...Marketing Mix MKT/421 February 11, 2013 Ron Stripe Marketing takes a day to learn. Unfortunately it takes a lifetime to master – Phil Kolter. Marketing involves so much more than simply selling a product or service. It involves planning and preparations that requires an organization to connect with their customers on a much deeper level. A marketing mix is one of the most valuable tools an organization can utilize to create such a connection. The marketing of an organization includes so many variables; therefore, it is necessary to categorize these variables by product, price, place, and promotion, which are the 4P’s of the marketing mix. These categories are the framework for just about every successful organization in today’s market. An organization like Fisher-Price understands how important a marketing mix is to compete in a market that is saturated with developing young minds; which in fact, was the driving force behind their refreshing new approach to stay connected with today’s moms. The Marketing Mix What is a marketing mix and how does it affect an organization? The answer to this question is what all business owners and managers need to know to contend in the highly competitive market of this day and age. The term "marketing-mix," was first coined by Neil Borden, the president of the American Marketing Association in 1953. It is still used today to make important decisions that lead to the execution of a marketing plan. The various approaches that are used...
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...Mattel Toys. Just the thought of those two words brings to mind fun, a trusted brand, and children playing happily. Right? Maybe not. In 2007 there was a massive recall of toys, eighty-percent of which were made in China and coated in leaded paint (Lawrence/Weber). These were toys for little children. Little children usually put toys in their mouths, the toys get slobbered on, the leaded paint chips, little children obviously eat the paint chips and little children get become very ill. While Mattel had policies in place, it did not meet its ethical responsibility to its stakeholders and customers. Mattel has an ethical and corporate responsibility to manufacture a product that is safe for children, to take responsibility when their products are found to be unsafe and to follow government and company regulations to ensure safety. Mattel was believed to be one of the most trusted toy companies around the world that operated in 155 countries. They produced some of the most famous toys for children, such as Barbie, Cabbage Patch Kids, Fisher-Price, and many, many other amazing toys. Beyond concerns about marketing to children, Mattel, Inc. was making a serious commitment to business ethics. For example, Mattel started a code of conduct called "Global Manufacturing Principles” (Mattel.com). These philosophies required all business partners to commit to ethical standards that relate to safety, wages, and adherence to local laws However, recently Mattel was involved in a product...
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...Table of Contents Case 1 Petrobras 3 Case 2 Mattel Toxic Toys – Dangerous Play 3 Case 3 Discrimination in sports – «Williams Brothers» 5 References 5 Introduction In this essay I want to analyse three cases, connected with unethical behaviour in Business. First two cases cover company-wide wrongdoings in big and well-known companies, as Petrobras and Mattel. And the third one is individual-wide case about gender discrimination in sport. Thus, according to these three cases, importance of ethics consideration in any actions will be revealed. Case 1 Petrobras Short summary: Ethical considerations/issues: Dilemmas of the decision-maker: Goals of the decision-maker: Values and interests of stakeholders involved: Stakeholders Values Interests...
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...Portfolio American Girl Fisher-Price Other Fisher-Price Friends Other Barbie Latin America Asia-Pacific North American (US, Canada & American Girl) $7.1B Fisher-Price Core Entertainment Other Girls $7.1B Europe Wheels 2013 Gross Sales by Brand Source: Mattel 2013 10-K 2013 Gross Sales by Region 2013 Financials At-A-Glance $7,117.8 $2.58 $7,052.6 12 $6,841.1 11 $2.22 $2.18 13 11 12 13 Gross Sales Source: Mattel 2013 10-K Gross Sales History (in millions) Gross Margin Operating Margin Earnings per Share Total Shareholder Return (TSR) (For the Year Ending December 31, 2013) Mattel, Inc. S&P Source: Thomson Reuters 1 Year 34% 32% 3 Year 28% 16% 5 Year 29% 18% 10 Year 13% 7% 2013 Annual Report MATTEL, INC. For nearly seventy years, Mattel has been inspiring imaginations, fueling the innovative spirit and creating the future of play for millions of children around the world. Today, Mattel, Inc. and its family of companies comprise the world’s largest toy company with a strong portfolio of brands and toys that children and their parents have cherished for generations. Our portfolio includes some of the most iconic toys of all time, from Barbie® and Hot Wheels®, to American Girl®, Fisher-Price® and Thomas & Friends®. Parents trust Mattel to deliver hours of fun for their children, and our shareholders trust us to bring long-term value to their investment. Mattel led the toy industry with $7.1 billion...
