Very cute...I think I have seen something similar to this on a regular basis on my deck too. Whatever that is in the top left corner it distracts from the pup and the milkbone. Now give that puppy his bone. =o) 7 for the cute puppy....I'm the animal lover!
I really like the subject and feel that you have captured the challenge well. The over-bright background and black car somehow distract from the overall feeling of the picture.
The dog is adorable, and you have the right idea here. I think what you need to make this shot snap is to bring more focus to the Milkbone itself. Right now the dog dominates the shot, even though your DOF is correct. By bringing the Milkbone to the foreground (larger and more to the center of the image), and shallowing out your DOF a bit more, you can capure the moment while focusing on the product. Essentially, we want to be looking "through" the Milkbone at the dog, rather than from the dog to the Milkbone.
Its a nice shot but focus's on the dog not the milk bone. I think cropping the body off the dog and leaving more of the bone would have helped this with the challenge.
I see your idea here. I think the shot has potential, but there are some points of detail that are off -- focus could be a bit sharper, the washed out area at the top from the harsh light, and the car thats showing have to go, and also at the bottom, the framing should be enough more to include all of his feet.