Message from the Chairman
2010 can be considered a satisfactory financial year
for MONDRAGON. The companies making up the Corporation
have all made a great effort, which has
been paid off in the form of overall results that are
an improvement on last year's.
Without a doubt, to a large extent this positive performance
has been made possible by the guidelines
and lines of action put into practice in 2009. The
results of a series of financial, economic and business
measures taken by the cooperatives have been
made patent throughout 2010. The success of these
measures, together with the greater presence of
the cooperatives on the international markets and
our firm commitment to innovation have enabled
us to improve our companies' competitive capacity
and end 2010 with an advance in total sales and a
significant increase in MONDRAGON's profit.
Evolution in the different areas of the Corporation
has been as follows: in Finance, the MONDRAGON companies ended the financial year on a successful
note thanks to their measures for improving the
companies' efficiency, despite the tough scenario
affecting the sector; the Retail area made significant
progress in reducing its bank debt, improved
its internal efficiency and has placed its stakes in
a strategy based on "the most competitive price"
for its clients, all in a year characterised by low
consumption; the Knowledge area continued to
progress with the MONDRAGON Health project and
advance in the creation of inter-cooperation platforms
for promoting new business projects; and in
the Industry area our increased presence on international
markets has enabled business to improve while
enabling employment to be created in industry. We
would also stress that international sales have increased
13.3% with respect to last year, with international
sales now representing 63% of the total and
our business presence becoming consolidated on the
European markets and those of emerging countries
such as Brazil, China, Russia and India.
This will be the trend over the forthcoming years:
a firm commitment to reinforcing MONDRAGON's international
business as a sine qua non condition for
developing sustainable long-term business projects.
This will also be done through innovation, which is our
corporate trademark and at the core of the Corporation's
development. We have strengthened this commitment
in 2010 by earmarking major resources and teams of
people to it. Fully immersed in the information and
knowledge society, in a globalised world that is undergoing
rapid change, the agents involved in innovation
and knowledge continue to be the key factor for the
evolution of business projects. Mondragon University,
the technology centre network and the cooperatives'
R+D units are all set to make an additional effort to
prove that MONDRAGON's innovative attitude is the
best guarantee for the future.
This all takes place within the framework of a cooperative
model, whereby we share our Principles,
Values and Management Model and trust in the
strengths of the group to continue to grow, making
a reality of the corporate commitment by generating
wealth and employment.