Hasbro’s beginnings began in 1923 in Providence, Rhode Island. Two brothers, Henry and Helal Hassenfeld, came to the United States from Poland. They started a textile patchwork company that sold fabric scraps. By the mid-1920s, they were using scrap fabric to make hat linings, pencil case covers, and various other school supplies. Pencil box lids became very popular, so the brothers decided they would make the boxes as well. The company grew and in 1926 was incorporated under the trade name of Hassenfeld Brothers Incorporated.
Helal looked for other opportunities in the textile industry and gave the majority leadership to Henry. Henry’s tough business leadership made Hassenfeld Brothers Inc. a very successful business even during the “Great Depression.” Hassenfeld Brothers Inc. averaged $500,000 from the sales of pencil cases and school supplies. They employed 150 employees in 1929 and 200 employees in 1930, something that was notable during this time.
The supplier that provided pencils to Hassenfeld Brothers Inc. raised the price for which they had been selling the pencils. This same supplier also began selling pencil cases at a lower price than Hassenfeld Brothers. Henry was upset and decided that his company would start making its own pencils. So, in 1935, Hassenfeld Brothers Inc. began manufacturing pencils that provided the company with a steady stream of revenue for the next 45 years.
Due to the success and popularity of the children’s items they made and sold, they decided to start making toys in the early 1940s. The first toys made by Hassenfeld Brothers Inc. were doctor and nurse kits. By 1942, sales of school supplies had declined, and the company became primarily a toy manufacturer. However, the company continued to make pencils.
Helal Hassenfeld died in 1943. Henry became CEO and his son Merrill Hassenfeld became president of Hassenfeld Brothers Inc. During this time the country was involved in World War II. It was during the World War II era that the company began using some plastic to make its toys. Additionally, labor shortages during this time forced the company to reduce its employees to 75.
In 1952, George Lerner began looking for someone to endorse a toy he had created called Mr. Potato Head. He pitched his idea to Hassenfeld Brothers Inc. and Henry liked the idea so much that he bought the rights to the toy from George. Mr. Potato Head would be the first toy success story for Hassenfeld Brothers Inc. and the first toy to be advertised on television.
In 1964, the company realized that boys did not want to play with the same dolls that girls played with. They pursued an idea that started by being associated with a TV show called “The Lieutenant” and began producing action figures called GI Joe. “The Lieutenant” was a show about the United States Marine Corps. GI Joe’s military action toys generated almost two-thirds of the company’s total sales during the first two years. Hassenfield Brothers Inc. would become the second largest toy manufacturer in the world.
Henry Hassenfield died in 1960. His son Merrill gained full control of the company and continued to lead its success. In 1968, the company name was shortened to Hasbro.
Hasbro has become one of the most successful toy companies in the United States. Popular toys such as Mr. Potato Head, GI Joe, Transformers, licensed Sesame Street items, Playskool toys, Nerf toys, Tonka trunks, Easy Bake Oven, Cabbage Patch Kids, and various board games have helped make the Hasbro name one of the most recognized toys. manufacturers in America.