Posted by & filed under Advanced Accounting, Marketing & Strategy.

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

Source:  financialpost.com

Link: https://business.financialpost.com/news/retail-marketing/canada-goose-reports-second-quarter-profit-up-raises-outlook-for-full-year

 

Discussion points:

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?

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