Toys “R” Us has become an innovative icon in the manufacturing industry but it wasn’t always this way. Toys “R” Us had an explosive beginning. The creativity and ability to stay ahead of the competition was something that enabled them to be on top of their game.
However, other competitors started having success with toy sales and began taking revenue from Toys “R” Us. Corporate administration had the old analogy that the new toys were just fads and there was no need to spend money on reinventing the company. Just because Toys “R” Us had an economic advantage over its competition in the early years did not mean this would always remain true. Due to the lack of change in innovation by the administration, Toys “R” Us was left behind. The innovative …show more content…
The new CEO of the company was not as intuitive as the former CEO. For this reason, the company had to endure some very hard years financially. The drought for toy sales would reign from 1994-2000. With declining sales and stock prices falling, Toys “R” Us decided to change CEO’s for the third time in the span of six years. The company brought in John Barbour to become the new CEO and creative mind behind how to save the company.
With the change in administration, Toys “R” Us underwent a much needed renovation that included the implementation of eCommerce. Previous administrations within the company did not want to take the steps necessary to secure Toys “R” Us in the new and expanding world of internet sales. Mr. Barbour jumped into eCommerce with both feet and took Toys “R” Us back to the top of the toy industry by allowing a second party company to design and manage the online web stores.
The company also undertook a new approach toward their customers by changing the way the stores looked, increased customer service by adding kiosks within stores for purchases of out of stock items and upgraded all website stores. (Rothfeder,
However, other competitors started having success with toy sales and began taking revenue from Toys “R” Us. Corporate administration had the old analogy that the new toys were just fads and there was no need to spend money on reinventing the company. Just because Toys “R” Us had an economic advantage over its competition in the early years did not mean this would always remain true. Due to the lack of change in innovation by the administration, Toys “R” Us was left behind. The innovative …show more content…
The new CEO of the company was not as intuitive as the former CEO. For this reason, the company had to endure some very hard years financially. The drought for toy sales would reign from 1994-2000. With declining sales and stock prices falling, Toys “R” Us decided to change CEO’s for the third time in the span of six years. The company brought in John Barbour to become the new CEO and creative mind behind how to save the company.
With the change in administration, Toys “R” Us underwent a much needed renovation that included the implementation of eCommerce. Previous administrations within the company did not want to take the steps necessary to secure Toys “R” Us in the new and expanding world of internet sales. Mr. Barbour jumped into eCommerce with both feet and took Toys “R” Us back to the top of the toy industry by allowing a second party company to design and manage the online web stores.
The company also undertook a new approach toward their customers by changing the way the stores looked, increased customer service by adding kiosks within stores for purchases of out of stock items and upgraded all website stores. (Rothfeder,