Monthly Archives: October 2014

Morgan Freeman wearing Canada Goose

Dennis Quaid in “The Day After Tomorrow” wearing Canada Goose

Canada Goose is one of Canada’s most recognizable worldwide brands. Yet, as popular as they are, they continue to manufacture their jackets in Canada. Most recently they have opened a new factory in Toronto that will provide 200 new jobs for Canadians. While continuing to manufacture in North America may seem risky to some; I agree with Canada Goose that it is well worth the risk. Competitors have an edge in terms of price, but by manufacturing in Canada the brand has a large quality and ethical advantage. As we have learned in class it is important to have low material and wage costs. However, for higher end products such as a Canada Goose jacket quality and reputation are critical for brands success. Consumers seem to prefer to purchase a quality and authentic product when spending a premium price. Therefore, manufacturing in elsewhere while continuing to be named Canada Goose would seem fraudulent and ridiculous. It is also important to note that the creation of jobs in Canada will create great publicity for the brand and create a sense of national pride. Ideally, all businesses would be able to avoid outsourcing but it simply wouldn’t work due to costs. Canada Goose’s new factory is a great demonstration of a business that chooses to continue to manufacture locally rather than outsource, while continuing to be successful.

Articles Used: http://www.theglobeandmail.com/report-on-business/small-business/sb-managing/leadership/the-two-things-that-canada-goose-did-to-make-the-cold-hot/article21258417/

http://abcnews.go.com/Business/700-winter-jackets-worth-investment-ridicule/story?id=21611417

http://www.thedailybeast.com/articles/2013/12/23/the-cult-of-canada-goose.html

Political cartoon showing the National Football League’s response to domestic violence

The National Football League is not just a sports league, but it is also a very successful business. Its recent, annual revenue approaches nearly 10 billion dollars, and it has been increasing steadily. Yet, the unique thing about the NFL is it seems to be unaffected by scandals and bad publicity. This summer (2014) the NFL had both domestic and child abuse scandals that involved some of the league’s biggest stars. These scandals were compounded with the ever looming concussion and player safety lawsuits. Through all this media attention, TV ratings have grown and franchise value is still expanding rapidly. These are shocking facts that show how enamoured North America is about the NFL. We learned in class that often bad publicity leads to a decrease in revenue, but this is apparently not the case with the NFL. For example Lululemon had a huge loss in revenue when their CEO said that their pants weren’t for all women. I think that the strength of the NFL brand and the increasing TV revenue proves that professional football is a fantastic business to be a part of. On the other hand, I think the NFL should try to put more effort into resolving and preventing these issues from occurring. I believe that, eventually, the fans will find a substitute if they become truly offended and disgusted by the employees of the league. Both the NBA and NHL have fewer scandals, and are building a more international fan base. It is not difficult to envision football eventually being overtaken by other American sports. I would recommend that the NFL not take these scandals lightly just because they haven’t suffered economically as of yet.

Image: Cartoon by Steve Sack “Star Tribune”
Articles used: http://www.nytimes.com/2014/10/12/magazine/whats-the-nfls-incentive-to-change.html?ref=business
http://www.businessweek.com/articles/2014-09-12/if-the-nfl-were-a-real-business

http://www.forbes.com/sites/greatspeculations/2014/10/08/directv-extends-its-deal-with-nfl-for-12-billion/

http://www.forbes.com/sites/mikeozanian/2014/08/20/the-nfls-most-valuable-teams

http://www.thewire.com/business/2013/06/lululemon-ceo-stepping-down/66087/

It is very common in British Columbia for the First Nations people and the government to clash about various projects on Aboriginal land. An example of this is in an article by Peter O’Neil in the Vancouver Sun where the Treaty 8 Tribal Association is urging Prime Minister Harper to reject an 8 billion dollar hydro proposal. The First Nations people argue that it would significantly affect the environment and fishing around the land. This has been an issue many times throughout Canada, including in my own town. Being from the Sunshine Coast, when I was younger I had first hand experience with a similar issue. There was a controversial gravel pit proposal on the traditional Native land. Originally, the First Nations were not pleased with the proposal, but eventually came to a compromise that worked for both parties. I think it is crucial that the government continues to honor the original people of Canada, while also continuing to develop alternative energy sources. This also relates to the business ethics we learned in a prior class, and I believe that doing the utmost to honour the First Nations people is the correct route. Hopefully, the government will be able to make a fair assessment on this issue.

Inside a aboriginal building in Sechelt, British Columbia

Article Used: http://www.vancouversun.com/news/First+Nation+chiefs+stage+Site+showdown/10215965/story.html