Mitch Free

Founder / CEO

Quiz

In English, what do you call a person who speaks 2 languages?

What do you call a person who speaks 3 languages?

Bi-Lingual

Tri-Lingual

What do you call a person who only speaks 1 language?

Tri-Lingual

American

MFG = Manufacturing

Hi, Mitch--

What you folks are doing is just about the most interesting and fascinating use of

the Internet in manufacturing that I've seen to date. It really leverages the full

power and immediacy of the Web.

Best,

-- PQ-- PQ

Paul Quinn

Senior Writer/Features Editor

Supply Chain Systems Magazine

What does MFG.com do?The global online

marketplace where

buyers and

suppliers meet

each other at the each other at the

right moment in

time, collaborate

and do business

together.

Much more powerful

than a directory.

Buyer Suppliers

Request

For

Quote

Basic Concept

Matched to the

RIGHT Suppliers

Quotes Returned

Online in a Standard

Format

Private Quoting, Not an Auction

MFG.com Facts•Largest Online Marketplace for the Manufacturing Industry

•Founded in 2000

•Offices in Atlanta, Paris, Geneva, Munich, Shanghai

•Operates in 9 Languages•Operates in 9 Languages

•Facilitates~ $11 Billion USD in Transactions Per Year

•~200,000 Companies use MFG.com for Sourcing

•~10,000 Companies use MFG.com to Find Customers

• Privately Held (Mitch Free, Jeff Bezos, Fidelity Investments)

Important Marketplace

Manufacturing is the largest of all

economic sectors in the world!

Everything physical is manufactured. Just look around you and on you

A Stapler

Plastic Injection Molded

• Die Making

• Mold Making

• Screw Machining

• Metal Stamping

• Plastic Molding

• Rubber Molding

• Spring Making

Making a Stapler Involves:

Metal Stamped / Die Formed

Screw Machined

Molded Rubber Pad (on bottom)

Custom Spring• Spring Making

• Assembly

Global Ecosystem

Value to Participants

When a buyer with a need connects with a supplier that has the

right capacity, expertise and credentials at the right moment in

time the buyer gets great pricing and supplier gets a profitable

order.

Online marketplaces allow people and companies to connect that Online marketplaces allow people and companies to connect that

never could have found each other previously.

MFG.com Participant Fees

• Buyers – Free

• Suppliers Pay ($5,000 to $12,000 per year)

•No Commissions of Transaction Frees

•Ability to Discover and Quote RFQS

•Buyer Contact Info

•Inclusion in Supplier Discover Database

•Search Engine Optimized Profile

Economic Indicator ?

500600700800

$ USD Value (millions) Sourced on MFG.com

(Last 12 Months)

0100200300400500

Top Categories

Textiles

Metal Casting

Machining

Metal Stamping

Plastic MoldingPlastic Molding

Trends

•Smaller and More Frequent Orders

•Distributed Manufacturing

•Multiple Sources

•Brand Ownership; No Factories

•Customization

Successful Marketplaces

•Many Buyers and Many Sellers (Highly Fragmented)

•Marketplace Owner is a Neutral Party with Domain Expertise

•Has Brokers / Agents that are Ripe for Disintermediation

•Flat Fee Revenue Model to Sellers

•Policed by the Online Community (Rating Systems)

•Facilitates Online Collaboration, Due Diligence, Quoting, Ordering

•Extensible – Integrates with Other Business Systems

Successful Participants

•Comfortable on the Internet

•High Speed Internet Connection

•Global View

•Understand of Their Unique Advantages

•Good Communication Skills

•Good Marketers

Suggestions for Colombia• Invest in Internet Infrastructure

• Help Manufacturers Create and Exploit Unique Advantages

• Don’t Try and Compete with China – Differentiate

• Trade Agreements

• English as a Second Language

• Encourage Participation (Incentivize)

• Market the Successes

New World Economy

• Access to New Markets Like Never Before

• Markets are Shifting

• Wealth is Created by Making Things (Manufacturing)• Wealth is Created by Making Things (Manufacturing)

• The Divide Between the Wealthy and Poor Will Grow Wider

• Time is of the Essence

To those who can’t

hear the

music, the dancers music, the dancers

appear insane.

Mitch Free

Founder / CEO

mitch@MFG.com

We are in this together…