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...Management report on supply chain management and quality management ---based on a case of Mattel recall scandal 1. Introduction Experiencing a steady growth, global toy industry has attracted many research in studying this field, in which one of the largest toy manufacturers Mattel Inc. suffered from a recall scandal in 2007. This essay directs at exploring reasons that lead to Mattel’s operation failure in this scandal regarding two key frameworks in global operation management, namely, supply chain management and quality management. Providing potential recommendations to prevent or react to supply chain failure as well. 1.1. U.S. toy industry According to Statista (2016), the U.S. toy industry amounted to $43.1 billion in 2015. It was projected to reach $45.02 billion by 2016. By means of global supply chains, U.S. enormous demand for toys is satisfied. For example, most toys sold in the U.S. are designed in the U.S., but approximately eighty percent of those sold in the U.S. are manufactured in China (Boyle, 2015). The main characteristics of toy industry are ‘volatility’ and ‘seasonality’ (Wong & Johansen, 2005). Roughly seventy percent of toy sales occur in the final three months of the year, in which families conduct bulk purchase as gifts to children for Christmas. Therefore, during early months of a year when demand for toys are considerably lower, toy manufacturers face problems with much of the unutilized capacity. They also need to appropriately...
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...CASE: MATTEL AND TOY RECALLS Toy Industry Our presentation started with the industry introduction. Based on the case, toy industry was growing if we compared the results with the previous year. In 2007, the global toy market was around $71 billion business. Though 36% of the market was on the hands of North America, the growth pace was slower than Asia. Especially in China and India it was estimated that market would increase 25% more than previous year. The toy industry in USA had about 880 companies. Dominant players were Mattel, Hasbro, RC2, JAAKS Pacific, Marvel, and Lego. Moreover, big retailers were entering to the market under their own brand names creating threat for existing toy companies. Toy market categorized many segments in USA market, among them infant/preschool toy segment was the largest and stagnant. Noticeable growth occurred in youth electronics and video games. Production of the toys concentrated in China with 60%. Company Information Mattel, Inc. founded by Harold Matson and Elliot Handler at a garage in 1944. The company name was generated by using letters from founders’ last and first names. Mattel’s first products were picture frames and doll house furniture. Barbie doll was introduced in 1959 and Ken product followed it. With these products, Mattel guaranteed its growth. Hot Wheels product established Mattel’s position as an industry leader. Company’s products were organized in 3 different business groups: Mattel Girls & Boys Brands, Fisher Price...
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...INDIVIDUAL CASE STUDY PRESENTATION ON MATTEL This is an ‘open-book’ presentation that is designed to assess your ability to apply the essential theories, principles and techniques of supply chain and operations management to a realistic business situation. The questions will draw on material from the other modules in the MSc Supply Chain Management programme. You will be expected to demonstrate your knowledge and understanding of relevant theoretical principles, concepts and techniques; to apply these appropriately to the particular situation described in the case study and; above all, to make sound decisions. You will not gain marks by presenting a general essay on the topic. Please note that all work should be your own. Copying or plagiarism will not be tolerated and could result in no marks being awarded. If quotes or short extracts are used they should be attributed or the source of the information identified. Play Fair The core values of Mattel, the world’s largest, branded toy manufacturer, appeared on its company website, and on its literature, under the heading ‘Play Fair’: “Act with unwavering integrity on all occasions. Treat each other with respect and dignity. Trust each other to make the right decisions. Be accountable for all that passes in front of us.” In 2007 these values would be put to the test as never before, when it was discovered that substantial numbers of Mattel branded toys had been contaminated with lead paint with global signature...
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...Mattel Responds to Ethical Challenges INTRODUCTION Mattel, Inc. is a global leader in designing and manufacturing toys and family products. Well-known for brands such as Barbie, Fisher-Price, Disney, Hot Wheels, Matchbox, Tyco, Cabbage Patch Kids, and board games, the company boasts nearly $5.9 billion in annual revenue. Headquartered in El Segundo, California, with offices across the world, Mattel markets its products in over 150 nations. It all started in a California garage workshop when Ruth and Elliot Handler and Matt Matson founded Mattel in 1945. The company started out making picture frames, but the founders soon recognized the profitability of the toy industry and switched their emphasis to toys. Mattel became a publicly owned company in 1960, with sales exceeding $100 million by 1965. Over the next forty years, Mattel went on to become the world’s largest toy company in terms of revenue. In spite of its overall success, Mattel has had its share of losses over its history. During the mid to late 1990s, Mattel lost millions to declining sales and bad business acquisitions. In January 1997, Jill Barad took over as Mattel’s CEO. Barad’s management-style was characterized as strict and her tenure at the helm proved challenging for many employees. While Barad had been successful in building the Barbie brand to $2 billion by the end of the 20th century, growth slowed in the early 21st. Declining sales at outlets such as Toys ‘R’ Us marked the start of some difficulties for the retailer...
