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Mattel In China

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Mattel In China

  1. 1. ● Multinational toy manufacturing company founded in 1945 ● Fortune 500 company ● Products and brands it produces include Fisher-Price, Barbie, Hot Wheels, and Matchbox ● Company has presence in 40 countries and territories
  2. 2. ● Opened their first of three stores in March of 2009 ● Shanghai's Huaihai Road, one of the most expensive shopping streets in the country ● The store intended to launch Barbie as a lifestyle brand ● Over $30 million was invested in the House of Barbie ● Mattel shut its doors on March 2011 ● https://www.youtube.com/watch? v=GcL3ULK8Jm0
  3. 3. ● Inability to localize the Barbie brand led to the downfall of American doll brand ○ Store closed 2 years after opening ○ Continual loses ● Mattel chose to open a single super store on a very expensive shopping street ○ Perhaps many smaller cross-country, mall- located outlets would have worked better ○ Experience based store format was not successful ● Mattel still faced many unknowns in the Chinese market
  4. 4. ● Many analyst observed that the western doll Barbie was “too sexy” for Chinese girls ● Localized Barbie did not do as well as the original blonde Barbie doll ● Standalone store was established before establishing Barbie as a strong brand ● In China, Barbie is simply a doll ● The variety of products and services in the store made it difficult for Mattel to know what would work
  5. 5. ● Many companies assume that, because urban Chinese customers appear quite Westernized in their outward appearance, they will easily accept Western concepts, products, & services. ● China feminine: ○ sweet ○ soft ○ gentle ○ loving ● Mattel Barbie: ○ smart ○ strong ○ dazzling ○ fashion-forward
  6. 6. ● Must introduce Barbie brand ● Understand that the Barbie doll is not a cultural icon ● An educational campaign can boost sales revenue
  7. 7. http://www.forbes.com/sites/helenwa ng/2012/10/24/why-barbie-stumbled-in- china-and-how-she-could-re-invent-herself/ http://www.businessweek. com/globalbiz/content/apr2011/gb2011042 1_445230.htm#p1

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