How Does the Case of Betsey Affect Your Research and Your Book?

Etsy, the online seller of handmade goods, was founded in 2005 as an alternative to companies that sold mass-manufactured products. The company grew substantially but remained unprofitable under the leadership of two early CEOs.

Ten years later, Etsy went public and was forced into a new arena, where it was beholden to stakeholders who demanded financial success and accountability. Unable to contain costs, the company was almost bought out by private equity firms in 2017 – until CEO Josh Silverman arrived with a mission to save the company financially and, in the process, save its soul.

Harvard Business School professor Ranjay Gulati discusses the purpose-driven turnaround Silverman and his team led at Etsy – to make the company profitable and improve its social and environmental impact – in the case, “Etsy: Crafting a Turnaround to Save the Business and Its Soul.”