In August 1999, Larry Killgallon, president of Ohio Art, sat in his Bryan, Ohio, office and reviewed his marketing plan for the coming Christmas season. For years, Ohio Art had sold its line of educational and activity toys through brick-and-mortar retailers such as Toys 'R' Us and Wal-Mart. The Internet presented new opportunities for Ohio Art: 11 on-line retailers planned to carry the company's products in 1999. Killgallon wondered what kind of sales volume he might expect from these e-retailers. He also wondered what implications the growth of e-retailing had for Ohio Art's own on-line store and the company's other Web pages.