Write a paper reviewing the potential ethical implications with LEGO
LEGO Case Study
Case studies are an essential learning strategy in business classes as they provide an opportunity for you to critically analyze events that have taken place in real-life businesses. This develops your critical thinking and research skills as you research the competition and industry in which your business resides in order to formulate a recommendation for the challenges faced by the company.
For this unit, review the Marketing Spotlight: LEGO case study in Chapter 5 of your textbook. This assignment will be comprised of two parts; one part will ask you to respond to questions, and the other will require you to complete a case analysis.
Evaluate this case and respond to each of the following questions using both theory and practical managerial thinking.
How does LEGO manage to constantly reinvent its business?
What role did marketing research play in LEGOs market success?
What differentiates LEGO from its competitors? Is LEGOs competitive advantage sustainable?
Review any potential ethical implications with LEGO. How are they aligning with good ethical practices?
Complete a case analysis of LEGO. This requires that you conduct research on LEGO beyond the case study material in the textbook. In the case analysis, you will look at the situational analysis, problem, and alternatives, and you will provide a recommendation. Refer to the instructions below as you construct your analysis.
Discuss the external environment through the compilation of a PEST (political, economic, sociocultural, and technology) analysis.
Discuss the internal and external environment through the compilation of a SWOT (strengths, weaknesses, opportunities, and threats) analysis.
Identify at least one organizational problem that LEGO is currently having or one that you project it will have in the future. Base this on your research and critical thinking.
Compile three or four potential marketing-related solutions to the problem above. Remember that these are potential alternatives; you will not select all of the alternatives to solve the problem.
Recommendation (Marketing Strategy)
Select one or two of the alternatives above to solve the problem that you identified in this case analysis.
Discuss your rationale for choosing these and not the others. Include supporting research that will increase the depth of your analysis.
In order to successfully complete Part 2 of this case study, you need to review the video and task learning guides (TLGs) below. The following resources will provide you with the skills to research industries/competitors.
Company and Industry Research video (transcript for Company and Industry Research video)
How to Find Company Information in the Business Source Ultimate Database TLG
How to Search for Articles With a Company Focus TLG
Part 2 must be at least four pages in length. Follow APA Style when creating citations and references for this assignment. Support Part 2 with at least three sources outside of the textbook. As aforementioned, keep in mind that Part 1 and Part 2 will be submitted in one document.
One of the biggest ethical concerns with LEGO is its labor practices. The company has faced criticism for using low-cost labor in countries like China, where workers are paid low wages and work long hours in factories. In 2020, it was reported that some of LEGO’s Chinese suppliers were not meeting the company’s labor standards, including working conditions and wages.
To address this issue, LEGO has set up a Responsible Business Program that aims to ensure that its suppliers meet the company’s labor standards. The program includes regular audits and assessments of the suppliers’ working conditions, as well as training and support for the suppliers
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Another ethical issue with LEGO is its impact on the environment. The production and disposal of plastic toys, including LEGO bricks, contribute to plastic pollution, which is a significant global problem. LEGO has taken some steps to address this issue, including investing in sustainable materials and reducing its carbon footprint. However, some critics argue that the company should do more to reduce its environmental impact, such as using more recycled materials in its products and minimizing packaging waste.
Finally, LEGO has faced criticism for its gender representation in its products. Historically, LEGO’s toys have been marketed and designed primarily for boys, with themes like space, superheroes, and cars. However, in recent years, the company has made efforts to diversify its product line and include more themes and characters that appeal to girls. For example, LEGO has introduced a line of sets inspired by the movie “Frozen” and a series of mini-dolls designed to appeal to girls.
While these efforts are commendable, some critics argue that the company still has a long way to go in terms of gender representation. For example, the majority of LEGO sets are still marketed towards boys, and female characters are often relegated to secondary roles or token representation. Critics argue that LEGO should work to create more gender-neutral products and ensure that its products reflect the diversity of its customer base.
In conclusion, LEGO is a popular and beloved toy brand that has faced criticism for its labor practices, environmental impact, and gender representation. While the company has taken some steps to address these ethical issues, some critics argue that it could do more. As consumers, we can use our purchasing power to support companies that prioritize ethical practices and encourage companies like LEGO to do better.