Hvorfor Billund?
The LEGO Group, 2004 · Porters Diamant · Read the study: maxnoble.com/study/0011
For the class
1What are the four corners of Porter's Diamond?
2Name two things Denmark gives LEGO, according to the study.
3Which corner is weak for LEGO at home, and what question does LEGO face in 2004?
Answers · for the teacher
No. 0011 · Hvorfor Billund?
1What are the four corners of Porter's Diamond?
Factor conditions (what does the country have?), demand conditions (how demanding are customers at home?), related and supporting industries (who is around us?), and firm strategy, structure and rivalry (how are the firms put together?). The Diamond asks why some countries are especially good at some industries.
In the study: Screen: The Diamond
2Name two things Denmark gives LEGO, according to the study.
Any two of: skilled toolmakers and mould builders; demanding parents in the Nordics and Germany who pay for quality and for play that teaches the child something; suppliers of moulds and machines; a Danish tradition of simple, good design.
In the study: Screen: The Diamond
3Which corner is weak for LEGO at home, and what question does LEGO face in 2004?
Firm strategy, structure and rivalry: LEGO is family-owned and long-term, but no Danish competitor pushes it to get better (and labour is expensive, which pushes automation). The question in 2004: should production stay in Denmark? The advisers say it can be done more cheaply in Eastern Europe and Mexico.
In the study: Screens: The idea; The Diamond
Hand out page 1 after the reading. Page 2 holds the answers. Every answer is in the study; nothing new is added.