Matt, if web design was html, there would be no ugly pages. WebDesign has nothing to do with html. A chimp can tag a web page, I'm living proof of it (oot oot.) Great expense comes in the design, support and maintainance of a site.
There are three sites because MRVC is basically a holding company for MRV opticals, MRV networks, and Xyplex. Noam wants the people running each business to control their web sites. I have talked to some of the MRV web people, and they are engineers and programmers, not graphics designers. Good for them. They are doing ok.
Graphics designers are expensive, because they take a long time developing a 'look', and generally not understanding the company's needs. When they are done, they can't code for another product! You got to pay for a nice site.
MRVC is tight with a buck- live with a corny website. It's cheaper, and gets the job done.
I agree with you the MRV sites are very lame art. I disagree that the MRV sales model can easily do eCommerce and configuration options the way CSCO does. MRVC relies on a lot of trained people to sell and install their rigs- I think there are other people who can explain this better than me.
<SALES AND DISTRIBUTION
The Company continually seeks to expand its distribution capability to
capitalize on its technological expertise and production capacity and to augment
and increase distribution channels to accelerate its growth. Products are sold
through the Company's direct sales force, VARs, systems integrators,
distributors, manufacturer's representatives and OEM customers. The Company's sales and distribution divisions are organized
along four primary lines: OEM sales and partnerships; VARs and systems
integrators; manufacturer's representatives; and domestic and international
distributors.
Direct Sales. The Company employs a worldwide direct sales force primarily
to sell its products to large OEM accounts and to a lesser extent to end users
of the Fibronics product line. MRV believes that a direct sales force can best
serve large customers by allowing salespeople to develop strong, lasting
relationships which can effectively meet the customers' needs. The direct sales
staff is located across the United States, Europe and Israel. The acquisition of
the Fibronics Business more than doubled the Company's sales force from the
period immediately preceding the acquisition and the Xyplex Acquisition has
increased the total sales force again by over 70% from the period immediately
preceding the acquisition. The largest portion of the increase from the Xyplex
Acquisiton was to the Company's domestic sales force which increased over 175%
from the level existing immediately preceding the acquisition.
OEM. Each of the Company's OEM partners resells the products under its own
name. The Company believes that the OEM partnerships enhance its ability to sell
its products in significant quantities to large organizations. Since these OEM
partners provide their own technical and sales support to their customers, the
Company is able to focus on other sales channels. The Company customarily enters
into contracts with OEM customers to establish the terms and conditions of sales
made pursuant to orders from OEMs. These OEMs incorporate the Company's product
into systems or subsystems, which are then sold to end users via various
distribution channels. The Company has established OEM relationships in
connection with its switching equipment with leading communications and
networking companies including Newbridge Networks, Fujitsu and Intel. The
Company's fiber optic components are sold only to OEMs.
Domestic and International Distributors. The Company works with
distributors domestically and internationally and has recently begun selling
products through Tech Data. Geographic exclusivity is normally not awarded
unless the distributor has exceptional performance. Distributors must
successfully complete the Company's training programs and provide system
installation, technical support, sales support and follow-on service to local
customers. Generally, distributors have agreements with a one year term subject
to automatic renewal unless otherwise canceled by either party. In certain cases
with major distributors, the agreements are terminable on 30 days' notice. The
Company uses stocking distributors, which purchase the Company's product and
stock it in their warehouse for immediate delivery, and non-stocking
distributors, which purchase the Company's product after the receipt of an
order. Internationally, the Company sells through approximately 80 distributors
in Asia, Africa, Europe, Australia, the Middle East, Canada and Latin America.
Value-Added Resellers. MRV uses a select group of VARs in the U.S. which
are generally selected for their ability to offer the Company's products in
combination with related products and services, such as system design,
integration and support. Such specialization allows the Company to penetrate
targeted vertical markets such as telecommunications and cable TV. Generally,
the Company uses a two-tier distribution system to reach a broader range of
customers, however VARs may purchase the product directly from the Company if
the volume warrants a direct relationship.
Through the Xyplex Acquisition, the Company has added a network of over
300 VARs to its distribution channel. The Company seeks to build dedication and
loyalty from its resellers by offering special programs, the most recent
providing its reseller base of companies dedicated marketing resources and an
exclusive training and support program to help them grow their business.
Manufacturers' Representatives. To supplement the Company's direct sales
efforts, manufacturer's representatives are assigned by territory in the U.S.
and work exclusively on commission.
Customer Support and Service. The Company is committed to providing strong
technical support to its customers. MRV operates a customer service group, and
provides support through its engineering group, sales staff, distributors, OEMs
and VARs. Customer support personnel are currently located at the Company's
offices in California, Massachusetts, Maryland, Germany, England, Italy
and Israel.> |
