Philip’s Quadric

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Philips’ new positioning strategy is credited with driving dramatic growth

Philips’ Net Income/Loss (’01 – ’06)

(4) (3) (2) (1)

1 2 3 4 5 6

‘02 ‘01 ‘03 ‘04 ‘05 ‘06

5.4b

EUR

Bill

ions

New positioning strategy

Simplicity

Philips Healthcare Philips Lighting Philips Consumer Lifestyle

“We believe that technology should be as simple as the box it comes in. It's this very simplicity that transforms a task into an opportunity, a burden into a pleasure. Simplicity can be a goal of technology. It certainly is the goal at Philips.”

Simplicity Advisory Board

Philips’ Quadric

Innovations that “bring simplicity to life”

53% of sales (’06) from products introduced in the last three years.

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www.quadric.dk

Copyright © Quadric® 2009