Description: With winter-like weather hitting several parts of Canada last week, you may have seen many citizens enjoying the warmth of a “Canada Goose” jacket. With rising revenues, the company is seeing its shares up about twenty percent. Meanwhile, Canada Goose has invested in the acquisition of Baffin, a footwear manufacturer. It looks like Canada Goose is expanding beyond its warm clothing and into the winter boot market.
Date: November 14, 2018
1) Have you ever worn a Canada Goose jacket? What makes them so popular?
2) What do you think of the company’s expansion into footwear? Is it a good strategic move?
3) Using the guidelines of Illustration 12-3, page 654 of Wiley’s Financial Accounting: Tools for Business Decision-Making, what method is Canada Goose likely to use for its acquisition of Baffin?