Cabbage Patch Kids are a line of cloth dolls with plastic heads first produced by Coleco Industries in 1982. They were inspired by the Little People soft sculptured dolls sold by Xavier Roberts as collectibles. The brand was renamed 'Cabbage Patch Kids' by Roger L. Schlaifer when he acquired the exclusive worldwide licensing rights in 1982. The doll brand set every toy industry sales record for three years running, was one of the most popular lines of children's licensed products in the 1980s, and has become one of the longest-running doll franchises in the United States.

Source: Wikipedia