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...Salt, Ashley Solomon Case 7: Mattel: Overcoming Marketing and Manufacturing Challenges 11/01/2010 Marketing Management 6800 Section 004 The Problem: The problem surrounding Mattel Inc., one of the world’s largest toy companies, is their mismanagement of international subcontractors and vendors and the production of certain toys (the manufacturing process), as well as their inability to adapt their marketing strategy or product to the constantly changing “demographic and socioeconomic trends” (Ferrell, et. all 466). This is supported by Mattel’s legal battle with Carter Bryant and MGA, their forced recall of certain toys that were manufactured overseas, and the increasing rate at which traditional toys are becoming less appealing to today’s young audience. Essentially, Mattel’s mismanagement and oversight lead to violations in terms of ethical and social responsibilities and safety standards. Issues Relevant to the Problem: Mattel’s problem of mismanagement can be divided into several issues that need to be considered: legal issues, international supply chain issues, and an increase in technology-based toys. In regards to legal issues, Mattel has been involved in prolonged litigation with Carter Bryant and MGA over a breach of an employment contract and copyright infringement. Due to Mattel’s poor management of its overseas manufacturers, in which unauthorized subcontractors and third-party suppliers were hired and unsafe materials used, several toy products were recalled...
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...Unit 4 Mattel’s China Experience Case Study Analysis MT460 Management Policy and Strategy Professor: Dr. Margery Mayer Date: June 18, 2011 In 1944, based in California, Ruth and Elliot Handler founded Mattel after World War II. In the 1950’s, Mattel start advertising on Mickey Mouse Club with their core product being Barbie. Barbie was named after their daughter Barbara’s nickname. In the 1960, Mattel became publicly owned and in 1965, their sales top $100 million the company now qualified as a Fortune 500 company. Mattel is engaged in designing, manufacturing, and marketing of toys and family products across the world. The company's key global brands include Barbie, Hot Wheels, American Girl, and Fisher-Price. The company operates in the Americas, Asia Pacific, and Europe. It is headquartered in El Segundo, California and employs 27,000 people. (xplosivestocks.com) The start or recovery from damage done to the well-known brand due to recalls. After paying $40 million dollars in recalls for more than 19 million toys in China, Mattel was in a crisis. Their stock was dropping, lawsuits, media attacks, lost sales, and increased expense of litigation cost. Mattel was now suffering from a tarnished brand name and customer loyalty. Mattel’s challenges included convincing parents that child safety and product safety is more important that revenue, form an alliance with Chinese suppliers and the government to create honorable quality control solutions, improve...
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...first 200 words to give you marks and the first 500 words (100 times 5) to give you marks for a 5 mark question and so on. Answer should be written in clear & simple language using bullet points & paragraph structure to put your points across. For Institute Use only PAPER RECEIVED DATE MARKS OBTAI ED TOTAL MARKS OUT OF Note :-All students shall sign the following pledge on each assignment and sheet: examination answer “I have not violated the Institute Honor Code during this assignment/examination.” All GEA community members pledge to report known violations of the GEA Honor Code. Signature _________________________ Garuda Education Academy MARKS : 80 SUB : SUPPLY CHAIN MANAGEMENT N.B.: 1) Attempt any Four cases 2) All cases carries equal marks. CASE 1 1. MANAGING GROWTH AT SPORTSTUFF.COM In December 2000, Sanjay Gupta and his management team were busy evaluating the performance at SportStuff.com over the last year. Demand had grown by 80 percent over the year. This growth, however, was a mixed blessing. The venture capitalists supporting the company were very pleased with the growth in sales and the resulting...
