Thank you all for the nice comments.

I will continue to work with Lulu and I am sure she will learn to love her KB. We went to visit my in-laws tonight & I decided to give it a try. I had to force her to get in, but she does great once she's in...she's quiet & just lays down. Anyway, so I let her spend a short amount of time zipped in... all the while I'm giving lots of praise. On the way home, I placed the bag with her in it (but not zipped) on the middle console in my van & she laid in there pretty as you please with her head poked out. She looked so cute!
BTW, even my dh who was reluctant to spend so much on a "dog purse" really likes this bag.