Hue-Man Experience Bookstore

Joan Winn,

Daniels College of Business,
University of Denver © 1995

ISBN 0-538-88381-2

Case Teaching Package
A case teaching package is available for this case. It includes strategies for case presentation, key concepts, solutions to the assignment questions in the case, and suggestions for the most effective ways to work this case into your course.

Length
This case is 16 pages in length and its case teaching package is 16 pages.

Abstract

The Hue-Man Experience Bookstore specializes in books by and for African Americans. Clara Villarosa opened The Hue-Man Experience Bookstore in 1984 out of a two-story row house in a run-down, commercial area north of downtown Denver, Colorado. Currently the store fills two connected row houses, roughly 3,000 square feet. Clara Villarosa has become an active, visible, member of the African-American community. The bookstore facilitates her community involvement. She boasts that, with 4,200 titles, Hue-Man Experience is the largest African-American bookstore.

Clara owns the four-unit building that houses her bookstore and rents out two of the units to an art gallery and an African clothing store. The building next to hers is for sale. Clara would like to create an Afrocentric Marketplace, but she is not sure that this second building is a good investment. Moreover, it is not clear whether she can increase the traffic to her bookstore or to this area.

Linkages to Textbooks or Journal Articles/Fit Within a Course

This case is intended for an undergraduate or graduate course in Business Strategy or Entrepreneurship. The case is positioned to discuss the profitability and potential growth issues facing a small company with a limited market.

A major theme of this case is the market potential for expansion. This case should serve as a basis for discussion about:

  1. the competitive forces in the bookselling industry,
  2. strategic positioning for a successful focus strategy,
  3. the role of the owner/manager in a small business,
  4. the opportunity for growth in a business with limited market appeal.

Study Questions

  1. What are the competitive forces in the bookselling industry and for The Hue-Man Experience Bookstore?
  2. Describe Clara Villarosa's marketing strategy. How do you think it has worked so far?
  3. What are they key success factors in this industry?
  4. Describe the demographic factors in the Denver area. How do they impact The Hue-Man Experience Bookstore?
  5. Should Clara make an offer on the building around the corner from her store? Why or why not?
  6. What recommendations would you have for Clara at this time?
  7. To what extent is this business delivering to Clara what she wants in life?

Key Words

Entrepreneurship, diversity, strategic management, retailing, business policy, strategic management, profitability, expansion strategies


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