The toy industry document discusses: 1) Toys are designed by companies' R&D departments, manufactured mostly in China (86%), and distributed through retailers, distributors, and toy fairs. 2) The market is divided into sectors based on age: baby toys for under 1 year olds, boys toys for 6-8 year olds who receive the most toys, and children's toys for 9-11 year olds which are more sophisticated. 3) Key trends include increasing electronics toys, difficulty predicting fashion leading to market risk, and high seasonality with 30-55% of annual sales in the pre-Christmas period.

1. Toy industry background

2. Manufacturing
• Design : research and development
department of companies invent design and
patent toy idea.
• Outsourcing : 86% of worlds toys are
manufactured in china.
• Distribution : retailers, distributors, and
through different toy fairs .

3. Market segments
Market is divided up into a verity of sectors. Mostly influenced by age and types of product
Baby toys
under one year baby
or toddlers or pre
school year baby .
Lad toys
school going kid children toys
aged 6 to 8
They receive the aged between 9 to 11.
most toys in
quantity. Most money is Tend to be more
spent on toys for sophisticated ,
this aged kid. Often need access to
the internet and
involves complex
design. Child drives
the buying decision.

4. Trend of the market
• An increasing trend in electronics toys and
computer assistant learning.
• Difficult to predict the upcoming fashion:
high market risk.
• Highly seasonable: pre Christmas period ( 30%-55%
sales occurs in that part of the year.)