Friday, December 5, 2008

War of the Dolls: Barbie Vs. Bratz Translates To Mattel Vs. MGA - Bratz Dolls Infringed On Barbie Doll Copyright

Intellectual property rights are very important nowadays where mere ideas and concepts can be the capital to any successful business venture. It used to be that you had to create some tangible product and manufacture it to make your business empire. These days it can become much easier to create that business, but it can also be that easier to lose!

Bratz for instance, which looks weirdly like Barbie in most ways has recently been canned by federal court recently and will have to stop selling come next year.


“In the most dire scenario, MGA can’t sell Bratz at all and a humongous chunk of their business disappears,” said Needham & Co. analyst Sean McGowan. “But it’s likely they will work out a way for MGA to stay in business but Mattel to profit.”

Here's some more detail from MSNBC.

The federal judged banned MGA from making and selling all 40 dolls in the Bratz line, which it began selling in 2001, including the four originals — Yasmine, Chloe, Sasha and Jade. U.S. District Judge Stephen Larson also ordered MGA to reimburse its vendors and distributors for the cost of the dolls and all shipping charges for sending them back.

The ruling, issued in a California federal court, followed a jury’s finding that Bratz designer Carter Bryant developed the concept for the dolls while working for Mattel. The same jury later awarded Mattel $10 million for copyright infringement and up to $90 million for breach of contract after a lengthy trial stemming from Mattel’s 2004 lawsuit ended in August.

The post-trial dispute that prompted Wednesday’s ruling centered on whether the jury found that only the first generation of Bratz dolls infringed on Mattel’s copyright or whether all the dolls in the line were in violation.

The jury verdict form asked panelists only to find whether there was infringement and assign a dollar reward, but did not ask them to specify which dolls violated the law.


If you're asking, what led to this scuffle? The Bratz range of dolls were the first serious competition given Mattel's fashion doll queen, Barbie. In 2004, sales figures showed that Bratz dolls were outselling Barbie dolls in the United Kingdom, although Mattel maintained that in terms of the number of dolls, clothes and accessories sold, Barbie remained the leading brand. In 2005, figures showed that sales of Barbie dolls had fallen by 30% in the United States, and by 18% worldwide, with much of the drop being attributed to the popularity of Bratz dolls.

In April 2005, MGA Entertainment filed a lawsuit against Mattel, claiming that the "My Scene" line of Barbie dolls had copied the doe-eyed look of Bratz dolls. The lawsuit is currently pending in the court system of California.[13]

Mattel sued MGA Entertainment for $500 million alleging that Bratz creator Carter Bryant was working for Mattel when he developed the idea for Bratz. And so here we are now, Barbie wins over Bratz

Wednesday, December 3, 2008

What Happens When A Company Veers Away From Its Brand Color? Starbucks Goes Red This Holiday Season

Starbucks goes red? When a company intentionally veers from its traditional brand color, there better be a darned good reason. Starbucks for instance has joined the Product (red) brigade, spearheaded by U2's Bono to fight AIDS, tuberculosis and malaria.

It's marketing for a cause and it's a beautiful thing. When companies make themselves productive beyond the scope of their own profitability, it is just a blessing not only to the organization but to the world



Seeing a company that contributes to the world's sustainability is impressive. Companies in the private sector do not operate in a vacuum, but in a world where at some point everyone is interconnected.

Every time you buy coffee at Starbucks, five cents will be contributed to Africa. It's not a lot but it can save lives. It's a good start. When company brands as big as Starbucks start to take notice, I certainly do hope others will follow. This is a great way to blend holiday marketing as well.