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Blog Post #2: How Lego Adapts to Changing Markets

http://www.vancouversun.com/business/Lego+continues+into+timeless+appeal+imagination/8940425/story.html

For a company whose main products are plastic bricks, Lego has survived the ever-changing market of toy manufacturing and has even risen in the ranks within this industry. How has Lego stayed relevant to consumers in the computerized world? By utilizing the company’s strengths to overcome threats and and to embark on new opportunities, Lego  maintained customer loyalty while reaching out to the new generations. Having been an existing brand for more than fifty years in the running, the reputation developed by Lego allowed it to license its logo to other products, such as shoes and bed-sheets, while having the actual company manufacture what it is known for: the plastic bricks. Consequently, Lego is able to stay focused on its goals as a company. From this, Lego was able to dominate its competitors who sell similar products because of its long-standing global reputation. However, Lego could not simply rely only on its previously established customer loyalty for its revenue, and so Lego began to branch into the digital world to relate to the incoming technology-based generation. This was done through Lego’s immersion into the video game and television show sector of the media industry. With this expansion comes new story-lines to enrapture both  children and adults alike,  connecting new and old fans through the concept of imagination of what can be made from simple bricks. Overall, a thing or two can be learned from Lego’s journey as a brand. For starters, it showcased how a company can adapt to changing markets without losing its original value proposition, but can instead enhance and build upon its initial concept. To add on, it is possible to bridge the gap between the digital and the hands-on world; highlighting how a flexible and relevant product can survive the turmoils of the market.

 

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Blog Post #1: Business Ethics

http://www.vancouversun.com/business/economy/China+promote+growth+further+opening+markets+private/8898679/story.html

A general consensus about what is “business ethics” can be defined as to how a company manages its daily operations and its stakeholders’ interests. In many countries, the government plays a large role in these said operations through the use of regulations, laws, and policies. Recently, as according to an article by The Vancouver Sun posted on September 11, 2013, China has relaxed its markets to allow for an increase in private competition and foreign investment. This move by the government can possibly lead to both positive and negative business ethics, depending on the view of stakeholders, in particular, the employees and the consumers. On one hand, by allowing for more competition among businesses, the consumers are allowed to have a greater range of prices and goods to choose from. Eventually, this will lead to an overall higher standard of living in China.This serves as a positive factor for the general public, as the businesses will have to provide enough incentive for people to purchase their goods and services. However, workers may possibly face a decrease in job security due to how the Chinese government will have a looser grip on business regulations, which allows for private businesses to stray away from the communistic goals of providing enough work for all able workers set by the Chinese government. In general, the government plays a large part in how businesses perform and its conduct either directly or indirectly through government-laid regulations.

 

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