The world’s most profitable company

This year, in order to celebrate the 25th anniversary of the launch of God’s “Friends”, Lego restored the most classic scene, letting people hand over their wallet willingly while shouting “Lego is here to grab money again”.

Star Wars, Porsche cars, the big bang of life … only you can’t think of it, no Lego bricks can’t make it. Adults who are even more crazy than kids spend 12 million yuan a year buying Lego products.

In the “World’s Best Reputation Companies 2019” released by Forbes, Lego ranked only behind Rolex, surpassing Disney, Microsoft, Google and other brands, ranking second in the world.

However, it is not easy for Lego to come second in the world. Looking back on the history of Lego’s blood and tears, it was once miserable to owe 1 billion debts, and even struggled on the brink of bankruptcy for 10 consecutive years.

Who brought Lego to death miraculously?
In 1895, Ole Kiok opened a wood factory in Denmark and contracted to build farms, wooden houses, and help others to make a living. On an otherwise calm afternoon, Oller’s two youngest sons were playing with wood chips while he was resting, and a fire was set on fire.

The blaze completely burned all that could be burned, the factory was gone, and the home was gone. Fortunately, Ole is always loyal, and friends and relatives have come to help and set up a studio several times larger than before.

The factory was built, but the Great Depression came.

At this time in Denmark, all craftsmen were unable to receive business, and every household was reluctant to turn on the lights in order to save money. Seeing that the basic food and clothing in the home could not be solved, Olle began to transform and manufacture wooden toys, such as wooden cars and wooden houses. At first, Ole’s friends were not optimistic, “Everyone can’t open the pot, can’t afford the necessities of life, what other toys?”

But in Ole’s eyes, toys are an important companion for children. No matter when they are, they cannot be without them.

In 1934, Oller founded his own small company and named it Lego, which means “play hard” in Danish.

In 1942, Ole captured a large number of children who loved Lego toys with his superb craftsmanship. Lego toys were no longer confined to a small town and began to spread to other parts of Denmark. However, at this time Lego was still mainly wood products.

Lego became what it is now because of a sudden fire.

Just as Lego was getting better at the beginning, Ole was preparing to expand the market, and a fire destroyed all of Lego’s toy drawings. Lego didn’t have any chaos this time, and Ole was keenly aware of the limitations of the development of wooden toys, so he bought a British-made plastic injection molding machine at no expense.

1949 was a very significant year for Lego, because the first block of Lego units was born in this year. Since then, both adults and children have created countless unexpected shapes with these building blocks.

How many combinations can you spell if you give you 6 pieces of 8 raised Lego bricks? The answers given by Lego are: 102, 981, 500!

Since then, LEGO has also entered a rapid growth period of up to 15 years, becoming a toy empire with 45 branches and nearly 9,000 employees worldwide.

1 billion in debt, how can it be brought back to life?
Lego, the king of the building blocks, finally failed to restrain himself and began to swell.

In the age of Ole’s younger son, Goth Fred, he began to be dissatisfied with the label “Lego only” of Lego. For ten years, he has been madly expanding new businesses: opening Lego Education Centers, Lego Theme Parks, Lego clothing stores, A series of Lego dolls and other surroundings have deviated from the original positioning of Lego bricks on product positioning, and ignored the innovation of toys themselves.

In those years, Lego’s core business collapsed across the board, and a major financial crisis occurred. By 2004, Lego was in debt of nearly $ 1 billion.

Knutstorp was ordered to clean up the mess when he was ordered to lose. At the beginning of his tenure, his triple-axe was cutting business, cutting products, and focusing on building blocks.

Lego sold all of the company’s non-core products and businesses and began focusing all its energy on product development. Products are redesigned every so often, requiring designers to re-examine the world with the eyes of children.

For example, in order to design a police building block, the designer put on handcuffs, took a police car, and entered the real police station. Then I made a design based on what I saw with my own eyes, and reproduced the room scenery. A crowbar found under the bed in the cell was also immediately added to the components of the Lego Police Station. Just to design a new 3cm police dog, the sculptor observed the German Shepherd for several months and realized its look.

The sampling tolerance of Lego parts produced cannot exceed 1% cm, and then there is a special machine to test whether the grip of each part is correct.

The most “perverted” thing is that Lego bricks must be tested for saliva. Let it be rinsed with a liquid similar to saliva. The standard to be met is: never fade.

As a result, Lego returned to the user ’s own Lego and took only one year to get rid of debt. Product sales in 2005 soared by 20%, reversing long-term losses, and pre-tax profits reached $ 117 million. By the end of 2018, Lego had a market value of 7.57 billion U.S. dollars and was the highest toy brand in history.

In the adult world, there should be no Lego
One of the best things about Lego is that it not only handles children, but also has adult players.

In August 2005, Knudstoop attended a “Blocks Feast” party for LEGO fans. After chatting with 500 players for 3 hours, he came to a conclusion: if you want to find the true core of LEGO, you must Connect with core players.

Since then, professional Lego building blocks have been born, and LEGO has realized the adult life dream of “playing and making money”.

If you dare to think about it, Lego can be a work of art.

The most powerful professional Lego building block master Nathan, formerly a lawyer in a famous American law firm, holds a million annual salary. After becoming a professional Lego player, his work has been scrambled for collection by galleries and art galleries.

With the title of “Brick Man”, R yan McNaught spent 120,000 Legos and spent 250 hours. He restored the Titanic that tilted after hitting the iceberg. Both the broken part in the middle and the various characters on the ship are made to come to life.

Still others spelled out the Smith Tower in Seattle to make a real Taipei 101.

If you dare to think about it, Lego can also be a technology product.

In Stanford’s underground lab, Google founders Larry Page and Sergey Brin developed the first Google server, and the server’s case was made by Lego.

In 2016, a braille printer spelled out by LEGO teens using Lego was favored by Intel and invested $ 62 million in this project!

If you dare to think about it, Lego can even achieve the impossible.

A Lego player was born with a defective right arm. He used Lego to create a prosthetic leg for himself and promoted it to countless disabled people like him.

In the past 10 years, Lego has grown into an apple in toys, a lucrative, design-driven miracle built around high-end, intuitive, and seductive hardware, and fans are addicted to it.