Distribution of Mattel

Retail Channel

Producer

Mattel was one of the first to utilize independent monitoring of its manufacturing facilities and make findings available to the public. Informationweek.com stated that "Mattel can meet demand because it spent the last few years paying a lot of attention to software and processes that simplify its supply chain, cut costs, shorten cycle times, and bring more science to the art of meeting customer demand." With headquarters in El Segundo, California, Mattel has offices and facilities in 42 countries and sells its product in more than 150 nations throughout the world. The locations of its seven distribution centers like California, New Jersey and Texas, seven manufacturing plants, and other facilities that make up its vast worldwide supply chain.

Since the launch of the T.M.X. Elmo in Sept 2006, T.M.X has reportedly sold out, leaving intense demand and limited supply this holiday season. Reported by ruddreport.com, when asked if the company underestimated demand of the toy, or deliberately held back shipments to drum up demand, the company indicated that inventory is not being held back but rather it is simply a question of under estimated demand outstripping supply.

Mattel installed software and a new transportation-management system that reduced the number of less-than-full truckload shipments and optimizing its shipping networks and saved a lot of money . The new software helps vendors access their shipment data to better manage the vendor's inventor coming into their own distribution centers/warehouses.

Retailers/Consumers

Internet shopping has emerged for years and become an increasingly popular consumer activity now. More consumers prefer using the Internet to research products they plan to purchase. The growing number of toy distribution platforms has given consumers more power over the prices they ultimately will pay - if not over what toys they'll find at the stores. To capitalize on the trend, it is critical for local retailers to build online merchandising presence and let the consumers know where to buy. Discount Retailers like Wal-Mart and Target have made use of using the internet in order to compare price and product availability