1. Evaluate LEGO’s use of licensing its brand name to others outside Denmark. What type(s) of products would be appropriate? In 1932 the LEGO company in Denmark began making high quality wooden toys, including stacking and building bricks. In 1947 the company added to its product line by manufacturing plastic toys, including building bricks. The present-day concept was developed in 1949 when the bricks had studs on top. In 1958 a patent was given for a brick that had tubes inside which provided strong clutching power and stability. This is essentially the brick as it is today.

In the mid-1990s the LEGO product was sold in about 60,000 shops in more than 130 countries and over the past 30 years had established itself as one of the leading names in the toy business. Between 200 million and 300 million children and adults play or have played with LEGO bricks. In 1995 the range consisted of 378 sets and no fewer than 1720 elements, of which 481 are DUPLO elements, 968 are LEGO SYSTEM elements, 174 are LEGO TECHNIC elements, and 97 are LEGO DACTA elements – all of them different. The LEGO Group continues to market new ideas: new sets, new components, new ways of building, new ways of playing. But everything is adapted to the children’s fundamental needs. High priority has been given to technical quality, product safety, play value, and educational value.