Eckert was as Chief Executive Officer Robert A. “Bob” called (CEO) of Mattel Toys in May 2000, he found a company that many have been lost. Its former CEO, Jill Barad, who had returned from the Barbie toy skull in the 1990s and CEO since 1997, had months earlier than the earnings of the company were forced fallen. The company was now losing about $ 1 million per day, and Barbie, the cornerstone of the company’s sales and profits for a decade was aging. Mattel’s stock had rush … Read more »

Eckert was as Chief Executive Officer Robert A. “Bob” called (CEO) of Mattel Toys in May 2000, he found a company that many have been lost. Its former CEO, Jill Barad, who had returned from the Barbie toy skull in the 1990s and CEO since 1997, had months earlier than the earnings of the company was forced plummeted. The company was now losing about $ 1 million per day, and Barbie, the cornerstone of the company’s sales and profits for a decade was aging. Mattel’s stock had dropped from $ 46 per share in 1998 to a current low of $ 10. Bob Eckert and his team had quickly reduce operating costs, selling massive money losers, refocus on core products and brands, all moves in the hope of reviving profitability. The financial and operational measures was rapid and, in some cases, violent. The market was patient with Bob Eckert, but now, in the summer of 2004, four years after its entry, it was time to review achievements and to renew and revise expectations. The toy industry was notorious switched on briefly and again, and many fear that Barbie, Hot Wheels, Fischer Price, and American Girl Mattel would no longer need growth. The business mantra of profitable growth was very real for Bob Eckert and Mattel.
This is a Thunderbird Case Study.
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Michael Moffett
Source: Thunderbird School of Global Management
19 pages.
Release date: 25 September 2008. Prod #: TB0045-PDF-ENG
Mattel Toys (A): The financial restructuring HBR case solution