The Success Story of LEGO Company

Success Stories Children’s Products & Services 16.03.2014  0 197 0
The Success Story of LEGO Company

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The LEGO builders are known worldwide. This brand has become so popular that it has surpassed Hasbro and Barbie dolls in popularity. However, what many may not know is that the Danish company LEGO started its journey by producing wooden items. The company's first toys were also made of wood.

The Success Story of LEGO Company

The Beginning of LEGO – Production of Wooden Toys

It all began in 1932. The founder of the company is a Danish carpenter named Ole Kirk Christiansen. The initial products of the company were everyday household goods made of wood. The most in-demand products at that time were ironing boards and ladders. However, soon enough, the global financial crisis hit, causing a sharp decline in demand for these products.

The Success Story of LEGO Company

Entrepreneur Ole had to think about a new niche. That niche turned out to be the production of wooden toys, which sold well despite the tough financial times. Even then, Ole's 12-year-old son, Godtfred Kirk Christiansen, actively helped his father in the new family business.

The Success Story of LEGO Company

When the company fully transitioned to toy production, Ole came up with the name for his company – LEGO, derived from two Danish words: Leg and Godt, meaning "Play Well." Later on, the company's founder discovered that the word "Lego" in Latin means "I study" or "I put together." This interpretation of the name ultimately defined the company's main direction. As the saying goes, "As you name your ship..."

The Success Story of LEGO Company

At that time, the company had only 7 employees, but each one strived to do their best work. The LEGO leader hung a sign near every workstation stating, "Only the best is worthy."

The Success Story of LEGO Company

By 1936, the company boasted a range of 42 wooden toys. The price was quite high, similar to any modern LEGO set. Additionally, the production of not only toys but also other wooden products continued.

In the 1940s, a fire broke out at the company's only factory, which, nevertheless, did not deter the management but provided an opportunity to focus solely on toy production. Another significant event at that time was the official registration of the company, which was named "LegetOjsfabrikken LEGO Billund A/S."

The Success Story of LEGO Company

In 1947, a notable event occurred as the rights to develop a plastic cube by the British psychologist Mr. Hilary Harry Fisher Page were acquired. The invention was a plastic cube that could be connected to other similar pieces, allowing for the assembly of small structures. However, due to the not fully developed connectors, the assembled object quickly fell apart. Ole's son, Godtfred, who was already 30 years old at the time, intuitively understood that the future lay in toys based on such a concept.

The Success Story of LEGO Company

Gradually, the company shifted towards more plastic toys, replacing their wooden counterparts. The Christiansen family then acquired one of the largest molds for casting plastic products. The mold cost 30,000 Danish krone (for comparison, the most expensive toy at that time cost 36 krone).

The Success Story of LEGO Company

By this time, the company had over 200 types of toys in its price list, but true construction sets were not yet produced. It wasn't until 1956 that the company patented a system of building elements consisting of blocks. It was in this system that there was a much sturdier way to connect elements, and that's when the toy in this form began to be called a construction set.

The Success Story of LEGO Company

The Success Story of LEGO Company

Another significant event in 1955 was the release of the first themed construction set, which became the prototype for all modern themed series such as city, castle, space, wild west, and more. These sets immediately became very popular.

The Success Story of LEGO Company

Then, in 1960, another fire broke out, this time at the wooden toy factory. After this incident, the company completely discontinued wooden toys and the repaired post-fire section shifted solely to the production of plastic products. In 1962, LEGO acquired its airline company, enabling toy exports to America. By then, construction sets were available in over 50 countries worldwide.

The Success Story of LEGO Company

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16.03.2014  0 197 0
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