Coach Shares Fall After Weak Annual Forecast

The video discusses the stock performance of Coach following the acquisition of Michael Kors, highlighting investor dissatisfaction and market confusion. It explores the strategic shift towards building brand houses and the operational adjustments required, such as inventory management and promotional strategies, to stabilize the industry.

What was the investor reaction to Coach's acquisition of Michael Kors?

• Investors were pleased with the acquisition.

• Investors were indifferent to the acquisition.

• Investors were dissatisfied with the acquisition.

• Investors were unaware of the acquisition.

What caused confusion in the market after the acquisition?

• Outdated models and natural confusion.

• Excessive promotions.

• High inventory levels.

• Lack of brand recognition.

What strategic shift are Coach and Kors making in the industry?

• Focusing on a single brand strategy.

• Building houses of brands.

• Increasing inventory levels.

• Expanding into new unrelated markets.

How does the strategic shift affect inventory levels?

• It has no effect on inventory levels.

• It increases inventory levels.

• It reduces inventory levels.

• It leads to inventory shortages.

What is the impact of slowing down promotions on sales?

• It leads to a sales surge.

• It slows down sales.

• It boosts sales immediately.

• It has no impact on sales.