Business

1.

In China, a vast consumer base of 1.4bn people presents significant growth opportunities. There is also a rise in the middle classes, where consumers have a much higher disposable income in both countries meaning there is high demand as consumers have a higher proportion of their income to spend.

2.

Mention Ansoffs Matrix and how this is a form of market penetration.

3.

However- Lego is a toy and closely associated with children. Expanding into China and Malaysia, with an ageing population and a one child policy scheme in China, there may be low demand for lego toys and as a result may prove to be ineffective. There are also market research needed to be done, which can be costly and time consuming for Lego.