Description: Last week in this blog there was a story on Apple’s move to reduce waste by no longer shipping a charger block with its new iPhone 12 models. This week Tim Horton’s picked up on the theme by announcing it would no longer double-cup your hot beverage. Don’t panic though; the coffee chain will still give you a cardboard sleeve to protect your hand from the heat of the double-double.
Date: October 21, 2020
1) Are you a Tim Horton’s fan? Is there a Tim’s outlet on your campus?
2) What strategic factors do you think Tim’s looked at in making this decision?
3) On page 9-27 of Wiley’s Financial Accounting: Tools for Business Decision-Making, you will read about franchises, something that is a key part of Tim Horton’s business model. If you purchased a franchise for a Tim Horton’s, where would you place this asset on your balance sheet? Would you amortize it?