OPPapers.com

1- Commercia Context

COMMERCIAL SECTOR REPORT

NAME: Renu Vivek Patankar

COURSE: MA Product Design

Date: 11th December 2007

TITLE OF REPORT / NAME OF INDUSTRIAL/COMMERCIAL SECTOR:
Sector: Traditional Toys and Games Manufacturing in UK.

ILLUSTRATION:

TRADITIONAL TOYS AND GAMES MANUFACTURE
1. Summary:
The UK toys and games market is an established and large sector in non- food manufacturing industry.
The larger sector includes traditional toys and games, video games and internet games etc.
The sector of traditional toys and games sector is mainly divided into sub categories based on types of toys and games, like dolls and figures, Activity/construction, Pre-school/Infant Toys, Outdoor games, Indoor games, Model vehicles, Soft/plush toys and Games and puzzles.

Though there are many companies participating in the sector, sector is dominated by few large companies capturing maximum market shares. These companies include Vivid Imaginations, Hasbro Plc, Hornby Plc and Games Workshop Plc. Together; these companies hold almost 40% of the total retail sale. But major portion of market is held by international companies having which do not participate in manufacturing. The entire market is still governed by these companies based on global trends.
Toys and games market is going through a major transition since last decade. One of the most significant developments is that all the main brands are moving their manufacturing activity outside UK and concentrating more on distribution and marketing. This can lead to almost extinction of the manufacturing sector. The evidence of this can be clearly seen in the turnovers and profits generated by companies.
In spite of this, retail sales continue to increase gradually which is a positive development for the market.

Factors like character merchandising and cross branding and competition of video games is also affecting the overall sector.
Social and demographic factors like ‘children growing older younger’ and falling birth...