Thursday, January 12, 2017

Final Degree Project

In the task 2 we are require to do a report as what we want to do for our final project. This is the report that I manage to do



INTRODUCTION
Today’s modern life is surrounded with tech products. The technology has been growing rapidly for quite some time, and has now become an important part of life. The technology has its impact on people of all fields and ages. Yeah, it has impacts on children as well. As we know all the things have their good and also the bad impact to our self and also to the surrounding. Same is the case with the technology’s impacts on children. For the proper growth of your children, it is highly necessary for you to have knowledge of positive and negative impacts of technology on them but there is more to negative effect to the children such as for their social relationship. Technological gadgets have posed a bad impact on social relationships. Children are addicted to gadgets. They don’t have time to sit with their parents and to spend some good time with them. They prefer to connect with their friends and relatives via text messaging, chatting etc., rather than meeting them actually. Means, they are connected with others in the virtual world, but not in the real world. Therefor the Lego exhibition booth is one of the ways for the children to communicate with each other. They will feel the excitement and also having some fun inside the exhibition booth and learn how communicate well to each other. 

 PROBLEM STATEMENT AND ISSUES
While there are many fine, educational websites and television programs, allowing a child too much time with electronics may cause problems in the long run. Computers, tablets and smartphones can make life more convenient, but physical health, language acquisition and social skills may suffer if time using electronics isn’t tempered with time in the real world. Children nowadays always spent more on their time to gadget, according to a January 2010 study by the Kaiser Family Foundation, children from the ages of eight to 18 spend an average of seven and a half hours each day interacting with an electronic device not including the hour and a half children at these ages text or the time they spend talking on the phone.  A child’s language acquisition can be stunted by too much time in front of the television. Too much time with passive electronics can also make it more difficult for children to develop social skills and understand the consequences of their actions.

OBJECTIVE AND AIM
AIM
: To build communication among children without gadget.
OBJECTIVE
: To expose children on how to interact or communicate each other without gadget
:  To identify on how children nowadays communicate with each other.
: To create an exhibition booth that allows children practice their communication.
  
COMPANY OVERVIEW

The name 'LEGO' is an abbreviation of the two Danish words "leg godt", meaning "play well". The LEGO Group was founded in 1932 by Ole Kirk Kristiansen. The company has passed from father to son and is now owned by Kjeld Kirk Kristiansen, a grandchild of the founder. It has come a long way over the past almost 80 years - from a small carpenter’s workshop to a modern, global enterprise that is now one of the world’s largest manufacturers of toys. The brick in its present form was launched in 1958. The interlocking principle with its tubes makes it unique and offers unlimited building possibilities. It's just a matter of getting the imagination going – and letting a wealth of creative ideas emerge through play.
LEGO is one of the life style brands that are focus on family and also the children. LEGO product consists of brick and also toys that will give the children and also the family the experiences and also teaching aides geared towards children. Other than that LEGO company also have a video and also the online games that use the theme of LEGO brick set. Besides that LEGO also have their own theme park that call LEGOLAND theme parks.

BUSINESS DESCRIPTION
Lego philosophy that good quality plays enriches a child life and lays the foundation for later adult life. According to the Lego group that they believe that play is a key element in children’s growth and development. In the same time it also stimulates the imagination and the emergence of idea and creative expression. Other than that all Lego products are based on this underlying philosophy of learning and development through play.
The motto for the Lego company is det bedste er ikke for godt which means roughly ‘the best is never too good’. True to its motto, the Lego group has been emphasising the importance of high quality since 1932. Besides that Lego is also one of the  systematic creative, this is because Lego brick are all part of the Lego system, which essentially means that they can easily be combine in innumerable ways and just as easily be dismantled. The more Lego brick you have, the more fertile your creativity can becomes.
The Lego Group wants to leave a positive impact that is it in respect to the Group’s stakeholder or the wider community. The Lego Group is committed to caring for the environment and the society that children will inherit, and to inspiring and developing the builders of tomorrow.

