Strategic Seminar in Seoul i Park Boston Business

Strategic Seminar in Seoul i. Park Boston Business Overview Presented by: John Hughes, Director Business Development – i. Park Boston

Discussion Points About i. Park Boston U. S Market Channel Profiles Building Effective Partnerships End

About i. Park Boston

i. Park Boston Part of the Global i. Park Network Beijing (2000. 6) Tokyo (2001. 7) London (2001. 12) Osaka (2002. 11) Shanghai (2001. 12) Singapore (2002. 10) Boston (2001. 9) Silicon Valley (1998. 4)

About i. Park Boston Organization KIPA President International Cooperation Group i. Parks Software Business Promotion Group i. Park Boston Digital Contents Group IT SOC Management Group Korea Software Institute(KSI)

i. Park Your Gateway to Success: A non-profit business development organization Helps Korean IT companies advance into global markets Provides Korean vendors a gateway to profitable partnerships

Introduction to i. Park Boston • Business Mission – Serve the Americas and Canada • Packaged Software • Embedded Software – Appliances – Single function systems – RFID, Biometrics, DRM, etc. • System Integration (SI) – E-Gov

i. Park Boston 2004 Events Outbound Activities: Conferences : üCES üFOSE üRFID World üSupercomm üVar. Vision üVON Inbound Activities: KIPA Sponsored Events: üStrategic Seminars in Seoul (SSS) üIT Opportunity – May üIT Opportunity / Soft. Exp (December)

i. Park Boston Channel Development Services: Select Korean IT companies ready to go abroad Match Korean vendors with established sales channels Develop customized channel development plans Obtain appointments & sales meetings Act as liaison between American channels and Korean vendors U. S. Market Channels VAR Korean IT Companies Market Information Distributor OEM U. S. Clients

i. Park Boston Marketing Services üStrategic consulting üLaunch plans üChannel recruitment and development üMarket information • Market analysis • Market Trends etc. üCollateral development & critique

U. S. Market Channel Profiles

U. S. Networking Market Channel Profiles • Featured Channels – Bechtel Corporation – Black Box – NETXUSA

Market Channel Profiles Bechtel Corporation • World class engineering, construction & project management company – Types of Projects • Boston’s ‘Big Dig’ • Iraq Reconstruction • Hong Kong Airport

Market Channel Profiles Bechtel Corporation • Company overview – Founded in 1898 – 44, 000 employees – Revenue: • 2003 - $16. 3 Billion • 2002 – $11. 6 B • Headquarters in San Francisco, CA

Market Channel Profile Bechtel Corporation • Technology – Bechtel Technology Ventures • Invests in promising Internet businesses to help streamline internal operations – Networking products • Secure communications across thousands of project sites – Web based procurement & collaboration tools – Telecommunications • Completed 109 projects • 1000 DSL centers, data centers and other telecom facilities

Market Channel Profile Bechtel Corporation • Partnering Process – Constant new product evaluation • Pre-screening • Acceptance testing – Procurement – Implementation

Market Channel Profile Bechtel Corporation • Contact – Mr. Thomas H. Parks Manager Global Procurement

Market Channel Profile Black Box Corporation • Leading U. S. Distributor – 90, 000 products available through Web site and catalog • Networking, communications, peripherals, video, multi-media • Technical support, custom design • OEM third party equipment under own brand

Market Channel Profile Black Box Corporation • Company overview – Founded in 1976 – 2800 employees – Revenue: • 2004 – $520 M • 2003 - $605 M – Headquarters in Lawrence, PA – Services 132 countries around the world

Market Channel Profile Black Box Corporation • Partnering Process – Pre-screening – In-house testing – Negotiate partner agreement • OEM model preferred (Black Box label) • 20 – 40 points (negotiable)

Market Channel Profile Black Box Corporation • Customer Profiles – 80 – 85% of sales to end users • Average sale $700 - $1000 – 15% - 20% of sales to larger contractors • Average sale $23, 000 – Government, Education, Mfg. , Aerospace, etc

Market Channel Profile Black Box Corporation • Primary contact: – Richard Suminski Corporate Director National Procurement & Services

Market Channel Profile NETXUSA • Value added distributor of IP Telephony products – IP gateways, PBX, phones – Conferencing systems – Voicemail, fax servers, etc • Hot product – Wifi phones

Market Channel Profile NETXUSA • Company overview – Founded in 1973 – 50 employees – Revenue: Private – Nationwide network of over 2000 dealers – Headquarters in Greenville, South Carolina

Market Channel Profile NETXUSA • Partnering Process – Aggressive technology acquisition program • Open door policy • Rigorous acceptance testing at in house lab – NETXUSA agrees to carry product – Terms: • 40 points off MSRP • No carrying cost or other fees

Market Channel Profile NETXUSA • Primary Contacts: – Thomas Boone V. P. Sales & Marketing – Eric Todd Product Manager

Building Effective Partnerships

Building Effective Partnerships • Target the right channels: Solution – – Channel Consumer/Soho B 2 B Complex or custom Commodity Retail Regional reseller/VAR Mid-tier System Integrator OEM

Building Effective Partnerships • Sell Yourself – Create a compelling value proposition • You will make money working with me because…. . – My solution is unique » Exactly how are you different and better? » What is the ROI story – I have an overwhelming cost advantage » How much less than competitors & substitutes? » Exact pricing structure; how does it compare? – You scratch my back and I’ll scratch yours » Be ready with specific, prospective opportunities

Building Effective Partnerships • Make A Great First Impression – Be friendly, open and honest!! – Focus on $$opportunity$$ not the technology – Clean collateral, GUI, Web Site • American look and feel • Perfect English grammar – Clearly defined partner program

Building Effective Partnerships • Communicate Often – Be responsive to requests and advice – US presence is advised • Partner training • Technical Support • Sales and Marketing

Thank You Questions or Comments? jhughes@iparkboston. com