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Business policy

Taken into consideration the technical and financial resources of the company, market demands and current economic situation, the „MN“company has established its basic goals as follows:

- Increased scope of production and services by better exploitation of the capacities ,

- Enhanced quality and broader range of products and services

- Market expansion and increase of number of buyers of products and services ,

- Rational usage of all resources and restriction of the cost growth,

- Increase of profits from sold products and services ,

- Enhanced amount of the overall profit and the rentability rate at least at the average level of every field MN specializes in.

1. Production, purchase and processing of fruits and vegetables

The price trends in fruits purchase and sales prices of the finished products from frozen fruits at the foreign market clearly indicate that profit per product unit shows declining tendency. The enhanced level of the business economy undoubtedly imposes larger production, purchase and processing of fruits i.e. enhanced export of products from frozen fruit. Having established this as basic priority of business policy, “Mn“pays special attention to the fact that the area which gravitates towards cold storage plant, approximately 20-30 km in diameter, in view of the production possibilities, significantly exceeds the needs of the cooling plant, while, at the same time, there is a demand in foreign markets, at least in regards to products from raspberries, sour cherries, blackberries, and various plum products.

„Mn“possesses its own seed farms covering over 30 hectares of space. Multiply benefits ensue from the increase of our own growing fields- the price of production costs and products quality should be particularly pinpointed. The price is lower than the purchase price, sometimes even up to 50%, the product quality is much better. Raspberries, sour cherries and plums are grown in our own seed farms.

Our own growing fields contribute to better education of individual producers.

„Mn“establishes that expansion of our own seed farms is among the top priorities of ourbusiness policy, due to their manifold significance.

Direct sale to buyers who use the frozen fruits products for their own production or sell them to final buyers as consumer fruits is imposed by purely economic reasons. Direct sales help eliminate third persons and enables higher price, whilst concurrently securing stronger commitment of buyers for „MN“products. Delivery of at least one third of the overall production to final consumers ranks among the top priorities of the business policy of „MN“in 2012 and 2013.

The sale to final consumer calls for change in the structure of processing. We are referring, above all, to small packages, which essentially represents new program of food processing. The introduction of this program and stabilization of such sale demands time and huge resources. Long-term strategy of „MN“involves processing of raspberries and its delivery in small-scale packages, in approximately 500 tons quantities.

„MN“shall continue to develop deliveries of finished products in larger packages, independently from the deliveries of small-scale packages. „MN“cooling plant shall continue to base its business operations with hitherto buyers, which do not demand deliveries of small-scale packages.

We cannot produce sufficient quantities of fruits in our own seed farms for the full exploitation of cold storage capacities. Therefore „MN“shall continue to cooperate with individual producers in primary production. In  order to further up their production, „MN“ shall provide professional expertise and timely secure sufficient quantities of fertilizers, protection means and other repro materials.

2. Production and installment of vibro-pressed concrete elements

Cutting edge technology applied in the factory for the production of vibro-pressed concrete elements enables superb quality of the products, significantly above the level of other products, and, in addition, lower production costs. Since the factory is located in the close proximity of the river, production of sand, pebble and their fractions is carried out at markedly lower prices. All above, lower production costs and cheaper raw materials enable profitable production of concrete ware.

Extension of the production scope and sales of vibro-pressed concrete elements falls within top priorities of the business policy. Rise of the production scope is based on technical capacities of the factory and excellent furnishing of required raw materials, while enhancement of the sale is based on super quality of products and poor competition at the Serbian market.

Superb level and constant fostering of quality of vibro-pressed concrete elements, introduction of new products and their combination in diverse shapes for ground floor structures, implementation of new materials for final processing of concrete elements and possibility of combination of several colors at the buyers’ requests, precise dimensions of every individual product and high performances of concrete: higher compactness, hardness, resistance to water and wear, as well as their aesthetic design, ensure large demand of the products at the market, especially taken into consideration that „MN“ can, due to high level of

production technology and low-cost raw materials, offer realistically acceptable prices.

In its hitherto business activities, „MN“ used to cover the part of the Belgrade area, section of Vojvodina, as well as Podrinje region. „MN“was not active in other areas or it was engaged only occasionally. „MN“ is now doing marketing research of all those regions with the aim to identify potential buyers and establish options for mutual co-operation, taking effort to concurrently apply full procedure defined by ISO quality standards.

The factory catalogue presents in detail production assortment, some urban structures we covered in several Serbian towns, and required instructions for assembly of our products according to principle „Do it yourself“.

3. Trading and services

Basically, sales encourages development of other activities in „MN“, primarily production, purchase and processing of fruits, as well as production and installation of concrete ware.

Timely provision of quality repro materials and protection means for the needs of individual producers and for our own seed fruit farms enables two-fold advantages-cheaper and larger production. As wholesale trader, „MN“procures large quantities of repro materials and protection means. In this way, we reduce the purchase price and enable more cost-effective production. From the other side, „MN“ , as professional trader, is in the position to buy quality goods, especially in light of the fact that this company has all required information on the condition of seed farms and most effective products for protection and feeding of plants.

Efficient protection and quality feeding strengthen the production.

Huge quantities of oil derivatives are used for transportation of plates and other concrete elements to construction sites. In-house trade allows cheaper provision of derivatives and timely furnishing of the same.

The offer of the consumer goods can help with advance payment for purchases of fruits and subsequently establish stronger bonds of the primary producers to „MN“. In every case, trade contributes to decrease of costs and enhanced image of „MN“.

Taking into consideration the significance of trade for fostering development of other activities, the business policy in trade comes down to two essential goals- growth of sales above the level of price growth and scope of profits that cover all costs and secure rentability at the average level of the relevant branch.