Successful Entrepreneurship: The Case of L.L. Bean

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In the topic of successful entrepreneurship, L.L. Bean would definitely be one of the top examples that it was one of the largest mail-order companies in the area of outdoor equipment in history. From the start in 1912 with a borrowed $400 and only one product offered in the United States, the business had grown to sell more than… 1. How successful has L.L. Bean been? It sold more than 1000 outdoor equipment, such as hunter boots and camping tools, targeted to both men and women. The company had a growth rate of over 25% between in 1967 and 1975 and its return on equity was over 30% between 1975 and 1980. In 1980, sales increased to $120 million and the number of buyers increased to 2.1 million. More than 26 million catalogs were mailed and 2.2 million of customers ordered its products after receiving the catalogs. Out of all the products, Main Hunting Shoes was the Company’s most popular one that 175,000 pair was sold in that year. 2. What are the reasons for L.L. Bean’s success? There are three main reasons for L.L. Bean’s success, which include: 1. High quality According to Leon Leonwood Bean, the late founder of L.L. Bean, the reasons for L.L. Bean’s success is that it “provides quality apparel, footwear, and equipment to outdoorspeople at the fairest possible prices and with the most efficient and accommodating service”. 2. Good customer service Leon Leonwood Bean believed that the customers would also like anything he liked and used himself. He made sure he was manufacturing and selling what he was interested in so that he would put 100% passion and effort into his business. Bean believed that word-of-mouth advertising and customer satisfaction were critical to the company’s success that he treated his customers wi... ... middle of paper ... ... its business worldwide. On the good side, L.L. Bean would be able to generate an enormous amount of sales and profit if the expansion is successful. This option would generate the best result of company’s growth opportunities. As seen, each option has both pros and cons attached to it. It is best for L.L. Bean to take all approaches in order to expand its business. It is better for the company to focus on the manufacturing expansion and international sales first since they have had some experience in both field already. Once they are settled and sales started to grow, L.L. Bean can move on to the retail expansion. This is the safest way to expand its business while maintaining the company’s brand image. L.L. Bean has a lot of potential to grow, remaining in the presence of Maine and mail order within the U.S. would only waste the talent and limit its growth.

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