Throughout the past thirty years the toy business has gone through important transformations - specially the move from small workshops of craftmen to dominating multinational companies, each trying to develop their competitive advantages. Toy business is small compared to the other industries (car, chemicals, textiles). But, today like all other industries, it is geared to the world market, to use modern technics in manufacturing and marketing and to fight as a competitor on the leisure market. Because the final consumers are mostly children, it is the role of business to fulfil their needs, the impredictible wishes of the children. The purpose of this presentation is to identify the challenges for the industry. This presentation will be divided into four parts : Part 1 : Understanding the industry Part 2 ; Understanding the move Part 3 : Rethinking the toy business Part 4 : Challenges and key issues for the industry.