| 2.6. | Segment Information |
An operating segment is a component of the Company that : a) engages in business activities from which it may earn revenues and incur expenditures, including revenues and expenses that relate to transactions with any of the Company’s other components, and b) whose operating results are regularly reviewed by the Company’s chief operating decision maker (“CODM”) to make decisions as to allocation of resources to the relevant segment and assess its performance and for which individual financial information is available.
The Company is organized around geographical division and discloses the following reportable segments:
| • | Brazil: consists of retail sales of consumer products from all of our verticals (which includes sales of sporting goods and related garments, as well as, fashion and, more recently, beauty goods) carried out through our sites (Netshoes.com.br, Zattini.com.br and Shoestock.com.br) and third-party sites that we manage as well as our business to business offline operation. |
| • | International: consists of retail sales of consumer products (mainly sporting goods and related garments) from our sites Netshoes.com.ar and Netshoes.com.mx in Argentina and Mexico, respectively. |