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Dream International Ltd.: Creating the World's Largest Manufacturer of Plush Toys                                                                                                                                                                                                                
Product Ref: 04/193C Company: Dream International Ltd.

Product Type: Case Industry: Consumer Goods

Related Product(s): Teaching Note
Authors: Simon Tam   Monica Wong
On 8 June, 2003, Dream International signed a contract with Warner Bros. to manufacture licensed beanbags and plush stuffed toys using famous branded characters. The contract allowed Dream International (Dream) to distribute its character product worldwide through Warner appointed distributors excluding the US territories and Canada. For Dream the contract not only added a new revenue source, but also provided a stepping stone to eventually sell character brands and other plush toy products directly to retailers. Despite Dream's remarkable growth, Chairman and founder Kyoo Yoon Choi, based in Seoul, was not satisfied with the size of the operation. In the highly fragmented plush toy market, Dream had less than a two per cent share of the global market. Choi's goal was at least five to six percent. What was Dream's strategic plan for achieving this target? Was vertical integration the best way forward? What were the success factors that built Dream into the world's largest manufacturer of plush toys?
Functional Area : Strategy & General Management

Issues: Growth strategy, Porter's five forces, managing operations
Length: 9 pages Country: Hong Kong SAR

Pub. Year: 2004 Level of Difficulty: 1
This product type is available in the following language(s):      English   Simplified Chinese
Related Information: N/A
This is a part of The Trade & Industry Department SME Case Series
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