Lego Analysis

External Analysis

Toy industry is an industry that manufactures and sells toys for children. This industry would be affected due to six factors, which are political, economic, social, technological, legal, and environmental aspects. There are some opportunities and treats exist that each toy company will face.

Because of both stable economic and political sectors, LEGO and other educational toy companies get opportunity to prosper in the local region and global market, with the way for improvement of products. The society accepts the products that LEGO and other educational toy businesses offered. All the toy companies engage in social activities that help to keep balance and a better relationship between them, clients and the society. The technological factor dictates the trends in the toy industry. Since LEGO keeps update their technologies, they domaine the market all the time.

However, as long as competitors move faster with the new technology or duplicate LEGO's products, this temperary opportunity will turn into threat. Due to the environmental aspect changes, the new product should be considered to meet the new demands of the region and a certain market. Competitors entered the market by launching a new rival product line faster, such as Hasbro, it becomes a obvious threat towards to LEGO. Thus, whether could maintain the dominance position in the market might become the potential threat for LEGO.

Internal Analysis

(a) Definition of Business:

LEGO is a line of construction toys manufactured by the LEGO Group, which is a privately owned company based in Bilund, Denmark. The mission of LEGO is to inspire and develop children to think logically and creatively, releasing the potential to shape their own future. Along with its vision that is to pioneer new ways of playing their products, also leveraging globalization and digitalization. LEGO will focus on the company's core products and markets in order to continue increasing its sales and...