Please answer these questions according to case analysis and case study (given later)
- What kinds of resources can likely be shared across different brands between an apparel maker and a footwear maker? What kinds of resources are unlikely to be shared?
- How much does being a larger, more diversified apparel and footwear company increase VF’s market power over its suppliers or customers? How could we assess how much this is worth?
- If VF had increased its sales only by the amount of Timberland’s sales and had not reaped an increase in profitability, would you consider the acquisition successful?
- How might you compare VF’s increase in profits to the premium it paid for Timberland?