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In 1976, Mattel's CEO Ray Wagner declined a deal to produce a toyline of action figures based on the characters from Star Wars, due to the $750,000 license ($3,645,724.96 in 2021 dollars) required up front. Following the commercial success of the original Star Wars trilogy and its related merchandise, Mattel launched several successful competing toylines which captured the public's imagination and significantly influenced the toy market. In the race to design the next popular action figure, Roger Sweet-a lead designer for Mattel's Preliminary Design Department-realized that simplicity was the key to success. According to his 2005 book Mastering the Universe: He-Man and the Rise and Fall of a Billion-Dollar Idea, Sweet knew that if he gave the marketing department something it could sell, he had won 90 percent of the battle.

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