COMPANY HISTORY
·         1932 – Chiristiansen family founded Lego in Billund Denmark as a carpenter company.
·         Lego tag line “play well” in Danish
·         1935 – First product lunched – Lego Duck
·         1956 – Lego goes international
·         1958 – Lego brick lunched that lead to creativity and imagination
·         1961 – Lego established in USA/ Canada
·         1968 – First LEGOLAND opened in Billund
·         1999 – First USA LEGOLAND openedin Canada
·         Now – World’s 4th largest manufacturer in toys. Now 10000 employees in 130 countries
·         Latest developments: Themed Lego sets and games.

LOCATION
·         Bricks Smart Lego Store
-       5 – 10, Jalan Mahkota Residence 2, Bandar Mahkota Cheras, 43200 Cheras, Selangor.
·         Mighty Utan Lego Store( Petaling Jaya)
-       Unit A -07 – 03 Block A, Menara Prima, Jalan PJU1/37, Dataran Prima Petaling Jaya, Malaysia
·         Mighty Utan Lego Store (Cheras)
-       1F- 23A, Cheras Sentral Mall, Off Jalan Cheras, Jalan 2/142a, 56000 Cheras, Malaysia
·         Lego Shop
-       Empire Shopping Gallery, F27 1st Floor, Jalan SS16/1, Subang Jaya, 47500 Petaling Jaya, Selangor, Malaysia
·         Lego Certified Store Queensbay Mall
-       2F, Queensbay Mall, 100, Persiaran Bayan Indah, 11900 Bayan Lepas, Pulau Pinang, Malaysia
·         Brick Sanctuary
-       Lot 217, 2nd Floor, Amcorp Mall, Persiaran Barat, 46050 Petaling Jaya, Selangor, Malaysia
·         De Toyz Shop
-       Jalan Dato Bandar Tunggal, Bandar Seremban, 70000 Seremban, Negeri Sembilan, Malaysia
·         Lego
-       The Gardens, S-211, Lingkaran Syed Putra, 59200 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia

·         Toy Garden
-       P6.24.10A, Level 6, Tokyo Street, Pavilion Kuala Lumpur, No 168, Jalan Bukit Bintang, 55100 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia
·         Lego Store
-       Lot 168, 1st Floor, The Curve, 6, Jalan PJU 7/3, Mutiara Damansara, 47810 Petaling Jaya, Selangor, Malaysia
·         Toy R Us (Malaysia) Sdn Bhd (165401-A)
-       Sunway Pyramid Shopping Mall, Lot LG1.20, Jalan Pjs 11/15, Selangor, Bandar Sunway, 46150 Bandar Sunway Shopping Mall, Selangor, Malaysia
·         Brickboy Toys
-       The Gardens, T203b, Lingkaran Syed Putra, Mid Valley City, 59200 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia
·         Toy Li Fung (Malaysia) Sdn. Bhd. (Fomerly Known As Toy "R" Us (Malaysia) Sdn. Bhd.
-       Aeon Tebrau City Shopping Centre, Lot. F48, 1st Floor, No. 1 Jalan Desa Tebrau, Taman Desa Tebrau, Johor, Taman Desa Tebrau, 81100 Johor Bahru, Johor, Malaysia
·         Toys 'r' Us
-       Mid Valley Megamall, F-ja2a, Lingkaran Syed Putra, Mid Valley City, 59200 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia
·         Impulse Gaming (Sunway Branch)
-       79, Jalan PJS 11/9, Bandar Sunway, 46150 Petaling Jaya, Selangor, Malaysia
·         Impulse Gaming (JB Branch)
-       1-07, Plaza Mentari, Jalan Kuning, Taman Pelangi, Taman Serene, 80400 Johor Bahru, Johor, Malaysia
·         Toys 'R' Us
-       60, Jalan Sri Hartamas 1, Sri Hartamas, 50480 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia
CORPORATE VISION AND MISSION
Mission:
‘Inspire and develop the builders of tomorrow’
Lego company ultimate purpose is to inspire and develop children to think creatively, reason systematically and release their potential to shape their own future - experiencing the endless human possibility.
Vision:
‘Inventing the future of play’
Lego company want to pioneer new ways of playing, play materials and the business models of play - leveraging globalisation and digitalisation...it is not just about products, it is about realising the human possibility.

