WEMO Business Invitation

Today, we start to enter the MP3 industrial operation times
To change the current blundering market ideology, some people entered the MP3 market just for profit making; to change the speculative marketing behavior, some people can do nothing but take advantage of playing pricing tricks. To lead the advanced marketing viewpoints to plan the future prospect together with partners in the industrial chain, we now can take the mature policy systems as guarantee! It is a bright future to make mutual benefits among brand manufacturers, sales outlet suppliers and consumers. The threshold of the MP3 industry has been higher from today on.

Overall expansion and upgrading of China market
In 2004, "WEMO" landed in China, desirous of making joint efforts with hundreds of manufacturers and dealers in China to jointly build WEMO MP3 brand to develop the mutual business, to enjoy glory and splendor!
    In 2004, WEMO will expand and upgrade the China market in an all round manner. The overall startup of China market is based on the good market environment and rapid development of China market, hence the upgraded strategic indicators as well as the actual requirements of market expansion and intense market competition.

A. Strategic upgrading
The strategy is to upgrade product operation into brand operation on the basis of development towards the famous brand objective; to upgrade the conventional extensive operation into standard and characteristic operations to enhance the protection and competitiveness of markets; upgrade regional branches into direct operation agents/distributors so that distributors are able to make the greatest profits; to upgrade random advertisements into planned and sustained regional brand popularization to guarantee the steady enhancement of brand image; to upgrade the conventional marketing mode into the relation marketing mode to guarantee good reputation of brands; to upgrade monopolized operation by agents into distribution by agents/distributors with companies acting as marketing and management to establish long-term cooperation; and to upgrade the directive and coordinative management into long-term service supervision so as to help distributors in lasting and steady growth in sales and profits.

B. Upgrading products
We aim to constantly improve "Wemo" product levels, and in the light of the industrial development status of MP3, to launch innovative, advanced, and high quality MP3 audio system with high technical content but accepted by markets.

C. Upgrading networks
It is necessary to build China networks for "WEMO Franchised distribution" so as to create competitive brands, leading brands, leading culture, advanced services, franchised distribution; ten unifications of standard management – image, advertisement, promotion, training, supervision, services, supplies, prices, settlement and management.

Illustration of cooperation policies

An Introduction to Agency
You are welcome to select Korean WEMO franchised distribution system to develop your own business.
"WEMO", the global leading digital player, is well received by industrial personages and consumers from Korea, Hong Kong, the USA and Singapore, etc for its outstanding quality.
In 2004, "WEMO" landed in China, desirous of making joint efforts with hundreds of manufacturers and dealers in China to jointly build WEMO MP3 brand to develop the mutual business, to enjoy glory and splendor!
Our first commitment:
    It is a two-way option without any compulsion to participate in the "Wemo Franchised distribution".
It is established on the basis of high cognition of this Korean brand of "Wemo" between parties as well as the successful belief, material performance and integrated ability of performance resulting from this cognition.
   
By virtue of the marketing conception and operation model of "Wemo" popularized in other countries, you can be actually benefited from the following:
• To be granted to the distribution of a best seller quality product other than a coarse or inferior unmarketable new product;
• To be entitled to enter a systematically planned operation system other than a disorderly or solitary operation system.
• To adequately enjoy a set of successful and effective system backup other than aimless exploration or venture on the basis of no self-reliance.
In a word, what you have acquired on your investment and participation is not at all the product itself, but a longer investment resource several times the value of the product. The "Wemo franchised distribution" not only reduces your investment risk to almost zero, but also it helps you become a "nothing-to-worry-about boss", and moreover allow your business to grow even more rapidly.
Support from the franchise distribution
    This is the most important part in the cooperation and development between you and us, and it is also where the core lies, for we will guarantee that your investment will be at a zero risk.

