Mattel Case Study

3190 words - 13 pages

Mattel Inc., headquartered in El Segundo, California was the global leader in design, manufacture and marketing of toys and family products. Mattel toy lines included such best selling brands as Barbie, Hot Wheels, Matchbox, American Girl, Radica and Tyco as well as Fisher-Price brands including Little People, Power Wheels and a wide range of entertainment-inspired toys. Mattel sells their products in many stores such as Toys R Us, K-Mart, and Wal-Mart. Pretty much all of Mattel's sells come from the store outlets. In the year 2007, Mattel manufactured roughly 65 percent of its toys in China. Initially they used outside contractors but out of concern over protection of intellectual property at risk, Mattel operated its own factories in China starting in 1987. In addition Mattel contracted production to between 30 and 50 Chinese firms many of which had relationships with other subcontractors. In terms of competition, Hasbro is the second largest toy maker behind Mattel. They began in Hong Kong. Their toys and brands include G.I. Joe, Tonka Toys, Nerf Balls, Weebles and board games such as Scrabble, Candy Land and Monopoly. Their revenue in 2010 was $3.84 billion and about 50% of their sales came from Wal-Mart, Toys 'R' Us and Target. Hasbro's suppliers have to meet with international standards. Employees of Hasbro and ICTI auditors inspected vendors. They had no recalls for lead-paint, but had recalls related to burn dangers with its Easy-Bake Oven.JAKKS Pacific makes and sells action figures for World Wrestling Federation, die-cast and plastic cars, preschool toys, pens and markers, fashion dolls and pet products. They had revenue of $742.2 million in 2010 and 60% of sales came from Target, Toys 'R' Us and Wal-Mart. They avoided lead-paint recalls, but still recalled 245,000 battery packs for toy vehicles made in China.LEGO Group is the fourth largest toy maker. In 2009, they had sales of $2.2 billion. Their toys consisted of licensed products from television and movie releases such as Bob the Builder, Star Wars and Indiana Jones. They recalled 358,000 plastic trucks containing LEGO Duplo bricks.RC2 is one of the larger toy companies. They had revenue of $427.3 in 2010. They sell licensed products such as Thomas & Friends, Bob the Builder and NASCAR vehicles. They recalled 1.5 million Thomas & Friends wooden trains. This company was the least dependent on the three largest retailers; Wal-Mart, Target and Toys 'R' Us which accounted for 38.9% of sales.Mattel sells their products in many stores such as Toys R Us, K-Mart, and Wal-Mart. Pretty much all of Mattel's sells come from the store outlets. In the year 2007, Mattel manufactured roughly 65 percent of its toys in China. Initially they used outside contractors but out of concern over protection of intellectual property at risk, Mattel operated its own factories in China starting in 1987. In addition Mattel contracted production to between 30 and 50 Chinese firms many of which had...

Find Another Essay On Mattel Case Study

Mattel Outsourcing Essay

1041 words - 4 pages Mattel outsources manufacturing to Indonesia, Malaysia, Thailand, Mexico, Ireland, and China. Most outsourcing is done through China accounting for 65% of Mattel’s total production. Mattel owns one plant in the USA, and Ireland with the reaming in Mexico and Asian countries. Mattel uses these in-house manufacturing plants for about half of their production which is relatively high in comparison to Hasbro which uses nearly no in-house production

Mattel Toys Essay

8731 words - 35 pages MattelBargaining Power of Supplier (+)In this case, the Internet has provided Mattel with greater power over their suppliers. With an infinite amount of access to information on competing suppliers, Mattel can have greater control over who they contract for production should one of their suppliers choose to not comply with the standards of Mattel.By implementing a differentiation strategy through superior product quality, Mattel will further differentiate them

Mattel and Toy Safety

1666 words - 7 pages that the problem would be solved, the recalled products would be collected and replaced, and that the company would never let this type of incident happen again. In the contents of this case there are several management and safety issues and areas for improvement. One issue is Mattel, Inc.’s responsibility to its stakeholders; to its customers, to its stockholders, to its employees, and to its suppliers. The responsibility to Mattel’s customers is

The Mattel Barbie Doll

1624 words - 6 pages , toy distributors, Mattel offices and etc. for the production and consumption of Barbie dolls are numerous. To date, over half a billion Barbie’s have been sold in more than one hundred and forty countries. Each week, Mattel sells over 1.5 million dolls; two dolls per second are sold (Toys and Games: Barbie Dolls). The sheer number of Barbie dolls sold is an indication of the on-going ties and involvement between Mattel’s Head