COMPANY CURRENT PROMOTIONAL STRATEGY
 The LEGO Group, the LEGO Foundation and UNICEF launch campaign to celebrate and inspire play and learning on 26 September 2016. The LEGO Group, the LEGO Foundation and UNICEF today launch a new campaign to help celebrate parents’ special play moments with their children and to inspire families to explore new ways to help young children play and learn.
On 6 July 2016, The LEGO Group shares plans for new office building in Billund workplace and fun place. Collaborative space and play space. Those are some of the features integrated in the new LEGO® building complex serving as global gathering point in the LEGO Headquarters.
The LEGO Group is exploring plans to invest in Danish headquarters on 5 April 2016, a unique global gathering point for all LEGO® employees, new office buildings, test-facilities and a new Sustainable Materials Centre are all elements in potential long-term investment plan for the LEGO Group headquarters in Denmark

On 30 March 2016, New LEGO® Minifigures Series Features First-Ever Disney Character Edition. From Disney’s collection of timeless animated characters, the LEGO Group introduces minifigure versions of the beloved Mickey Mouse and Minnie Mouse characters, their temperamental friend Donald Duck, and his leading lady, Daisy Duck. Enthusiasts of 1950s Disney stories will appreciate the inclusion of Alice and the Cheshire Cat from Alice in Wonderland, Peter Pan and Captain Hook from Peter Pan, and the evil witch Maleficent from Sleeping Beauty. Disney fans will also love minifigure versions of Ariel and Ursula from The Little Mermaid and the beloved Genie and Aladdin from the fictional city of Agrabah featured in Aladdin, plus the ultimate alien friend, Stitch, from Lilo & Stitch. For the Disney•Pixar-Inspired Heroes and Villains two Disney•Pixar characters never-before-seen in the LEGO world become minifigures – Mr. Incredible and archenemy Syndrome from Disney•Pixar’s The Incredibles. Additionally, fans can collect minifigure versions of two icons from the beloved Disney•Pixar’s Toy Story – Buzz Lightyear and the squeak-toy Alien from Pizza Planet.


Demographics
Age: 6 – 12 years old
Gender: Female and male
Education: Primary and secondary school
Occupation: Students
Income: -
Race and Ethnicity: All Races
Geographic Location: Sub-urban, and urban


The Market Place
The LEGO Group is a privately held, family-owned company with headquarters in Billund, Denmark, and main offices in Enfield, USA, London, UK, Shanghai, China, and Singapore. Founded in 1932 by Ole Kirk Kristiansen, and based on the iconic LEGO® brick, it is one of the world's leading manufacturers of play materials.
Lego is a company that produce a brick toy for children to build their creativity in modelling something. Nowadays, Lego have developed their product into games and also into movie. The latest movie that using the Lego toys are Batman movie that will release on February 2017.   

Current Condition of Market Place
            This collectible series of LEGO Mini-figures will be widely available for purchase in all major toy retailers, as well as at shop.LEGO.com and in LEGO Stores nationwide in May, with a suggested retail price of $3.99 (USD) each.
            On 30 March 2016, the Lego group announce its 18th collection of LEGO® Mini-figures starring some of The Walt Disney Company’s most beloved characters inspired by stories from across the entire Disney universe. Eighteen new mini-figures bring to life in LEGO form for the first time the playful personalities of some of the most iconic characters from Disney classics such as Peter Pan and Alice in Wonderland to Disney Pixar favorites like The Incredible and Toy Story.  

DIRECT COMPETITOR



Mega Blok

Legos biggest competitor. Mega block provide colourful and durable bricks for children’s and more advance set for older kids.



Tyco Toys

Tyco produced similar building bricks for a period but the production slowly faded.



Coko Bricks

Lego sued the coco company in 2002 for copyright infringement for their ‘Coko Bricks’

INDIRECT COMPETITOR



Build a Bear

Customizable teddy bears and consumers to engage in the building process



Play Doh

Clay like product that is very ‘hands-on’ for the consumer where they are able to play with it and create their own shape out of it



Etch a Sketch

A mechanical drawing toy where drawing can be drawn, easily erase and drawn again.



