Overview

The “Roxanne Quimby Case” discusses how the company Burt’s Bees was formed by its two founders, Roxanne Quimby and Burt Shavitz. The case explains the progression of the business from its early stages of earning $200 at crafts fairs to $3 million in 1993. Ms. Quimby decided it would be in the best interest of the company to move to North Carolina for the ease of shipping and delivery and the high supply of skilled labor. However, toward the end of the case, Ms. Quimby is uncertain whether she made the right decision to move to North Carolina.

Should Ms. Quimby and Mr. Shavitz stay in North Carolina, move back to Maine, or sell the company? Will they be able to grow the company?

Ms. Quimby and Mr. Shavitz should stay in North Carolina because it allows the company to grow faster and more efficiently. By staying in North Carolina, the company decreases its transportation costs because it will be in the center of a majority of the country’s population (within a twelve-hour drive radius). By being in the center of the population, as opposed to far away from it, the company reduces its shipping costs. It can also distribute and receive products and materials faster. Furthermore, the payroll taxes will be less expensive as determined by the estimate given to the company from North Carolina’s Department of Commerce. Lastly, by moving to North Carolina the company can find more skilled labor in fields such as marketing, engineering, and business to help it expand and manage the finance and operations of the company.

Overall, if the company stays in North Carolina and expands, it has the potential to enter the global market for skin care products and succeed. Since Ms. Quimby wanted to keep the values of the company the same—being environmentally friendly and using only natural ingredients—the company would also create a submarket within the industry that