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Lego Case Analysis

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by

Rachel Bartels

on 17 April 2013

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Transcript of Lego Case Analysis

Established in 1932 by Danish carpenter Ole Kirk Christiansen in Denmark

2009 Lego was the 5th largest manufacturer of toys.

Lego Brick was the company's main product.

The name 'LEGO' is an abbreviation of the two Danish words "leg godt", meaning "play well". Obstacle 1 Obstacle 2 Obstacle 3 Goal Start SWOT Analysis Recommendations Lego Case Analysis Kristina, Rachel, Jessica,
Sarah, & Emily Vision

"Inspire children to explore and challenge their own creative potential." Company Profile External Analysis Strengths:
-Globally Diverse Markets
-Recognizable Brand
-Adapting to Market Trends

Weaknesses:
-Standardization
-Internal Communication

Opportunities:
-Easy to Expand Brand
-Technological Advancements

Threats:
-Market Trend Changes
-Dependence on Global Markets Financial Analysis Corporate Strategy Business (Competitive) Strategy - Differentiation Strategy
-"We want to be the best, not the biggest."
- Jørgen Vig Knudstorp, CEO
-New product development and innovation
-Create a synergy between physical play and
digital play
-Targeting Middle Class Families 1. Lower Prices
2. More licenses - i.e. Disney Princesses
3. Explore more low cost production options Adventurous journey
Sustainability and Progress goals Financial Crisis Between 1988 until 2004
Thirty percent decrease in revenues
By 2004, a ten percent decrease in revenues
Company manufacturing and distribution
Problems with free rein design Product Characteristics Unlimited play potential
For girls and for boys
Fun for every age
Year-round play
Healthy, quiet play
Long hours of play
Development, imagination, creativity
The more LEGO, the greater the value
Extra sets available
Quality in every detail
Full transcript