKLJKOHYHORI
VHUYLFH,WPLJKWHYHQLQVWLWXWHD&DQDGD&R6HUYLFH*XDUDQWHHWKDWVXUSDVVHVDQ\JXDUDQWHHVRIIHUHG
E\86&R

ZZZEFJFRPMRLQBEFJSUDFWLFHBFDVHVFRPSHWLWLYHBVWUDWHJ\DVS[





%&*-RLQ%&*,QWHUYLHZ3UHS3UDFWLFH&DVHV&RPSHWLWLYH6WUDWHJ\

$VVXPLQJWKHRQO\ZD\WRNHHSFXVWRPHUVLVWKURXJKFRPSHWLWLYHSULFLQJLVWKHUHDQ\WKLQJ
&DQDGD&RFDQGRWRDSSHDUFRPSHWLWLYHWRWKHFRQVXPHU"
,WPLJKWZDQWWRFRQVLGHURIIHULQJIHZHUSURGXFWOLQHVVRWKDWLWFDQFRQVROLGDWHLWVEX\LQJSRZHUDQG
QHJRWLDWHSULFHVZLWKVXSSOLHUVWKDWDUHFRPSHWLWLYHZLWK86&R
V,WPLJKWORVHVRPHFXVWRPHUVZKR
ZDQWWKHYDULHW\RISURGXFWVWKDW86&RKDVEXWLWPD\EHDEOHWRUHWDLQWKHFXVWRPHUZKRLVEX\LQJD
OLPLWHGDUUD\RILWHPVDQGLVMXVWORRNLQJIRUWKHEHVWSULFH
$OORI\RXUVXJJHVWLRQVDUHLQWHUHVWLQJDQG\RXZRXOGZDQWWRDQDO\]HWKHDGYDQWDJHVDQG
GLVDGYDQWDJHVRIHDFKLQPRUHGHWDLOEHIRUHPDNLQJDQ\UHFRPPHQGDWLRQVWRWKH&(2

ZZZEFJFRPMRLQBEFJSUDFWLFHBFDVHVFRPSHWLWLYHBVWUDWHJ\DVS[



You might also like