Our objective is to grow our business both organically and through strategic acquisitions. We seek to drive our business naturally with continuing product development in new emerging technologies and categories to increase gross margins and improve operating income. We are focused on expanding sales both domestically and internationally and broadening our customer and partner bases as we bring these new products to our target markets. Additionally, we continue to acquire synergistic companies that are expected to allow us to leverage our overhead, penetrate new markets, and expand existing product categories.
The key elements of our strategy are as follows:
Improve bottom-line performance and generate sustainable shareholder returns.
Within recent years, we instituted an aggressive strategy to shift our product mix to higher-margin product categories, while controlling costs and strategically investing in our infrastructure. These changes have resulted in higher gross profit margins.Grow our international presence.
We continue to expand our international presence in Europe through our subsidiaries in Germany, as well as operations in Canada and Puerto Rico. Additionally, we continue to export from our domestic operations in the United States. Through our acquisitions of the Klipsch Group, Inc. and Hirschmann Car Communications®, we have expanded our presence throughout Europe, the Asia-Pacific region, and in select emerging markets. Our strategy remains to diversify our exposure to any particular geography while expanding our product offerings and distribution touch points across the world.Leverage our domestic and international distribution network.
We expanded our distribution network and continuing to grow our presence both domestically and abroad. Our distribution network, which includes power retailers, mass merchandisers, distributors, professional and commercial installation channels, car dealers, and OEMs, are designed to allow us to increase our market penetration and leverage the strengths and synergies of our product portfolio. We recently added new channels, which includes drug stores, hardware retailers, furniture chains, wireless carriers, and insurance companies.Pursue strategic and complementary acquisitions.
We continue to monitor economic and industry conditions to evaluate potential synergistic business acquisitions that will allow us to leverage overhead, penetrate new markets, and expand our existing business distribution.