Lego Toys - The Story of Playful Learning*

            


Details

Case Code : CLCB050
Publication date : 2005
Subject : Consumer Behavior
Industry : -
Length : 06 Pages
Price : Rs. 100

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Key words:

LEGO Group Company, LEGO, LEGO toys, LEGO magazine, LEGOLAND Parks, LEGOLAND, Mindstorms, Educational toys and Toys

Note

* This caselet is intended for use only in class discussions.
** More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.

 


Abstract: ICMR India ICMR India ICMR India ICMR India RSS Feed

LEGO Group is the manufacturer of LEGO toys, one of the most popular brands of toys in the world. Lego Toys - 'The Story of Playful Learning' describes the success story of the LEGO Group. It also explains the initiatives the company took to adapt its products to the changes in tastes and preferences of children over the years. The LEGO Group's brand protection efforts are also discussed in detail.

Issues:

» Toys for the development of non-academic skills of children
» Quality maintenance for the success of a brand
» Brand protection efforts

In 2005, the Denmark-based LEGO Group was one of the world’s largest manufacturers of toys. The Group started its operations in 1932, making wooden toys. Later it diversified into making plastic bricks, which were introduced in the market as Automatic Binding Bricks. LEGO toys (Refer Exhibit) consisted of small plastic bricks of different shapes and colors, which could be assembled into various forms.

The introduction of Acrylonitrile Butadiene Styrene, better known as ABS plastics for making the bricks was a major development as it was non-toxic and more resistant to heat, chemicals, etc...

Questions for Discussion:

1. Identify the strategies which helped the LEGO Group to remain one of the prominent toy manufactures in the world even after many decades of its inception.

2. "The toy market has been declining for some time and is extremely competitive. To consolidate its position, the LEGO Group chose to sell its majority holding in the LEGOLAND Parks in order to focus on closer relations with our customers and consumers, improved marketing, and a greater emphasis on core products." Do you agree with this statement?


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