Internal

Positive STRENGTH

Negative WEAKNESS

Strong brand name with a long history of the family owned company Consistent monthly progress meeting (Present report/ financial performance) Optimism company culture Strong essential products quality A whole range of product with merchandising license

Niches of product (Traditional toys) Lack of capacity to improve the capabilities (Limited machine/Partially Automated or manual) Hold a lot Inventory (Deliver when get orders/ stock from last season/ new stock/ lack of warehousing space) Products failed deliver on time Complexity of organization control Difficulty in recruiting and retaining workers Lack of designing /research and development (design team, contractor, freelance)

Poor forecasting on customer expectation (Contrasting marketing information between SEL and retailers) No routine maintenance is carried out /No maintenance record No proper cycle time and set up time data Over relies on local contractor (Machine failures) Relies on a number of suppliers (Boxes) / Oversea suppliers (Card Jigsaws) Relies on highly skilled operator without a complete safety guards (Cutting wooden Jigsaws) Inconsistent set up times for dies Complexity of operational control (Delay time)

External

OPPORTUNITY

THREAT

Increasing in disposable income in developing country (rapid development of BRIC Countries) Expand the target audience : Youngster, teenagers & adult as prime target rather than young children Expand the target on woman audience instead of only focus on boys audience Impact of children physical and mental development UK Toys market growth : toys for Pre-school children, outdoor toys and soft toys

High competitively industry Seasonal fluctuation, trend and fashion Downturn in UK/Global economies Short term decline in worlds child population Declining birthrates Growing disenchantment toward conventional toys Political issue : Chinas one child policy Technological and fashion changes Internet price comparison (transparency to market) Children are maturing earlier Birth rate has been decline