• Research Paper on:
    Lego; PEST and SWOT Analysis

    Number of Pages: 3


    Summary of the research paper:

    This 3 page paper looks at the difficult position of Lego, and analyses it with a PEST analysis that looks at the political, economic, social and technological factors. The SWOT analysis considers the strengths, weaknesses, opportunities and threats that face the company. The bibliography cites 2 sources.

    Name of Research Paper File: TS14_TElegope.rtf

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    Unformatted Sample Text from the Research Paper:
    finds itself is easier to understand. Political When Lego first stated the political environment was very different. The European Union was in the very early stages, and much of  the world was still isolated. The bringing down of barriers for trade has extended the potential market, widening the potential market, but also increasing the level of competition. For example,  Lego is the forth largest toy company, Mattel and Hasbro and first and second, but it is Japanese Bandai that is in third place. China joining the World Trace Organisation  has also increased potential market, as well as threats, with the difficulty in enforcing judgments for the breach of patent breaches. Economic The company is in a poor economic  condition. Profits have been erratic, for twenty years profits had grown by 10%, a fall of 34% was seen in 1995 and 1996 saw a loss, as have 1998 and  2000. Net sales in 2002 appear to be increasing being up to DKK 11,463 million, up from 10,670 million in 2001 and 9,467 million in 2001. However, profits for 2002  are falling again, from 433 million in 2001 to 4298 in 2002 (Lego, 2004). The decline may reflect dome of the economic decline, as there has been global stagnation, making  many markets more price sensitive and allowing lower cost competition to enter the market. However, the economic conditions have not been as volatile or extreme as the results of Lego.  Social The target market has changed. Children are demanding more sophistication on toys they play with, and as such the profile of the target market has changed. Whilst construction is  still a market, it need to provide more such as robotic abilities. The target market are also used to being recipients of advertising to give them perceptions, The absence of 

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