Abstract
Toy industry in the US is product driven and full of challenges. This case presents an overview of the California-based Micro Games of America (MGA) Entertainment, which is a consumer entertainment products company, engaged in innovative lines of proprietary and licensed products including toys and games, dolls, consumer electronics, home decor, stationery and sporting goods. It had more than 200 licences. In 2001, MGA launched a fashion doll called ‘Bratz’, and it sold 150 million Bratz dolls all over the world. Bratz line surpassed the legendary brand ‘Barbie’—Mattel, Inc.’s flagship brand—in a short span of time through many innovative marketing strategies and different product placement, roll-outs, tie-ins and other promotional tactics, despite facing many challenges, such as, fast-changing demographics, shorter product life cycle (PLC) and negative perceptions about brand. This case can be used to address two issues: first, structural change drivers and trends that shaped the toy industry in developed economies and, second, how to develop effective marketing strategies for product with shorter PLC in highly product-driven market?
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