Strategic Expansion Of The World

To achieve its business strategies the LEGO has taken the help of the IT vendors IBM and SAP for the establishment of their IS making it possible to extend more quickly and add capacity and functionality as it was needed. Supporting massive expansion brings its own challenges, one of which is to ensure that the underlying systems can scale reliably and effectively. The main issues with the supply chain management, end customer feedbacks, product profit accountability, spread its market and the various unit functioning etc. had been addressed completely by the advent and the establishment of the efficient IS for the business.

On one hand, partnering with such supplier has offered the company the greatest freedom to operate. One the other hand, technological spillover and inventions came up from the developmental stage are also likely to occur. The worst case is that competitor might protect those inventions which prevent the LEGO Group form using their own innovation. Protection of those inventions is deemed necessary to the growth of the

LEGO, today, has become a household name but it hasn't always been that successful. Throughout the years, it has survived and thrived against all odds, repeatedly.

Lego Corp was established in 1932 by founder Ole Kirk Kristiansen. With just 10 employees, they start crafting wooden construction toys. The most famous of these were the wooden duck. As the popularity of plastic toys rose in the mid-1950s, the company did away with wooden toys and started focusing on manufacturing plastic automatic binding blocks. As early as the beginning of the company, their motto was “Only the best is good enough.” High quality and safe products have been the focal point of LEGO Group for decades. Over the years LEGO Group has kept its word on that motto and has supplied millions of families with creative toys that last.

The Lego Cast Study is about how the toy company has been affected by the rapid and vast change in the way children play with toys and their preference of the same. Historically, Lego’s have been a top rated toy for children and when that quickly changed Lego was not expecting it and furthermore not prepared. The company began to lose money, “by 2004, the company found itself close to extinction, losing $1 million a day.” (Saunders & Pearlson , 2013)

LEGO is a Danish company that was established in 1932. LEGO started in a small carpenter’s shop and has transformed into one of the world’s largest toy companies and most recognizable brands (lego.com). Specifically, LEGO produces small plastic bricks that can be put together to create larger creations. Bricks are sometimes sold in packs that create a specific creation, such as Star Wars ships or police stations, or they can be sold in packs that let the consumers make their own creations using their imaginations.

LEGO,  like  most  companies  in  the  toy  industry  are  fighting  to  stay  profitable  in  this

Over the years the company’s management has searched for alternative manufacturing sources, even participating in the setup of Chinese manufacturing facilities with a second Korean supplier. They have also searched in Malaysia, Singapore and other Asian countries but none have the combination of raw material sources and transportation facilities that can compete with the Chinese. Accordingly, China has a lock on the world’s toy manufacturer business.

one are the days when companies looked at China as a monolithic land of 1 billion potential customers. Companies are now focusing on how to capture small segments of China’s giant market, and none of these segments is as attractive or as full of potential as the country’s rapidly growing—and multifaceted—middle class. As China’s economy continues to grow, more people will migrate to China’s booming metropolises to find better-paying jobs. These working consumers, once among the country’s poorest, will steadily climb

Moreover, there is insufficient information regarding LEGO in the Malaysian market. Most of the information available refers to the situation or example in the western

Recent research reveals China has about thirty five most lucrative cities for business investment depending on the industries of operation, it was said that there are challenges in business regardless of location, in China for example, integral to business growth is cultural issue as well as intellectual property protection, but with meticulous planning, research, and strategy, these issue can be effectively minimize (Shopify, 2015).

* China’s toys and games market recorded 10% year-on-year growth in 2011 reaching around $11 billion, reportsGlobal Sources. Market growth is hampered by low overseas sales due to slow recovery from the debt crisis. Key factors for the industry moving forward include identifying new sources of demand and adhering to increasingly strict safety standards.

Lego has many diversified products, but the base of all of them are the plastic Bricks, which actually makes the company successful as the result of the possibility of rebuilt the

This paper will explore issues Mattel, U.S. toymaker faced when it decided to opens its door in China. The store was designed to cater to young girls who may be interested in purchasing Barbie doll clothing and accessories. The flagship store had to close its doors in two years, because of global cultural issues that hadn’t be well thought out. This paper will discuss those issues and it present some solutions on how Mattel can be successful in the Chinese consumer market.

The LEGO Group is a privately held company based in Billund, Denmark. It was founded in 1932 by Ole Kirk Kristiansen, initially a small carpenter’s workshop (Lego Group, 2011). It has since grown into a modern, global enterprise that is now, in terms of sales, the world’s fourth-largest manufacturer of toys (Keynote, 2010). The LEGO Groups core product is a line of plastic, interconnecting building bricks, predominantly targeted at children aged 3-14 years, sold in over 130 Countries (Encyclopaedia of Consumer Brands, 1994). The LEGO Group operate globally in the Toys & Games sector, with the UK market valued at