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...Relations [ABSTRACT] In August 2007, America's largest toy manufacturer announced the first of what would become five recalls involving 21 million toys—most of which were manufactured in China. This case study and teaching note examine a corporate response to a global crisis and consider the unique communications challenges facing a corporation that operates in an international, crosscultural arena. The teaching note critiques the response’s suitability to the level and impact of the crisis and recommends alternatives. It illustrates that communicators should be cognizant of their international stakeholders and should proactively manage global issues of public concern such as outsourcing and product safety. An example would be that to avert future recalls, Mattel should work closely with its Chinese suppliers and government agencies to implement realistic quality control solutions for which it can be held accountable. The company must reassure stakeholders that outsourcing to China does not mean sacrificing quality. Regaining consumer confidence and controlling the dissemination of product safety information requires strong corporate communicators who can delicately and deliberately balance complex relationships. Table of Contents I. Case Study 1. Overview 2. Company History 2.1 Beginnings 2.2 Reorganization as Mattel, Inc. 2.3 Products 2.4 Accolades for Ethics 2.5 Financial Performance and Annual Report (2006) 3. Toy Safety in the United States 3.1 Consumer Product Safety...
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...Executive Summary Mattel, Inc is the world’s largest toy manufacturer product line includes such household names as Fisher-Price, Matchbox and of course Barbie dolls. The company was founded in 1945 and has grown remarkably since with global revenue approaching $6 billion per annum and counting on 31,000 employees to fulfill the toy needs of millions of children. Mattel began their initial Corporate Social Responsibility program when the idea was still in its infancy for many companies back in 1997; they released their first GRI (Global Reporting Initiative) in 2003 and have done so annually since. In the summer of 2007 the company went through a social responsibility media nightmare after the revelations that various toys in their product line exceeded the safety levels for lead which resulted in the recall of over 18,000,000 products. At the time it was a huge story that naturally impacted the company in a negative way but if there is a silver lining it would be that the company has subsequently fully revamped their testing and auditing processes for all manufacturing. The company’s more robust position in 2011 demonstrates that huge business mistakes can be overcome if lessons are learned, which appears to be the case for Mattel. Introduction Mattel, Inc. was founded in 1945 by Ruth and Elliot Handler and Matt Matson. The company had its headquarter in El Segundo, California and was well-known in the world as the leader in the design, manufacture, and marketing of family...
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...CASE: GS-63 DATE: 09/15/08 UNSAFE FOR CHILDREN: MATTEL’S TOY RECALLS AND SUPPLY CHAIN MANAGEMENT We apologize to everyone affected by this recall, especially those who bought the toys in question. We realize that parents trust us with what is most precious to them—their children. And we also recognize that trust is earned. —Robert Eckert, CEO of Mattel, Inc.1 On August 2, 2007, Mattel announced a voluntary worldwide recall of 83 products in its Fisher- Price toy lines, including characters such as Dora the Explorer, and the Big Bird and Elmo characters from Sesame Street. The recall, which applied to approximately 1.5 million toys sold worldwide after May 1, 2007, was due to the use of excessive lead paint.2 Over the next month, Mattel announced six more recalls that covered toys with lead paint, as well as small magnets that could become loose and be ingested by children. In October, Mattel made yet another recall for lead paint contamination.3 All of the toys recalled had been manufactured in China. Two weeks after the August 2nd recall, the owner of the Chinese factory that had used the lead paint committed suicide. This series of recalls attracted widespread publicity, as well as political and consumer concerns that sometimes bordered on hysteria. Newspapers and television networks jumped on the story, interviewing concerned shoppers and showing toys being removed from shelves and parents bringing toys to stores for lead testing. Mattel‟s brand image took a serious...
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...Short Case Analysis of Gap Inc. in 2010: Is the Turnaround Strategy Working? Author of the article Annette Lohman of the California State University, Long Beach The Gap Inc. In 2010 Case Summary Case Summary This case study describes the business environment of the apparel market and how Gap Inc. tried in this highly competitive market environment to manage a turnaround in the time between 2000 and 2010. The U.S. clothing store sector accounted for approximately $156 billion in the year 2009 and had slightly declined compared to 2008 due to the worldwide recession. Average before-tax profits estimated by IBIS-World were around 3% in the year 2009. The level of globalization in the market is relatively low and made up by a large number of small and few major, domestically owned companies. The family clothing store industry is the most important sector, as it is responsible for more than half of the revenues in the U.S. clothing market. Concerning the gender woman clothes are most interesting, due to their will to spend more. Women clothing accounts for 50% of the market, followed by men and children with market shares of 37% and 13%. Hereby more than one third of the adult population has to be considered obese. According to price sensitivity 65% of the market is value-priced driven and targeted by family stores of companies such as Ross Stores or TJX Companies. They focus on still wanted brand names and discounts by delivering off-season styles. More emotional driven...
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