Analysis of the toy industry
- Definition of toy market
- Evolution of toy market
- Analysis of toy industry with five forces of Porter
- Criticism of Michael Porter's 5 forces
In the current economic situation, the lexical field declines through many adjectives such as unemployment, or crisis. The world is in an uncertain climate for the economic part but the social part too. It is during the Christmas period that we can forget theses bad news. The magic of Christmas represents a breath of fresh air with all those windows decorated with toys. That is why I choose Toy industry, an industry that everyone knows and who continues to inspire children and adults. If toy industry produces many dreams for children and their parents, for the toy manager it is more complicated because toy industry is an idol with feet of clay. The competition is very intensive especially when the majority of sales are realized during the period Christmas. This context of strong seasonality does not permit some errors in toy manager's choice. Toy industry is one of the oldest of the business world and generates a lot of benefit. But the most interesting in this industry are the opportunities. It knows to bounce when it is necessary and studies several solutions to be and stay attractive. So, the analysis of toy industry will show a complete sector with its strength and weakness and between past and future.
[...] This war results from the seasonal activity in the toy industry. However, supermarkets become malls and, so; consumers make all your purchase in these places and abandon specialized stores. Conclusion: Toy industry is an innovation flow process, (Appendix p12). It allows many opportunities for companies, especially for SMEs, if the market is faster, more flexible and entrepreneurial. The innovation is the key; companies have to have the right idea to start a business. The difficulty is not to entry in the toy industry but it is to survive in it. [...]
[...] After setting the groundwork, we will analyse toy industry in European Union. For this analyse we will use the Porter's model because is a complete model to describe the competition intensity of toy industry. This famous model can be able to examine the situation of an industry if it is easy or hard to entry such as a young company or evaluate the power relations existing in the market. Then we will show some limits to this model in making a criticism. [...]