8/3/2019 The Company Was Laid by George Augustus in 1883 Who Invented

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IMRAN ALI MUSHTAQ

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MBA 4-A

TERRY BROTHERS

The company was laid by George Augustus in 1883 who invented, developed, and sold a

board game called "Banking." Terry brothers are the biggest manufacturers in the toy industry

and with that they are selling the toys aswell. They include board games, card games, action

games. In 1978 Terry produced 75 toys and game items and its annual sales reached up to $82

million which make the company the the seventh-largest game and toy company in the United

States following Mattel, Fisher-Price, Milton-Bradley, Kenner, Hasbro, and Ideal. As an adult

Terry was good in introducing new games and related to present conditions going on like the

Spanish-American War period, for example, stimulated the development of "Military Game". In

1933 Charles Darrow, an unemployed heating engineer invented a real estate board game which

had an impact on the terry toys and the Terry purchased the rights to the game in exchange for

sales royalties. But in 1986 Terry Brothers led to the merger with General Mills, Inc. due to

heavy cash needs to finance further growth, and tax considerations. After the acquisition made

by the General Mills the Terry Brother continued to do new product development efforts for

board and card games.t hey research into nongame toy areas and in mid 1970s nongame toy

development continued to play a major role in total development efforts, and the company wasdeveloping a new line of electronic toys.

The Construction Toy Business

Lego was the largest manufacturer of construction toys and was having an 42% market

share in 1977. Basically they are making plastic interlocking sets between the ages of 3 and 6. In

1975 Terry Bother management believed that the segment between 6 and 12 were not satisfied by

the companies so in order to fill up this gap the Terry Brothers introduced a new construction toy

called the Riviton. The concept of Riviton was that of a flexible construction set; easier and faster

to build with than the Erector set; safer than Erector due to the use of plastic rather than metal parts;

more colorful, and less expensive than Erector based on equivalent building capacity. Terry

Brothers spent $1 million in fiscal 1978 to introduce the Riviton and support retail promotion

and the Riviton promised to be one of Terry Brothers' most profitable products.

8/3/2019 The Company Was Laid by George Augustus in 1883 Who Invented

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IMRAN ALI MUSHTAQ

01-221111-062

MBA 4-A

But on Thursday November 16, 1978 the President of Terry Brothers that he received a call from a

newspaper reporter that a nine-year-old boy in Keasbey, New Jersey, suffocated on one of the

rubber rivets of the Riviton. . The Consumer Product Safety Commission also conducted a hazard

evaluation of the Riviton after the first Riviton-related death. After the evaluation the commission

did not recommend any action be taken to change the Riviton product or its promotion or

distribution. There were some certain factors which led to 2 deaths which are :

Misuse of the Riviton Riviton met all safety standards No pressure from any person, group or government

No serious accident resulting from the use or

misuse of a Terry Brothers' product in the previous 95 years

The Riviton should be carried on as it is earning reasonable profits for the company but

changes must be made in order to avoid certain accidents which could at some point effect

the sales of Riviton.