PAWTUCKET, R.I. — Long before it became a household name behind toys like Mr. Potato Head, G.I. Joe, and Transformers, Hasbro was a small family business in Rhode Island. Founded in 1923 by brothers Henry, Hillel, and Herman Hassenfeld, the company began as a textile remnants business in Providence. They soon pivoted to selling pencils, school supplies, and eventually toys (full timeline at end of article).
By the 1940s, their company was producing modeling clay and doctor kits that became staples for postwar families. In 1968, the company officially shortened its name to Hasbro, a nod to its founders.
The Rise of Iconic Toys
Hasbro’s first global breakthrough came in 1952 with Mr. Potato Head, the first toy ever advertised on television. It was an instant sensation, sparking a new era of marketing toys directly to children.
The 1960s brought another cultural milestone: G.I. Joe, which Hasbro dubbed the world’s first “action figure.” The toy line was so successful it essentially invented a new category, cementing Hasbro’s place as an innovator in the toy industry. In 1984, the company purchased fellow toy maker Milton Bradley.
In 1991, Hasbro made another bold move by acquiring competitor Parker Brothers, and securing classics like Monopoly, Candy Land, Clue, and Battleship under its umbrella. The company also purchased Tonka and Kenner, these acquisitions allowed the company to dominate both the toy and board game markets.
Global Growth, Local Roots
Even as Hasbro expanded into a multi-billion-dollar corporation with licensing deals for Star Wars, Marvel, and Disney Princesses, it maintained its headquarters in Pawtucket.
A Changing Industry
Hasbro’s journey hasn’t been without challenges. Like many toy companies, it faced pressure from digital entertainment, changing play habits, and overseas competition. The company diversified into entertainment with TV, movies, and gaming through Hasbro Studios and partnerships with Hollywood.
Most recently, in 2025, Hasbro announced it would relocate its headquarters to Greater Boston after more than a century in Pawtucket, marking the end of an era for Rhode Island.
Legacy of Play
From a small family business selling school supplies to a global powerhouse with franchises recognized worldwide, Hasbro’s story is inseparable from Rhode Island’s history. For generations, the company not only created toys but also shaped childhood memories for millions around the globe.
A Timeline of Hasbro’s History and its Pawtucket Connections
1923 – Founding in Providence
• The company began as Hassenfeld Brothers in Providence, Rhode Island, founded by brothers Henry, Hillel, and Herman Hassenfeld, initially selling textile remnants.
• In 1926, it was incorporated as Hassenfeld Brothers Inc., transitioning into manufacturing pencil boxes and school supplies.
1935 – Beginning of Pencil Manufacturing
• To regain competitiveness after a supplier became too expensive, the company started making its own pencils, one of its steady revenue sources for decades.
Late 1930s – Early 1940s – Entry into Toys
• They expanded into toy manufacturing, starting with items like doctor and nurse kits, and modeling clay.
• By 1942, the company pivoted to primarily being a toy maker, although pencils remained a strong part of the business.
1952 – Mr. Potato Head Debuts
• Launched the first toy ever advertised on television: Mr. Potato Head, which later became a beloved symbol of the company.
1954 – Disney Licensee
• Hassenfeld Brothers became a major licensee for Disney characters, expanding its reach in popular culture.
1961–1964 – Expansion & G.I. Joe Launch
• Founded Hassenfeld Brothers (Canada) Ltd. in 1961 as part of its growth.
• In 1962, the company purchased the former Potter & Johnston Machine Company mill in Pawtucket, Rhode Island. That site later served as the headquarters and was eventually adorned by a giant Mr. Potato Head statue welcoming visitors.
• In 1963, Flubber introduced, but reports rashes from the product caused an investigation by the Food and Drug Administration. The company did a voluntary recall.
• In 1964, introduced G.I. Joe, the first “action figure.”
1968–1969 – Rebranding & Adaptation
• In 1968, the company officially adopted the name Hasbro Industries, Inc., and went partially public (as most stock stayed in Hassenfeld family hands).
• In 1969, G.I. Joe was rebranded as a less militaristic “adventure” toy amid public sensitivities around the Vietnam War.
1970s – Diversification & Setbacks
• The company briefly ventured into running Romper Room preschool franchises and even cookware lines, both of which failed.
• Safety controversies with products like Javelin Darts and Hypo-Squirt led to recalls.
• 1975 saw the discontinuation of G.I. Joe due to high plastic costs.
• In 1977 the company acquired rights to the Peanuts cartoon characters.
• By 1979, the company faced financial strain, suspended dividends, and dealt with leadership tensions over capital allocation between the toy and pencil divisions.
1980–1984 – Refocus & Rebirth
• In 1980, Hasbro spun off Empire Pencil (the pencil business). Stephen Hassenfeld became CEO and chairman.
• The product line was reduced by one-third; focus shifted to simple, long-lasting iconic toys like Mr. Potato Head.
• 1982: G.I. Joe made a triumphant return in collaboration with Marvel Comics, and My Little Pony made its debut.
• In 1984 Transformers was created and the company purchased fellow toy maker Milton Bradley.
1990s and Beyond
• In the early 1990s, Hasbro grew via acquisitions of Tonka, Parker Brothers, Kenner, and more. It consolidated into “Hasbro Games.”
• Over time, its Pawtucket mill headquarters became symbolic of Rhode Island’s toy-industrial legacy.
Present-Day Notes
• Monday, September 8, 2025, Hasbro announced it is moving its headquarters from Pawtucket, Rhode Island to Boston, Massachusetts. This ends 60+ years in Pawtucket and 100+ years in Rhode Island.
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ContributorSeptember 10, 20254 Mins read74 
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