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Lego and the toy market

Phil Waterhouse looks at the world’s favourite toy in relation to diversification and the product life cycle

Lego — which means ‘play well’ in Danish — has been a staple of children’s toys for decades and was named toy of the century in 2000. The company has produced over 500 billion bricks and the main factory in Billund, Denmark makes 35,000 bricks per minute. Lego is built to last and most of the bricks produced are still in existence.

Lego has long been a source of innovation and is constantly finding new ways to extend the life cycle of the iconic brick. The production of Lego started with an extensive research and development programme. This took 10 years, with the first patent for a Lego brick being awarded in 1958. The exact patent was based not on the interconnecting mechanism but on the tubes in the bottom of the bricks that distinguish Lego bricks from others.

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Previous

The return of privatisation

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The Cambridge Satchel Company

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