A Case Study of Mattel Inc.

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Mattel Case| Drew Knebel|
| 103136677|
The problem surrounding Mattel Inc. is their mismanagement of international subcontractors and vendors and the production of certain toys, as well as their inability to adapt their marketing strategy or product to the constantly changing demographics and socioeconomic trends. Mattel’s problem of mismanagement can be divided into several issues that need to be considered: legal issues, international supply chain issues, and an increase in technology-based toys. In regards to legal issues, Mattel has been involved in prolonged litigation with Carter Bryant and MGA over a breach of an employment contract and copyright infringement. Due to Mattel’s poor management of its overseas manufacturers, in which unauthorized subcontractors and third-party suppliers were hired and unsafe materials used, several toy products were recalled. Advances in technology and changes in socioeconomic and demographic trends have created marketing, privacy, and product development issues for Mattel. One solution to Mattel’s problem of ineffective management is for Mattel to require all of their executives and employees to attend training sessions on production and safety standards. If Mattel required their contractors to attend training seminars based on upholding safety standards, adopting a safe production process, and complying with state and federal regulations for their toys, they could reduce the number of violations during the manufacturing process. These training sessions would also increase Mattel’s employee’s awareness of the importance of upholding safety and human rights standards. These training seminars should be held regularly and should not be discontinued for any reason. In the short run, this solution could be somewhat expensive for Mattel because they would have to hire educated and licensed trainers and make arrangements for both the educators and employees. However, the long-term effect of imparting knowledge that will...
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