Business Analysis: Mattel

1213 words - 5 pages Mattel, Inc. is the largest toy company in the world. This company designs, to manufacture, markets, and distributes a large amount of different toy products to over 150 countries worldwide. From Picture Frames to Mattel Toys (1945-49) The founders of Mattel, Inc were Elliot and Ruth Handler 1945, where they lived during a fast changing postwar time. Handler started with designing light fixtures and soon started making furniture, which they

Mattel Catastrophe in China

1856 words - 7 pages imperative that they are aware of the issues they may face when doing business internationally. In the case of Mattel, the lack of safety standards and cultural issues may have been their biggest downfall. Had they done some research prior to their entry into the Chinese manufacturing industry, their outcome may have been very different. The upfront costs of manufacturing in China may be appealing, but Mattel suffered large financial loss and

Organizational Behavior: What it means to any Organization today

849 words - 3 pages Abstract:Organizational Behavior is the study on how people and individuals act in an organization and how management interacts with its employees. Study and application of many different types of organizational philosophies has created a systematic approach on how to deal with the various people-group interactions. OB can cover a wide range of topics such as people adjustment to change or lack of, Individualism versus teamwork, social systems

Lead Poisoning: America Will Suffer

1927 words - 8 pages nation right now. Children’s toys imported from China are found to be contaminated with high levels of lead and infecting American children with lead poisoning. Some people may say that this is an unnecessary argument, that China isn’t doing anything harmful, maybe it was just a few faulty toys, but that sadly, is not the case. Over the last several years, thousands of cases of lead poisoning in children from toys were reported. In order to turn

Barbie - A Complex American Icon

3684 words - 15 pages As a young girl, I was not very interested in playing with baby dolls. I preferred playing with my many stuffed animals or the only doll I did like—Barbie. With my animals, usually I was rescuing them from some horrible disaster such as a flood or a forest fire. I was their heroic savior and benevolent protector. But with Barbie this was decidedly not the case. Sometimes my Barbie did normal Barbie things, such as get dressed up for an exciting

eating disorder

1364 words - 5 pages the healthy foods he was consuming otherwise, would be good compensation. Esther is convinced that the rapid weight gain was not due to outside factors - she blames the fast food consumption. Josh is now only allowed to eat fast food once or twice a month and his weight gain has become more normal. Esther jokingly said, “I have learned my mistake with the first kid, I won’t do the same with the other one.” Although, this case study is very

Wal-Mart Business history and practices

1350 words - 5 pages Forces Analysis, Retrieved 31 October 2007 from, M. 7 Birkinshaw, J. (2007, June). The Innovation Value Chain. Harvard Business Review, 121-130, Retrieved 13 November 2007 from http://search.ebscohost.comLawless, Michael, 2001, WAL-MART.COM: A Case Study in Managing Technical Transitions. Retrieved 14 November 2007 from Analysis: Lesson, Retrieved 31 October 2007

Similar Essays

Mattel Case Study Response

795 words - 4 pages The company Mattel is a toy empire which produces some of the most popular children’s toys such as Barbie and Elmo. Traditionally, Mattel has been praised for being one of the best corporate citizens and showing magnificent social responsibility, but in recent history, this has not been the case. Mattel went through a period of turmoil and government backlash which arose in 2001 and yet again in 2007 when they produced millions of unsafe toys

Mattel And Toy Safety Essay

1483 words - 6 pages consumers’ needs, which should be every toy firm’s main goal Our week five case study, Mattel and Toy Safety, involves toy safety inspection and product recall concerns among outside contractors. In 2007, the infamous toy company, Mattel, recalled a very large number of toy products covered with lead-based paint that were manufactured in China. Mattel responded to the massive toy recall by increasing the testing of all products and reassuring

Mattel Essay

1638 words - 7 pages The year is 1945, when the toy company Mattel is born. Along with truly great toys, this company gives a lot to the community and environment as well as being the world's leading toy company. Mattel is the worldwide leader in the design, manufacture, and marketing of toy products. The company's major brands include Barbie, Hot Wheels, Matchbox, Fisher-Price, and American Girl. With headquarters in El Segundo, California, Mattel has offices and

Mattel Toys And The Hazards Of Lead Paint

2373 words - 9 pages undermines the corporate social responsibility (CSR) issue in three perspectives: quality control, failure to act beyond complaints, and disclosure of information. Overall, I believe that Mattel acted in a socially responsible and ethical manner regarding the safety issue in 2007. According to the case study, Mattel has always been recognizable as a corporation with strong social, cultural, and environmental responsibilities to the community