A M P H E N O L C O R P O R A T I O N 2 0 0 4 A N N U A L R E P O R T Business Strategy The Company's strategic objective is to further enhance its position as a leading global  designer  manufacturer and marketer of connectors  interconnect systems and cable products.  The Company seeks to achieve this objective by pursuing the following strategies: y  Continue to Develop Application-Speci fi  c Interconnect Solutions for OEMs.  The Company seeks to expand the scope and number of its preferred supplier  designations and application-speci fi  c product opportunities with OEM and  original design customers. The Company works closely with its network of such  customers at the design stage to create and manufacture innovative solutions to  meet customers' speci fi  c interconnection needs. The application-speci fi  c products  designed and manufactured for OEMs and original design customers generally  have higher value-added content than other interconnect products and have been  developed across all of the Company's product lines. In addition to solidifying  its relationship with OEMs and providing a source of high value added sales  this  product development strategy has a number of important ancillary bene fi  ts. For  example  once an application-speci fi  c product has been developed for a particular  OEM customer  the new product often becomes widely accepted in the industry  for similar applications. Thereafter  the demand for these new products grows  as they become incorporated into products manufactured by other potential  customers  thereby providing additional sources of revenue. y Expand Product Lines. The Company's product line strategy is to provide a complete  product offering in its focus markets. Management believes that it is very important  to continually develop the breadth and depth of Amphenol's product lines in order  to maintain its designation as a preferred supplier with many OEM  original design  and electronic manufacturing services customers. By expanding its product lines   the Company is able to leverage its extensive customer relationships to cross-sell  additional interconnect products. Moreover  given that many OEMs and other  customers are reducing the size of their supplier base  Amphenol believes that the  expansion of its product lines with new value added integrated solutions helps to  further solidify its importance to existing customers and enables it to effectively  market products to new customers. y  Expand Global Presence. The Company intends to further expand its global  manufacturing  engineering  sales and service operations to better serve its existing  client base  penetrate developing markets and establish new customer relationships. As the Company's multinational OEM  original design and electronic manufacturing  services customers expand their international operations to access developing world  markets and lower manufacturing and labor costs in certain regions  the Company  10