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Room & Board
Hess, Edward D. Case S-0150 / Published April 22, 2008 / 10 pages.
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Product Overview

A retail-furniture company that abandoned the standard retail-industry business model, disavowed debt and equity-growth financing, and embraced a unique multiple-stakeholder model that valued quality and relationships ahead of the bottom line while producing stellar financial results achieves contrarian success. Its culture supported an energized, positive growth environment for its employees that fostered high employee engagement and, in turn, high customer engagement. Now the founder was confronting his biggest challenge: how to institutionalize the unusual business model, culture, and employee environment he has built. His primary objective is to preserve and protect his "relationship" business model, which is the heart and soul of his business's success.

  • Overview

    A retail-furniture company that abandoned the standard retail-industry business model, disavowed debt and equity-growth financing, and embraced a unique multiple-stakeholder model that valued quality and relationships ahead of the bottom line while producing stellar financial results achieves contrarian success. Its culture supported an energized, positive growth environment for its employees that fostered high employee engagement and, in turn, high customer engagement. Now the founder was confronting his biggest challenge: how to institutionalize the unusual business model, culture, and employee environment he has built. His primary objective is to preserve and protect his "relationship" business model, which is the heart and soul of his business's success.

  • Learning Objectives