Coach gives in, announces plans to run sales
One of Coach's challenges is that it isn't a true luxury brand and therefore is more vulnerable to recessionary dynamics. Even fashion and investor darling Michael Kors is reporting margin declines, even as it steals market share from Coach. Kors is better positioned overall however, due to its balanced accessories business, strength in both women's and men's fashion, and its aggressively global retail expansion. The impact of Kors' on Coach shouldn't be underestimated.