Question: Can Build-A-Bear Workshop continue its bear-sized success? Founder Maxine Clark was a retailing executive for twenty-five years before she became an entrepreneur in 1997. Thinking

Can Build-A-Bear Workshop continue its bear-sized success? Founder Maxine Clark was a retailing executive for twenty-five years before she became an entrepreneur in 1997. Thinking back to her much-loved teddy bear and the magic she remembered in special shopping trips as a child, Clark wanted her new business to combine entertainment and retailing to please children of all ages. The retail company she founded, Build-A-Bear Workshop, Inc., has now blossomed into an international chain of more than 200 stores ringing up $375 million in annual sales.


1. What are the advantages and disadvantages of a corporation such as Build-A-Bear Workshop going public and selling stock?

2. Now, with new stores funded by the money obtained from selling stock, Build-A-Bear has more than 200 stores that generate annual sales revenues of $375 million. Would you buy stock in this company? Explain your answer.

3. What specific information would you want to have before deciding to buy Build-a-Bear stock, and where would you obtain this information?

4. If you were attending Build-A-Bear’s annual meeting, what questions would you ask top management—and why?


Step by Step Solution

3.35 Rating (170 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

1 The chief advantage of selling stock to the public is the ability to raise a lot of capital that can be used to expand the business In the case of B... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Document Format (1 attachment)

Word file Icon

155-B-A-I (2073).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!