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BusinessProposition Autel sProductLineDistributioninBrazil AboutBrazil Population Approximately200million9thGDPintheWorld2007GDPGrowthRate 5 4 2008GDPGrowthRateProjection 5 2 CarSalesRecordin2007 29 7 growth2008CarSalesGrowthProjection 20 9thCountryontheRankofCarSales7thontheRankofMotorVehicleProducingCountries143 000AutomotiveRepairShops AboutBrazil Whilemostoftheimportantcountriesarefacingarecession Brazilkeepsgrowthabove5 andcarsalescontinueimpressive TheautomotivemarketsinNorthAmericaandJapanarestagnant whilethoseinSouthAmericaandAsiagrowsstrongly Ofthemajormarkets Russia Brazil IndiaandChinaseesthemostrapidgrowth AboutMe MynameisRomeroDubeuxdeAndrade IamGary sfirstemployee Iworkwithhimforover4yearsnow startingsincethebeginning whenwedevelopedthebusinessplantotakeoverLaunch sX431productlineexclusivelyintheUSmarket Asyouknow wesoldLaunch sproductsintheUnitedStates buildingagoodmarketandastrongnameforthem RomeroDubeuxdeAndrade IwasbornandraisedinBrazil MyfatherisanAmericancitizen whichmakesmeadualcitizenbybirthofbothBrazilandtheUnitedStates IamfluentinPortuguese SpanishandEnglish GraduatedinInternationalBusiness IntegratedUniversityofRecife PE Brazil DubeuxCom Rep DubeuxCommerce RepresentationsisafamilyownedcompanywhichIhaveworkedforasaSalesManagerwhenweweretheBrazilianDistributorforDaewoo themachineryandequipmentKoreancompany Thecompanyhasbeeninbusinessfor14yearswithanimpeccablereputation Ihaveinheritedthecorporation myprojectistore structureitwithmyownstandardstointroduceAutel sProductLinetotheBrazilianMarketthe DubeuxCom Rep Portfolio TrevoIndustrySofimaIndusaFielIndustrialEquipmentDaewooHidromineralAlegriaExttraMineral CompanyResources MainOfficelocatedinS oPauloNortheastOfficelocatedinRecifetofacilitatelogisticsoperation VPNIntegrationAsteriskCallCenterSystemToll freenumberandlocalareacodeVoipnumbersforthe7largestStates Website PortugueseandSpanish SamedayproductdeliveryforordersinS oPaulo RiodeJaneiroandRecife Operatedbyathirdpartymotorcyclecouriercompany Team SalesManagerOperationalManagerSecretaryTelemarketingSalesTeamIn houseITdepartmentIn houseMarketingdepartmentMultilingualTechnicalWriter TranslatorIndependentSalesReps minimumof1foreachofthe26states Competition Amarketresearchwasdone wefoundthatonlyafewofourcompetitorsintheUSareoperatinginBrazil ThepricesarealsohigherthanthesameproductssoldintheUnitedStates TheonlyBraziliancompaniesthatmakesautomotivediagnosticequipmentisAlfatestandTecnomotor TheirproductlinethatwillcompetewithAutelistheKaptorandtheRasther whichhasaninferiorcapacitythantheMaxiDASDS708 thepriceisequivalent Withlackofcompetitionanditslowerpricingstructure Autel sproductspotentialsalesperspectivesareprojectedtobeverysuccessfulfortheBrazilianmarket CompetitionforOBDIICodeReaders PriceRange 100 00 450 00USCurrency R 220 00 R 1000 00 BrazilianCurrency CompetitionforDS708 PriceRange 2900 00 7000 00USCurrency R 6 200 00 R 16 000 00 BrazilianCurrency Competitionnotfoundforallotherproducts MaxiDiagJP701 EU702 US703 FR704VehicleMonitoringEPBServiceToolsTPMSDiagnostic ServiceToolsOilResetToolsNoequivalentproductswherefoundintheBrazilianmarkettocompetewiththeabovelistedAutelproducts Someexpensivescanners similartoDS708 offersspecificpackageslikeAsian EuropeanorAmericansoftware ThiscouldcompetewithJP701 EU702 US703 FR704 Butthepricesareveryhigher PriceStrategy DismemberingHardwareandSoftwarePrices DifferentlythantheUnitedStates Brazilhasveryhighimporttaxes OurstrategyistobebilledbyAutelontwodifferentinvoices onebillofsaleforthehardwareandanotherbillofsaleforthesoftware Thiswaywecanapplyalowerimportingtariffforthesoftware translatingthesavingstotheendusers beenabletoofferanevenmorecompetitivepricingstructure Marketing TradeShows AutomecisthemostimportanttradeshowinBrazil ittakesplaceeverytwoyearsinS oPaulo TheupcomingshowwilbeinApril2009 WewillintroduceAuteltoBrazilatAutomecShow InadditionaltoAutomec thereare8otherimportanttradeshowsinBrazilthatwewillbeattending Theseshowsare Autopar Tecnoshow ReparaNordeste SemanadoMecanico Autonor FEISA AutopartsandAutop Marketing MagazineAds Fullpageandhalfpageadswillbepublishedonthehighestcirculationautomotivemagazinesandjournalsinthecountry Someofthemare OMecanico Sincope as PontoAPontoandBalc oAutomotivo Marketing StateAssociationsforMechanics Thereareapproximately143 000automotiverepairshopsinBrazil Mostofthemareaffiliatedtoitsstateassociation Wewillbecomeamemberonall27statesassociations sowecanadvertiseontheirinformativejournalsandparticipateonmosteventsandmeetingstopromoteAutel Marketing SchoolProgram Specialpricing aslowasourcost willbeofferedforschoolsandteacherssotheycanuseourproductsattheirclasses Thiswillbeavaluableadvertisementforalltechniciansattendingclasses SpecialStudentPricing Discountcouponswillbeofferedtothestudentsfromtheschoolsandteachersthatareparticipatingonourschoolprogram asanincentiveforthemtochoseAutelfortheirdiagnosticneeds Marketing AutoPartsStores IntroductionofAutel sproductlinewillbesetupbyarrangingmeetingswithallautopartsstoreschainsforacatalogpresentationtoofferdistributorshipofourproducts Thegoalistohavethemajorautopartsstoresasourvendors includingRedeAncora thelargestchaininBrazil Marketing PrintAdvertisement Catalogs brochuresandflyerswillbedesignedfordistributiontoalloursalesforceandfordirectmailing WewillbeusingGPSsoftwaretoretrievecontactinformationfordirectmailingandtelemarketing WebMarketing GoogleCampaign Apayperclickcampaignwithunlimitedfundswillbesetuptoshowourwebsiteasthe1stresultwhenanusersearchesforanymainkeywordssuchasOBD OBDII codereader automotivescanner autodiagnostic etc BannerAds Themostimportantautomotiveforumsandnewswebsiteswillhaveourbanners AutomotiveForumParticipation Activeparticipationonwebmessageboardsrelatedwithautomotivediagnosticsandscantools Mis

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