Can Tapestry and Capri Holdings Recover From This Big Mistake?
Tapestry (NYSE: TPR) and Capri Holdings (NYSE: CPRI) operate from the same conceit: that their aspirational leather goods and accessories business could be transformed into luxury design houses on the order of Kering or LVMH Moet Hennessy Louis Vuitton (OTC: LVMHF)(OTC: LVMUY).
Both retailers changed their corporate identity, pursued a strategy of building a multibrand company through acquisitions, and limited their availability in department stores to impose a forced exclusivity through higher premiums that neither brand deserved.
Image source: Versace.
Source Fool.com
