Mattel, Inc. is the largest toy company in the world. This largest toy company in the world was founded by Harold Matson and Elliot Handler in 1945, as they started to produce picture frames. However it was Elliott Handler who had a visionary of a side business in dollhouse furniture out of the converted garage (Mattel). As a top company, the primary activities of Mattel are to design, manufacture, and market the toys. As the company’s sales growing slowly, Mattel started to produce varieties of
Executive Summary Mattel has been criticized heavily for having to recall not once but thrice in 5 weeks 20 million toys manufactured in China with lead paint and/or loose, potentially dangerous magnets. Clearly Mattel does not have sufficiently tight quality control procedures in its supply chain to compensate for the extra risks of outsourcing to Chinese subcontractors and clearly there are design flaws in the toys with the magnets that could come loose. Although many observers give the company
MATTEL TOYS RECALL CASE STUDY Product recall: On August 14, 2007, the U.S. Consumer Product Safety Commission (CPSC) in cooperation with Mattel announced five different recalls of Mattel's toys. On September 4, Mattel announced three more recalls. Some were due to the use of lead paint, while others were due to
Case Study 2 – Mattel 1. Do you believe that Mattel acted in a socially responsible and ethical manner with regard to the safety of its toys? Why or Why not? What should or could Mattel have done differently, if anything? As the makers of children’s toys, Mattel has the ultimate responsibility to ensure that every toy is made within the tightest of safety standards. With the case of the Mattel toy recall, the company acted within the spectrum of their code of conduct that was titled Global Manufacturing
an overview of the toys industry. The global toy market was estimated to be $71 billion business in 2007. About 36 percent of the global market was concentrated in North America(about $24 billion), but annual sales in this region were growing at a slower pace. However, the asia market had grew at 12 percent in 2006, and were expected to grow by 25 percent , especially in China and India.There are about 880 companies in the toys industry. The main key players such as Mattel, Hasbro, RC2, JAAKS
In August 2007, Mattel and CEO Bob Eckert were facing an unsteady future. With a recent announcement of a recall of nearly 10 million toys, they had created an uproar in the toy industry. The uproar was concerned with the use of lead paint in toys for children. However, only approximately 1 million of the recalled toys were due to manufacturing process lapses stemming from the Chines facilities. The remainder was due to a design flaw that caused powerful magnets to become loose and fall out,
Based in California, Mattel, Inc. designed, manufactured, and marketed a broad variety of toy products. The company’s core product lines included Barbie fashion dolls, Hot Wheels die- cast vehicles, Fisher-Price preschool toys along with Disney toys and games like Scrabble (Johnson, 2010). Summer of 2007, Mattel, a global leader in toy manufacturing was faced with a tough challenge of restoring their consumer confidence following several recalls of their toys made in China. Mattel known for possessing
HEAD: Mattel’s China Experience: A Crisis in Toyland Unit Three Mattel Case Study Analysis Kaplan University School of Business and Management MT460 Management Policy and Strategy Author: Teresa Binder Professor: Dr. DiMatteo-Gibson Date: January 28, 2011 In 1945, the Mattel brand was born. Ruth and Elliot Handler and Harold “Matt” Matson launched Mattel out of a garage workshop in Southern California. The first Mattel products were actually picture frames, but Elliot soon started using
Mattel designs and manufactures toys that are treasured by boys and girls all around the world. They believe in the influence of play and the power it has on children to grow and learn. This paper will look at who was responsible for Mattel initiating the recall of its toys, whether Mattel acted in an ethical, responsible manner in regards to the safety of their toys, and also look at ways society can protect children from harmful toys. Mattel was founded in 1945 and was run from a garage in
Mattel Case Development of Major Issue Mattel was the world’s largest toy manufacturer with revenue over $5 billion. It had been doing business in China for 25 years. China was Mattel’s most important manufacturing country. 65% of Mattel’s toys were manufactured in China. It owned 5 factories in China and had a network of contract manufacturers for the remainder of production. In August and September, 2007, Mattel recalled for three times globally 21 million problematic toys that were made