Organizational Behavior

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Understanding the People Who Work at and Patronize Build-A-Bear Workshop Before becoming an entrepreneur, Maxine Clark worked for large retailers. Although she enjoyed working for large companies she was looking for a change. She wanted to have more fun at work. In contemplating this change, Clark recalls that “[e]arly in my career, Stanley Goodman, who was then CEO of May [Department Stores], said something that has stuck with me: ‘Retail- ing is entertainment, and when customers have fun, they spend more money.’ I wasn’t sure what I wanted to do, but I knew it would involve children because kids know how to enjoy themselves.”1

“As a child, shopping was a magical experience for Maxine Clark. . . . [I]n 1996 she set out to blaze her own path in retail with the goal of recreating that spe- cial feeling from her childhood.”2 She founded Build- A-Bear Workshop, which is “the only global company that offers an interactive ‘make your own stuffed ani— mal’ retail-entertainment experience.“ As of mid-2011, Build—A-Bear operates more than 400 stores worldwide. Company-owned stores are located in the United States, Puerto Rico, Canada, Ireland, the United Kingdom, and France. Franchise stores are found in Africa, Asia, Aus- tralia, Europe, and the Middle East.4

Although Build-A-Bear Workshop was the brainchild of Maxine Clark, she credits the company’s successful business plan to her godchild, Katie. Caught up in the Beanie Baby craze of the mid-19905, Clark and her god- child talked about “how it would be ‘cool’ to build your own Beanie Babies” and a business plan for what would become Build—A—Bear Workshops began emerging}

“Since the retailer opened its first store in a St. Louis mall in 1997, skeptics have warned that the concept wouldn’t last.”6 According to Clark, “[a]dults told me my idea wouldn’t work. ‘Who wants to make their own stuffed animals?’ they argued. But every kid said, ‘Where is it? When can I do it?’”7

However, the company “keeps defying critics with strong gains as it broadens its geography, customer types and menagerie.”8 Build-A-Bear’s core customer de- mographic is the group known as ‘female tweens’, but the Build-A-Bear product line appeals to a wide range of customers.9 Locating stores at zoos and ballparks, which is part of the company’s ongoing expansion plan,

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is intended to enhance the product line’s appeal for boys

who, in mid—2006, represented only about a quarter,

of the company’s customers.10 Building on the Build. A-Bear success, the company has launched two addl; tional make-your—own business lines: FriendsZBmade

for customers to make dolls, and Build-A-Dino, located in T-Rex cafe restaurants, where customers create their own dinosaurs.11

So, who is Maxine Clark, the woman behind the Build-A—Bear Workshop success story? Dubbed “the Oprah Winfrey of the retail industry—compassionate, creative and charismatic,” Maxine Clark “is a feisty, sea- soned ex-May Department Stores veteran who doesn’t let one detail get by her.”12 As the founder and CEO of Build-A-Bear Workshop, Maxine Clark “charmed con- sumers and wowed Wall Street with a concept that set a new template for interactive experiential retailing.”13 Clark’s success has captured the intense interest of oth- ers. “In fact, it’s been the inspiration for numerous imita- tors; Clark herself is a majority investor and key driver behind the launch of Ridemakerz, a toy car customizing experience.” 14

Clark asserts that Build-a—Bear Workshop is not only selling a physical product but is also selling an emotional experience. She backs this assertion with some powerful and moving examples. “Mothers bring their children [to Build—A-Bear] after the death of a grandparent or a be- loved pet, and parents leaving for Iraq or Afghanistan record their voices in little sound modules they drop into the bears.”15 An even more tear-jerking example is the case of “two men bring[ing] in the 8—year-old girl the," adopted just this morning and whisper [to the Build-A' Bear Associate] that she was abandoned by her mothew drug-addicted prostitute.” 16

“Clark and her team work hard to find associateS that are not only capable, but who also care about Pro' viding a great Build-A-Bear experience—whether it’s 3 happy one Or a sad one. ‘A Build-A—Bear associatfi has to be able to handle the smiles and the tears,’ Clark Flamed. . . .We’re a business that stands for memofles‘. rand those memorles can be both happy and Sad- Ou‘ greatest success has been fi def

. . nnding assoc1ates who u (5 stand that. haM7 Clark Observes that “[t]he teddy bear

sort of been a quintessential symbol for love, trust, secu— 2. What are the desired personality characteristics of rity and cuddliness. But you always want to make it rele- Build-A—Bear associates? How might these person- vant, so if skinny jeans or leggings are popular, our bears ality characteristics influence the associatesi work can wear that. We also stay up with popular culture.”18 behaviors?

“When customers create toys at Build-a-Bear Work- shop, they make something that is theirs alone. The experience is about self—expression and creativity. At Build-a-Bear it’s all right to act like a kid. That’s appeal- ing to people who are 10 or 603’19

3. Describe the perceptions that Maxine Clark has of Build-A-Bear customers. How have these percep- tions influenced Clarkis approach to developing the Build-A-Bear business model?

4. Would you enjoy or not enjoy working at Build-A- Bear Workshop? Explain your answer.Discussion Questions

1. How would you describe Maxineis Clarkis person- ality? What implications do her personality charac- teristics have for her behavior as the CEO of Build-A-Bear?

SOURCE: This case was written by Michael K. McCuddy, The Louis S. and Mary L. Morgal Chair of Christian Business Ethics and Professor of Man- agement, College of Business, Valparaiso University.