Company: KMRK
Filing Date: 2025-06-25
Form Type: F-1/A
Source: 0001213900-25-057444
Chunk: 109

Company: K-TECH SOLUTIONS CO LTD
Filing Date: 2025-06-25
Form: F-1/A
Chunk 109
---
 and services. This has greatly enhanced the competitiveness of the Hong Kong toy industry in terms of its productivity, quality, reliability and delivery. Building on a base of their expertise in plastic molded toys, Hong Kong toy exporters have added production skills from the clothing industry, the electronics industry and the metal goods industry. Toys Product Market in Hong Kong The toys product market is diverse and encompasses a wide range of categories, each appealing to different age groups, interests, and consumer preferences. Below is an overview of the main segments within the toys product market, along with the trends and characteristics of each. Source: Migo 66 Toys Industry Chain Analysis The value chain of the toys industry is mainly consist of upstream raw material suppliers and manufacturers, midstream brand owners, distributors, retailers and consumers. The following chart illustrates the value chain of the toys industry. Source: Migo The value chain of the toy industry encompasses a progression from raw material procurement to consumer engagement. The upstream segment involves securing raw materials used in production, such as rubber, plastic, and alloy steel. Manufacturers produce products tailored to the specifications of brands and subsequently deliver the finished toys to them. Some manufacturers also develop and market their own private brands. The midstream segment primarily consists of brands that focus on brand operations and marketing. In the downstream segment, brand owners distribute products primarily through distributors to retailers or sell directly to retailers and consumers. Consumers can purchase products through both online and offline channels, such as e -commerceplatforms, toy stores, and department stores. Toy manufacturers can be categorized into three groups based on their production methods: Original Brand Manufacturer (OBM), Original Equipment Manufacturer (OEM), and Original Design Manufacturer (ODM). OBMs create and manufacture their own branded items while also contracting production to external manufacturers. OEMs produce items according to the designs and specifications provided by brand owners or other manufacturers. ODMs, on the other hand, offer design and manufacturing services based on specifications provided by brand owners or other manufacturers. Owners of toy brands primarily focus on managing their brands and selling products, often choosing to collaborate with OEMs or ODMs for production outsourcing. ODMs and OEMs, due to their adaptable and robust manufacturing capabilities, also have the capability to create and market their own brands. Performance of Toys Exports in Hong Kong Following weak export performance in 2022 and 2023, Hong Kong’s toys and games exports remained sluggish during the first nine months of 2024, recording a 24% year-on-year decline. As many Hong Kong companies