The market for luxury handbags and leather products is becoming more competitive. To this point, Coach Inc., is the leader in the U.S. market for these particular products, but changes begin to take place as the middle-class of consumers increase. The majority of this class is now being form by young, authentic, creative people who area constantly seeking for the product that can suit their unique persona. Thus they are working harder and obtaining more than a sustainable income so they can spend on those luxury bags or products they want. A strategy that Coach Inc., uses in order to accustom to industry changes was implemented in 1996 by Reed Krakoff — former high quality Tommy Hilfiger designer who became Coach’s new creative director with
