Siemens 2009 Annual Report Download - page 102

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 Reports Supervisory Board /
Managing Board  Corporate Governance  Management’s discussion and analysis  Consolidated Financial Statements
6 Report of the Supervisory Board 12 Letter to our Shareholders
www.siemens.com/letter-shareholders
www.siemens.com/managing-board
Poised for the challenges ahead
As we embark on fiscal , we’re well-equipped to master the challenges that lie ahead. First of all,
we’ll have to continue proving our mettle in an environment that remains difficult. As a company geared
primarily to the later stages of the business cycle, we’ve been hit relatively late by the recession. This, in
turn, means that some of our long-cycle businesses are not likely to feel the repercussions of the crisis
until fiscal . Nevertheless, we’re convinced that government stimulus programs will help offset a
decline in business with our private-sector customers.
New global economic parameters
The financial crisis has not only brought to light some undesirable developments; it’s also accelerating
the ongoing structural transformation of the global economic order – in two key respects:
First, we’re experiencing a shift in the global balance of economic power. The world’s emerging coun-
tries will be the growth regions of the future, even more so than in the past. This applies particularly to
the BRIC countries – Brazil, Russia, India and China – and the countries of the Middle East. Experts are
predicting that these countries will account for half of all global economic growth in the years to come.
At the same time, it’s unclear when Europe’s economies will again be able to match the strong growth
rates of the pre-crisis years.
Second, governments worldwide are strongly committed to achieving a balance among the three key
components of sustainability: environmental stewardship, economic development and social responsi-
bility. This commitment is articulated in the statements signed by the leaders of the industrialized coun-
tries at this year’s G summits in London and Pittsburgh. Acting on their resolve, heads of state and
government leaders have now initiated investments in environmentally compatible, energy-efficient
green infrastructures.
The crisis as an opportunity
The crisis and the measures taken to overcome it are bringing us not only tremendous challenges but
also major opportunities. As an integrated technology company with outstanding infrastructure know-
how, we’re a highly regarded partner worldwide when it comes to enhancing the energy efficiency and
environmental compatibility of infrastructures. Enormous long-term growth prospects are also opening
up for us in these fields. Energy-efficient, ecofriendly products and solutions that help mitigate climate
change are the growth drivers in our markets. Today, we’re already the world’s leading provider of green
technologies. In fiscal , we sold ecofriendly products and solutions worth € billion – more than
any other company in the world. For , our target is to generate € billion in this segment with our
Environmental Portfolio.