The Lego Group is a company based in Billund, Denmark, best known around the world for Lego

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The Lego Group is a company based in Billund, Denmark, best known around the world for Lego brand of colorful interlocking plastic bricks that can be assembled and connected in many ways, to construct objects such as vehicles, buildings, and working robots. The company has a policy of asking customers ordering bulk purchases for the "thematic purpose" of their project, as it does not want to "actively support or endorse specific agendas" such as political satire. When Chinese artist Ai Weiwei, who is well known for criticizing the Chinese government through arts, tried to purchase Lego bricks in bulk in 2015, the Danish company refused to sell its bricks to him directly for fear that the bricks would be used to make another political statement. China is Lego's fastest growing market. Ai Weiwei had used Lego before. He created a series of portraits of political dissidents that appeared at an exhibition in Alcatraz prison in 2014. In the meantime, Merlin Entertainment, the British company that operates Legolands around the world, recently announced that a new Legoland theme park would open in Shanghai. The Lego Group also owns a significant amount of shares in Merlin Entertainment. Given such coincidence, Ai Weiwei suspected that the Danish company’s financial interests in China with its theme park was a reason for its decision to refuse his bulk purchase order, and criticized the Danish company. An outspoken Ai Weiwei’s criticism could not be ignored. How should the Lego Group react to this crisis?

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Global Marketing Management

ISBN: 978-1119398332

7th edition

Authors: Masaaki Kotabe, Kristiaan Helsen

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