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Lego Chief Sees Weak U.S. Demand for Toys

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Lego chief executive, Jorgen Vig Knudstrop, sees strong growth in Japan, S. Korea and China, and weak growth in India because of a lack of a developed retail distribution system. Sales increased by over 50% in Asia and 23% in the U.S. in the first half of 2012. Lego benefitted from a new product launch called Lego Friends, which is construction toys for girls. Product introductions based on movie themed sets also helped increase sales. Knudstrop says in an interview that he sees weaker U.S. sales in the next 2-3 years because of higher taxes to reduce the deficit and less consumer spending.

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12/24/2009

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