An Organic Growth Strategy Based on Innovation - Lego Powers Ahead

5 minutes of business studies gold here with an interview by Bloomberg with the CEO of global toy brand Lego. It is simply packed with core business concepts including market segmentation, innovation, competitive advantage and finance.The growth story of Lego is an organic one. The business has never made an acquisition. It focuses on using new product development and innovation as the driver of revenues and profits - to great success. Since 2007, Lego has tripled its revenues globally and achieves an operating profit margin of almost 25%!The strategy of Lego is summed up nicely by the quote: "We want to be the best, not the biggest".In the video, Joergen Vig Knudstorp, chief executive officer of Lego, talks about the company's performance and the outlook for growth. Lego, Europe's biggest toymaker, boosted profit and market share in 2012 as demand for its new building block sets for girls propelled sales growth.

In this additional interview with Reuters, Jørgen Vig Knudstorp explains how he is looking to Lego game 'Legends of Chima' and ongoing collaboration with leading movie makers around the world to spur growth. Great example of the use of strategic partnerships to drive organic growth: