The Vermont Teddy Bear Co. Inc.: Challenges Facing a New Ceo
Case 27
The Vermont Teddy Bear Co., Inc.: Challenges Facing a New CEO
I. CASE ABSTRACT
John Sortino founded the Vermont Teddy Bear Company (VTBC) in 1981 by selling handsewn teddy bears out of a pushcart in the streets of Burlington, Vermont (Wheelen & Hunger, 2004). Mr. Sortino's motivation for making the teddy bears in the United States cultivated while playing with his son, Graham, and after noticing his son had many stuffed animals that were made in other countries (Wheelen & Hunger, 2004). Since its inception, the company's focus has been to design, manufacture, and direct market the best teddy bears made in America; using quality American materials and labor (Wheelen & Hunger, 2004).
Throughout the late 1980's and into 1994, VTBC experienced a great deal of success and profitability due to the initiation of the Bear Gram marketing strategy; so much so that it became overwhelming for the entrepreneur, John Sortino, to oversee. By 1995, Mr. Sortino stepped down and supported the hiring of a new CEO that would lead the company from an entrepreneurial company into its future success as being a professionally managed organization (Wheelen & Hunger, 2004). CASE ISSUES AND SUBJECTS
Manufacturing Industry Bear Market
Executive Leadership Patents, Trademarks, and Licenses
Ownership Finance
Company Philosophy
Products and Services
Marketing Strategies
Distribution Methods
Facilities and Operations
Human Resource Management
II. STEPS COVERED IN STRATEGIC DECISION-MAKING PROCESS
Strategy Formulation Strategy Implementation Evaluation & Control
1A 1B 2 3 4 5A 5B 6 7 8 Ø X Ø X X X Ø X Ø Ø
Ø = Emphasized in Case X = Covered in Case
III. CASE OBJECTIVES
1. To discuss Company Philosophy
2. To discuss Products and Services
3. To discuss Marketing
The Vermont Teddy Bear Co., Inc.: Challenges Facing a New CEO
I. CASE ABSTRACT
John Sortino founded the Vermont Teddy Bear Company (VTBC) in 1981 by selling handsewn teddy bears out of a pushcart in the streets of Burlington, Vermont (Wheelen & Hunger, 2004). Mr. Sortino's motivation for making the teddy bears in the United States cultivated while playing with his son, Graham, and after noticing his son had many stuffed animals that were made in other countries (Wheelen & Hunger, 2004). Since its inception, the company's focus has been to design, manufacture, and direct market the best teddy bears made in America; using quality American materials and labor (Wheelen & Hunger, 2004).
Throughout the late 1980's and into 1994, VTBC experienced a great deal of success and profitability due to the initiation of the Bear Gram marketing strategy; so much so that it became overwhelming for the entrepreneur, John Sortino, to oversee. By 1995, Mr. Sortino stepped down and supported the hiring of a new CEO that would lead the company from an entrepreneurial company into its future success as being a professionally managed organization (Wheelen & Hunger, 2004). CASE ISSUES AND SUBJECTS
Manufacturing Industry Bear Market
Executive Leadership Patents, Trademarks, and Licenses
Ownership Finance
Company Philosophy
Products and Services
Marketing Strategies
Distribution Methods
Facilities and Operations
Human Resource Management
II. STEPS COVERED IN STRATEGIC DECISION-MAKING PROCESS
Strategy Formulation Strategy Implementation Evaluation & Control
1A 1B 2 3 4 5A 5B 6 7 8 Ø X Ø X X X Ø X Ø Ø
Ø = Emphasized in Case X = Covered in Case
III. CASE OBJECTIVES
1. To discuss Company Philosophy
2. To discuss Products and Services
3. To discuss Marketing
References: Kirsner, S. (2005). Four Leaders You Need to Know: Fast Company Issue 91 February 2005 Page 68. Retrieved October 22, 2005 from http://www.fastcompany.com/magazine/91/4-leaders.html Wheelen, T. L. & Hunger, J. D. (2004). Strategic management and business policy. 9th Edition. Pearson Education Inc., Upper Saddle River, NJ.