A. Brand backup
• To be granted to the authorization as Korean famous brand, so there is a good chance for profit making;
• To acquire the right to use the trademark of the brand, thus increasing the popularity and rallying points of shops and improving reputation of operators within the sector;
• Having a good business reputation.
B. Return and replacement policy
• Goods can be replaced by 100% within 3 months due to quality troubles; (Party A will not be committed to any return or replacement of man-made inferior products adversely affecting sales for the second time or caused by general agents, and any losses arising therefrom shall be at the cost of such general agents).
• Goods can be returned or replaced by 100% within 1 month (on the basis of facsimile time) due to overstock or unmarketable goods (No man-made inferior commodities adversely affecting sales for the second time or caused by the third party or parties will not be returned or replaced, and losses, if any, shall be at the cost of Party B). Before replacement each time, it is necessary to provide detailed lists of replacement, with freight at the cost of general agents.
C. After-sale policies
1.  In the case of any quality troubles (other than caused by software upgrading) existing in the product itself after "Wemo" brand of MP3 are purchased, we are committed to guaranteed replacement within 3 months and after-sale service warranty within 1 year.
2. Warranty time limit: calculated from the date of sales (N.B. on the basis of dates of actual purchases by end clients, and auxiliary packing material other than machines themselves are within the range of warranty or return or replacement). If there is any trouble found in the product itself, it will be subject to the guaranteed replacement of a new product within 3 months and warranty within 1 year.
3. Coverage of warranty:
In the case of any failures in quality of sold products, one can request the company to perform warranty with the receipt and product warranty card, but the following circumstances are not within the range of warranty, with only compensated repairs services to be provided (i.e. payment of cost of parts):  
a. any loss due to man-made factors or failure to follow the operation instructions;
b. any loss caused due to unauthorized dismantlement or repairs or any repairs by anyone other     than repairers as designated by this company;
c. Any loss due to force majeure such as earthquake, fire or flood, etc;
d. having no product warranty cards or valid purchase vouchers;
e. Product warranty cards or purchase vouchers not in conformity with actual product models  or the same to be altered;
f. exceeding the warranty period; or
g. any failures caused due to abnormal installation procedures, maintenance or operations, etc.
4. Period for repairs and maintenance:
The normal repairs period for products within a warranty period shall be one or two weeks, and such products sent for repairs shall be returned to clients two weeks later.
5. Other troubles:
a. Products within the effective replacement period can be replaced in the case of any actual   quality failures of such products, and if replacement becomes impossible due to lack of inventory for the time being, other models of products may be replaced upon agreement between the parties provided that the user is willing to do so.
b. For products within the warranty period, if such repaired products fail to be returned to the client two weeks later, other models of products may be replaced upon agreement between both parties provided that the user is willing to do so. In the case of failure to reach unanimity, the warranty period will be extended until the product for repairs are returned to the company;
c. Within the warranty period of products, this Company shall be liable for the warranty of products of the agent. In the case of failure to repair the products, both parties hereby agree to replace the products not inferior to such products; however, under the circumstances where the products are damaged due to improper use, assembly, storage or transport by agents or any third person(s), this Company will not undertake to perform free warranty or replacement;
d. General agents have the obligation to assist the Company in the repairs or replacement of products within the agency area(s), and in the case of initial defects in the selling process, the company may replace such products on behalf of agents or dealers at the freight cost of the company; and
e. If the product is beyond the warranty period, or in the case of any loss or damage caused by anyone other than agents or by any third party, if the company is requested to render such repairs service, this Company shall be paid repairs cost without the freight at the cost of this Company.
D. Local protectionist policies
To standardize markets and guarantee rights of local agents, the company has formulated a series of regional protectionist measures: 
1. Price management: The company defines a uniform distribution price, with any change in prices to be notified to general agents in different areas.
2. System management:
a. Any and all agents/distributors must strictly follow the pricing management system. In whichever aspects, including procurement, transport or sales, they must abide by the system with colluded goods or messy markets strictly prohibited. Otherwise the head office will rigorously punish such agents, and the maximum penalty is to compensate for any and all loss incurred by the head office and distributors and their competence as agents/distributors shall be cancelled.
b. After agency agreements are concluded, the head office may not develop any other agents or distributors within their areas. Agents are classified according to areas or sections in an equal and parallel relationship vertically managed by the head office.
c. In order to standardize markets and to guarantee the rights of agents in different areas, general agents (including distributors under the jurisdiction) must exercise monitor or control over their products in the selling course. It is strictly prohibited to set up any selling institutions or develop subordinate distribution agencies in any areas other than authorized so as to sell MP3 products in the brand of "Wemo".
d. If any agent believes that the authorized "Wemo" brand of MP3 products are maliciously procured by agents from other areas, such regional general agents shall first make investigation and take evidence before requesting this Company to assist investigation or perform arbitration.
e. In the case of any collusion or procurement of "Wemo" brand of MP3 products by anyone other than agents of Wemo brand of MP3 products in the areas not authorized by the company so as to make profits, agents in different areas shall contact the relevant functional departments and request the government to have them banned.
E. Bonus policies
Head office honorable bonuses: "gold medal sales prize", "new product sales prize", "brand popularization prize", bonus for encouragement and issuance of certificates. We perform irregular summaries of network conferences, interchanges, training and prize awarding ceremonies.

F: Backup of distributors' complaints
Distributors will be welcome to make comments on different work performance of the company (including but not limited to personnel altitudes, marketing policies, product quality, advertisement and publicity, market popularization and services). When agents feel not contented with the company in respect of any performance of the company, they have the right to lodge their complaints to the company by virtue of "letters of complaints", and the company will make timely treatment based on facts and by following the principle of "justice, impartiality and openness".
Detailed methods for participation
I. Principle of regional general agent
We apply the system of responsibility by provincial level agents on the basis of exclusive area agent systems. In principle, one agent is just authorized as the right of agency in the most advantageous province so that such agent can make the most of its resource priority, and to provide the agent with the most adequate and independent right to operate on the market.

II. Conditions of agents
1. Businesses with independent corporate capacity or individuals with specific selling outlets;
2. Agents with selling experiences of associated products or specific selling outlets;
3. Agents with experiences in establishing or managing selling outlets or capability of providing           after-sale services;
4. Agents with abilities to work out market expansion plans and to perform plans;
5. Agents that are able to coordinate with market popularization campaigns of the company;
6. Agents with quarterly sales not lower than the minimum requirements of this company.

III. Agency/distribution flow chart
 Filling out the "Registration Form for Agents/Distributors"
 Business negotiation on initial review of participation qualification
 Making presentation of market popularization report
 Being invited to company for business talks during double review of qualification
 Signing contracts or agreements
 Training