Lego to establish $1billion factory in Vietnam

Lego is soon going to build a new manufacturing unit in the main business hub of Vietnam, Ho Chi Minh City. The company is establishing this unit to cover up the growing demand for its products in Asia. It will invest over $1 billion. Lego is seeing continued growth in its sales in Asia and with this installation in Vietnam, this will be the second production unit of the company in Asia.

Lego is known for its strategy where the company establishes a production plant around its key market, which it adapted after companies all around the world faced issues with the global supply chain during the pandemic. Lego has declined the claims on having such strategies but yet Paula Rosenblum, managing partner of RSR Research has said that it is something that companies need to adapt to this type of strategy more.