Pestle analysis of lego group

Digital transformation to be a game changer for the toy industry 2. Therefore, intensity of rivalry is high. LEGO and LEGO DUPLO elements undergo a series of rigorous physical and chemical tests such as bite test, impact test, drop test, color and substance migration, hazard migration, compression test and hazard classification.

Lego group promotes the concept of learn as you play, empowering growth and development of children.

lego case study answers

The company help through various changed in management from asses to mid asses when Jorge take over showed the capabilities it has to make changes to fend off the challenges faced by the company.

Some people urged that Friends needed more racial diversity.

the lego group adopting a strategic approach

The reputation of the LOGO group by winning award and long history is also a sustainable competitive advantage for them. This interaction mutually benefits both customers and the Group because they have a chance to communicate directly unlike old days. The artist criticized this action as being discriminatory and an outright contradiction to their claim of inspiring young minds and builders of future as they have refused to sell their product to an artist.

Lego swot analysis 2018

These strengths, under the leadership of JorgenVig Knudstorp enabled the group to develop new product line that met market trends for cyber age consumers the on-line game, official website to LEGO Universal , as well as the Hollywood blockbuster movies licensed theme products. In first quarter of Lego even crossed the market leader. It is funny that most of carbon emission comes from supply points not from manufacturing plants. As a result of this situation the company has to be cautious and careful about its designs and make use of patents and copyright laws. Therefore the fluctuations in oil prices may directly affect the profits of LEGO. This move has been a major boost to them because now they have huge group of customers than before. It cited the growing electronic gadget playing games culture in US lately. That is, for instance, if LEGO does not supply the products efficiently during Christmas shopping season, these retailers could totally replace LEGO with other brands of toys on the shelves. This factor forced out LEGO Group out market because the new trends were more attractive than their toys. Based on the statement of International Monetary Fund IMF , they believe that there have to be taken political action to limit the downside risk of the Euro area. To analyses the strategic capabilities, we old use the VIREO framework which evaluates the how valuable, rare, is the capabilities difficult to initiate and whether the organization support the capabilities to determine if it is a sustainable competitive advantage. The technology also has eased payment services because now customers are in a position to use e-payment services. The Group for decades has been major player in toy manufacturing sector in the world. Today it does not matter where the customer is; so long, the customer can afford the product, the Group can send the product to the customer.

The growth in profit was lower than in the recent past due to capacity expansion and organization restructuring initiatives which will equip the company for future growth.

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LEGO PESTEL, Five Forces & Strategic Groups Analyses