Is Apple's New $68 Million Retail Maven Worth It?
Although the company as a whole finally seems alive again in the wake of its blowout earnings report, not all of tech giant Apple's businesses are shooting the lights out.
Case in point: Apple's retail operations have slowly decelerated over the past several quarters. In fact, in its most recent report, