JUNGHEINRICH SURGES THROUGH STRUCTURAL CHANGE

News Story
- 7 Feb 2002 ( #43 ) - HAMBURG, Germany
1 min read
After making major changes to the focus of its business early last year, including cutting loose its dealer network, Jungheinrich AG is happy with progress and is further expanding its reach in Europe and abroad.

Jungheinrich's decision to concentrate on its core Jungheinrich brand, at the expense of the Boss and Steinbock brands, and distribute products via direct marketing, prompted fierce criticism and threats of legal action when Jungheinrich scrapped its distribution agreement with Steinbock GmbH dealers.

Some products are now available through select dealers under the MIC brand, but other products are marketed direct.

Up to 50 former Steinbock dealers threatened action over the terminated contracts last April. Steinbock, a subsidiary of Jungheinrich, dismissed its 15 German dealers and 34 dealers in other European nations. A Portugese Jungheinrich dealer's legal challenge was thrown out by the Landgericht court and again on appeal to the Hanseatisches Oberlandesgericht Hamburg.

Jungheinrich chairman Cletus von Pichler said customers found it easy to switch from the Steinbock and Boss brands. "From us they receive the excellent consulting to which they are accustomed, a product spectrum that leaves no wishes unfulfilled, and outstanding service," he said. Jungheinrich now has sales and distribution centres in more than 20 European countries, with more being established in Turkey, Greece, Ireland, Singapore and Brazil. Exports outside Europe had more than doubled since 1999, the company said.
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