Extreme Scholar

Extreme Scholar

[pic 1]

[pic 2]

Table of Contents^[a]

Introduction                                        3

History                                                3

Demographics                                        4

Market Potential                                4

Current Sales                                        5

Conclusion                                        6

References                                         7

Introduction ^[b]

Educational board games can teach^[c] important skills, such as communicating verbally, sharing, and waiting, taking turns, and enjoying interaction with others. Board games can promote the ability to focus, and lengthen your attention span by encouraging the completion of an exciting, enjoyable game. The important message in board games is: Never give up. Just when you feel hopeless, you might hit the jackpot and ascend up high, if you stay in the game for just a few more moves. In the educational board game industry there are many companies that make up the overall business. For the purposes of this backgrounder report I am going to focus on a very well know board game company named Hasbro, Inc.. This multinational toy and board game company has been around for quite some time and has some helpful information for people entering the board game industry. In researching this company, I am going to provide information regarding their history, demographics, market potential, and current sales in the educational board game industry to provide an overview of the competition within this field.

History^[d]

The Hassenfeld Brothers (known today as Hasbro, Inc.) was founded in 1923 in Providence, Rhode Island, by brothers Henry and Hillel Hassenfeld. In the 1920’s, Hasbro sold textile remnants and manufactured pencil boxes and school supplies. In the 1940’s Henry Hassenfeld’s son became president of the company and expanded the product line. Between the 1950’s and 1970’s they launched the first toy ever to be advertised on television, the world’s largest action figure with the introduction of G.I. JOE, and began the next major revolution in the toy and entertainment industry with the rise of STAR WARS. In 1968, the Hassenfeld brothers changed their name to Hasbro Industries. They officially became a public trade company on the American Stock Exchange. In 1984, Hasbro Industries purchased The Milton Bradley Company and Playskool which paired the world’s hottest toy company with the strength and stability of one of the world’s most respected game companies. One year^[e] later, Hasbro Industries changed to Hasbro, Inc.. The 1990’s were exciting too as Hasbro Inc. acquired many companies including the TONKA Corporation, Parker Brothers, and the Larami Company. The beginning of the 21st century marked significant progress for Hasbro. The decade began with renewed commitment and focus on the company’s expansive and deep brand portfolio. Through partnerships with LucasFilm, Marvel Studios, DreamWorks Pictures, Electronic Arts, Inc., Paramount Pictures and Universal Pictures, Hasbro evolved into a branded play and entertainment company (http://www.hasbro.com/?US, 2014). Hasbro continues to innovate and lead the way and was named by Fortune magazine as one of the top 100 companies to work for in 2013.^[f]

Demographics

As^[g] a toys and games company, Hasbro’s target market is large and diverse. Their products are sold to all ages, genders, ethnicities, and countries, making market segmentation for each product ^[h]very important. In the United States, the toys and games industry’s^[i] main age demographic (14 years and under) is projected to increase between 2000 and 2020 (U.S. Census, 2000). Children’s buying power and direct influence over buying choices is also increasing, due to several demographic trend factors discussed in the Environmental Forces section (Johnson, 2001). An age group Hasbro has been specifically focusing on is the “tween” market, children ages 8 to 12. This demographic has traditionally been difficult to reach, but Hasbro has had great success. Although Hasbro’s core market is children, they also have many products targeted to adults. Hasbro owns Milton Bradley and Parker Brothers, two board game manufactures who produce games targeted to adults as well such as Scrabble, Yahtzee, Monopoly, and Risk. Also, the growing minority population is of great importance to manufacturers. According to the U.S. Census, the Hispanic population comprises 12.6% of the U.S. population, and is projected to grow to 24.4% of the total population by 2050 (U.S. Census, 2000). Additionally, the African-American population is projected to grow from 12.7% to 14.6% of the total U.S. population between the years 2000 to 2050 (U.S. Census, 2000). Hasbro is aware of these growing trends and is introducing new ideas targeted at ethnic minorities such as the ones above.