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Hasbro Swot

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Executive Summary Synopsis Hasbro is a publicly traded company founded in 1923 which specializes in toys for children, infants, and toddlers, as well as puzzles and games for consumers of all ages. Although the company has experienced significant annual revenue growth since its inception, due to several factors including the recent economic downturn, it has encountered obstacles in each of its four business units. With several competitors, such as Mattel, vying for the business of increasingly financially conscious consumers, Hasbro must optimize its operations in order to achieve its goal of becoming the world’s leading toy company in an uncertain future, Specifically, the company must pay particular attention to the following …show more content…

Due to its ability to reinforce its core brands with product innovation and maximization through entertainment, markers of strong first and second order fit, Hasbro scored a four for Collis’ test of internal consistency. In 2001 Hasbro adapted its strategy to reimagine, reinvent, and reignite its principal products and saw a thirty-three percent growth in its core brands over the following eight years. Hasbro’s strategic partnerships and licensing agreements contribute to its strong third order fit. Currently, the company is partnered with Universal, Sony Pictures, Paramount, Lucas Film, and Discovery Communications, among others. These partnerships not only lead to increased brand awareness but also lower advertising expenses. Hasbro scores a three on external fit/competitiveness. Although Hasbro’s stock price trend is better than that of competitors, and it has outperformed the industry in terms of growth percentage, Hasbro is still number two in the toy industry. Hasbro has beaten Mattel in average year over year growth over the last five years and it retains a better profit margin percentage and higher earnings per share. Nevertheless, the company is still $1.854 billion behind this competitor in net revenue. In 2009, Hasbro possessed six percent market share in the $66.3 billion global toy and game industry. According to the DataMonitor report, the most lucrative segment of this industry was infant/preschool representing at

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