Republic of the Philippines

CAVITE STATE UNIVERSITY

Carmona Campus
Market Road, Carmona, Cavite
(046) 430-3509/cvsu.carmonacampus@gmail.com
www.cvsu.edu.ph

A Case Study
Submitted to the Faculty of the
Department of Management of the
Cavite State University- Carmona Campus
Carmona, Cavite

In partial Fulfillment
of the requirements for the degree
Bachelor of Science in Business Management
Retail Management - MKTG 65

CARANTO, PATRICIA ANN S.

CORDERO, AUBREY JOY V.
GADACHO, ZYREL AUBREY J.
RODRIGO, AIRA JANE A.
BSBM MM 2B
SECOND SEMESTER
2020-2021
 CASE ANALYSIS

Build-A-Bear: Build-A-Memory

Time Context

The case happened during the 1990's where the uprise use of technology started.
During this time, it was all about dot-com.The start-up companies are into high-technology
sectors and the stock prices of dot-com increased dramatically. Due to the dominating use of
technology, the traditional companies started to diminish. That’s why when Maxine Clark
founded a Build-A-Bear, people thought she was making a poor decision.

The first Build-a-Bear Workshop debuted in 1996 at the St. Louis Galleria. Since then
about 400 additional stores have opened around the world, mainly in malls. Build-a-Bear's 4,800
employees have sold more than 75 million toy animals to date.

Viewpoint

Build-A-Bear workshop does not conclude success came from the tangible object that
children clutch as they leave the store. It comes from what Build-A-Bear really sells, the
experience that children get in participating in the creation of their personalized entertainment.
The customers get the product that they have created. More than the finished product that they
get, it is instilled with a memory and experience on their first visit in the store.

The other observer might view that Build-A-bear is a competitor with other companies in
the toy industry but the CEO, Maxine Clark does not consider the company as a toy store but
rather an experience because the main concept of them is more into customization. Ms. Clark
also asserts that personalization is emerging because it’s letting the customer’s creativity and
self-expression surface. The company provides far more value for the customers than the
ready-made products. This concept also helps the company to increase the brand equity as
they build a good relationship towards the customers that are majority pre-teen and children.
Areas of Consideration

I. Introduction

aa. A. History of Organization

1. Maxine Clark opened the first company store in 1996 which is a Build- A-Bear
Workshop.

a. Build-A-Bear is selling the experience of participating in their creation of

personalized entertainment.

2. Parents and the tween market love a Build-A-Bear by experiencing having been
part of their creation.

a. Build-A-Bear company lets customers be creative and express themselves.

II. Body

A. Measures of Success

1. The company won numerous awards including one of five hottest retailers by one
retail consultancy.

2. The company hit number 25 on Business Week's Hot Growth list of fast
expanding small companies.
Alternative Courses of Action (ACA)

ACA 1: Build a Website or an Application wherein Customers can still Order

Customized Stuff Toys

Advantages:

● Company could potentially reach the unreachable customers.

● Easy-access information about a company.
● Costs of having a business website are actually low.
● The customers will gain favourable results.
● The company will gain the trust and loyalty of the customers.

Disadvantages:

● Crashes and connection loss so people will not be able to find information
about a company.
● It creates bad publicity if a customer is unhappy.
● Difficulty reaching the right people.

ACA 2: Conduct an Indoor Service

Advantages:

● Focus on sales rather than inventory or manufacturing.

● You're an expert by hiring people who can replicate the level of service you
provide.

Disadvantages:

● Customers demand cutbacks and might decide to job themselves and save
money.
 ACA 3: Distribute a Catalog Containing Options of Designs where Customers
can Choose

Advantages:

● Easy to reach hundreds and thousands of potential customers just by sending

one mail.
● Better control over advertising expenses as spending money only to targeted
customers.
● Customers didn't need to come to the store to make a purchase.

Disadvantages:

● Low response rate.

● High initial investment in catalog marketing.

Central Problem:

The stay of Build-A-Bear Workshop in the traditional company (1990’s) where it will
affect the future in terms of emerging use of technology.

The Build-A-Bear Workshop will have problems in terms of customizing kids with teddy
bears. It will affect right now due to the pandemic where kids can't go out.

Objectives

The main objective of this case analysis is to give Build-A-Bear Workshop a futuristic
and innovative view on the opportunities of emerging use of technology that could affect them in
the near future.

We ought to consider the threats that could possibly happen (like the pandemic that is
happening now and the majority of people who are technophiles) in the long run.
Recommendation

Build-A-Bear Workshop may create a website wherein customers can still make their
customized toys. We consider this alternative course of action because in today’s digitally
dominated world, having a business website is as necessary as most of the businesses are
engaging in different social media platforms. According to NIBUSINESSINFO.CO.UK, Selling
online has a number of advantages over selling by traditional methods, including: first, making
savings in set-up and operational costs. You don't need to rent high street premises, pay shop
assistants or answer a lot of pre-sales queries. Second, reducing order processing costs -
customer orders can automatically come straight into your orders database from the website.
Third, Reaching a global audience, thereby increasing sales opportunities. Also, Competing with
larger businesses by being able to open 24 hours a day, seven days a week. Another one,
Being able to receive payment more quickly from online transactions. And Improving your
offerings using the data gathered by tracking customer purchases. Lastly, Using your online
shop to showcase your products to existing customers.

Most consumers are looking online for information that will help them make smarter
purchasing decisions. In fact, according to the eCommerce Foundation, 88% of consumers will
research product information before they make a purchase online or in the store. This buying
behavior trend emphasizes the importance of a website for today’s businesses. The importance
of a website for marketing extends to every aspect of your digital marketing strategy. As the
backbone of your online presence, every type of communication, piece of content, or
advertisement that you put online will drive the consumer back to your website. As such, it’s
important that your website gives consumers a clear idea of what your brand is about and what
types of products or services you offer.

According to Katie Evans (2021), pandemic upended consumer’s lives—and that

included the way people purchase their needs and wants. With the pandemic, even the loyal
store shoppers were forced to swap strolling aisles with scrolling e-commerce sites or websites
as stores across the globe closed.
Plan of Action
By implementing the action, the first thing to do is to create a website of the company
and then personalize it, after that you can post your product by posting it's picture then
disseminate it by sharing the link in different online platforms such as facebook and twitter.
Maxine Clark is one of the people to submit this recommendation to start creating it, as she is
the CEO of the company.
REFERENCES

McCormick K, (2016) Why does your business need a website?

https://thrivehive.com/why-your-business-needs-website/

Sherman, (2019) The Importance of a Website for Your Business Success

https://www.lyfemarketing.com/blog/importance-of-a-website/

Katie Evans, (2021) A virtual connection: Retailers get personal with virtual appointments
https://www.digitalcommerce360.com/article/coronavirus-impact-online-retail/

Benefits of selling online | nibusinessinfo.co.uk

https://www.nibusinessinfo.co.uk/content/benefits-selling-online