On the one hand, this limitation relates directly to the customer base. Most of the LEGO customers are children between 5 and 12 years old. The potential is high, the market is large, but it is also finite. The older the customers get, the more their interest in LEGO products fall. When children grow up and become parents their interest increases again, but the gap between small children and grown-up parents is noticeable and it is now mainly filled by the video game industry.
 
STRENGTH
LEGO has the impressive ability to transform the potential that is latent in popular culture. LEGO blocks can be used to build The Tower of Orthanc from Lord of the Rings or The Death Star known from The Star Wars series. The ultimate power of the LEGO brand is obvious also to consulting firms. In the latest annual Global 500 Report, LEGO was named the world’s most powerful brand surpassing giants such as Ferrari or RedBull. Even though more expensive, LEGO blocks are perceived as more valuable and ‘cool’ than competitors’ products. People love LEGO. Mainly because they are connected with beautiful and powerful memories. Customers like me, who are now in their 30s, played passionately with LEGO when they were children. Now, they are sharing this passion with their children. Playing with LEGO with a child brings back old memories and the consumption wheel keeps spinning. Because of this, LEGO customers are also mostly loyal and engaged. The Danish company does not underestimate this, and tries to get the most from this engagement. In 2008, they launched a website called LEGO Cuusoo (now LEGO Ideas) which allows the customers to submit their own ideas for sets, which can later on be transformed to actual products. LEGO Cuusoo has allowed products such as LEGO Minecraft to be available commercially.
WEAKNESS
LEGO is going to the cinemas for a reason. The Danish corporation wants to engage in movie production to diversify its portfolio. LEGO is widely popular, but it still can be perceived as very limited. Focusing mostly on one line of products can be an advantage, but can also easily transform into a big weakness.
In the picture, you can see the chart which lists the weaknesses of LEGO with the biggest impact on their opportunities and threats. The first position is held by a limited selection of toys for a reason. Compared to competitors, the number of available LEGO products can be perceived as relatively small. Ultimately, Danish toymaker produces mostly plastic construction blocks.

On the other hand, a small selection of products drives prices, which are relatively high. This isn’t a problem in developed countries such as the United Kingdom or Australia where parents spend almost a $1,000 a year on toys for their children, but for parents in developing countries where the market is also promising the price for LEGO products can be too high.

OPPORTUNITIES
This connection to the popular culture is also one of the biggest opportunities for the company in the near future. Cooperation with popular brands can lure the youngest customers into wanting the product. The example of this type of licensing was mentioned earlier regarding Minecraft-related products. Minecraft, produced by the Swedish company Mojang is a very popular video game recently bought for $2.5 billion by Microsoft. The biggest asset of Mojang is that it is loved by its customers. Direct competition with Minecraft could be difficult for LEGO, therefore the Danish toymaker decided to take a different approach. They joined forces with Mojang and developed sets based on the popular game. This is how they extended the experience of children from virtual reality to the real world. Children still love Minecraft, but because they love it they also want toys connected to it.
But LEGO wants to go beyond just adopting someone else’s ideas into their world. They want to expand their brand beyond toys.

WEAKNESS
The prices of the LEGO products can be particularly important when we look at them in light of the growing competition. In the past, the Danish company’s dominance was secured by trademarks and patents, but beginning in the early nineties when most of the important patents expired the company has been facing a flood of cheap imitators.
Mega Bloks
Companies such as Mega Bloks in Canada produce bricks which, on the one hand, are less durable and have lower quality, but, on the other hand, are compatible with Lego and still cheaper. Moreover, other companies producing mostly in developing countries can flood the market with counterfeit goods falsely branded as LEGO. Whether the threat is serious depends mainly on the customers, but from the parents’ point of view, investing more money in a toy which by its very definition can be later on thrown away can be easily perceived as a waste of money. Why should I bother buying LEGO if I can buy more blocks for the same price?
But other toy makers are not the only danger to LEGO’s position. Another important threat comes from a very different field — virtual reality. When I look at my nephews, I see children whose main recreation activity is spending time with noses in front of tablets. Games give them more freedom and allow their imagination to flourish more easily. They can be changed when children become bored. They can be easily replaced because they are cheaper.

 
 

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