@tsarstepan,
Its funny my older daughter says this elf is creepy. My younger daughter loves her. But then again my younger daughter also loves what we have deemed "creepy monkey"- her name for him is champ.
My odd brother gave my older daughter this monkey doll - my older daughter loves monkey. This isn't a cute stuffed animal monkey - it is creepy looking - think along the lines of those monkeys with the clanging symbols - same sorta creepy face. My older daughter was fearful of it. My younger daughter loves it and says we are mean calling it creepy. She sleeps with it each night carefully tucking it in.
Maybe the concern isn't with the dog, but with my daughter's obssession of creepy toys.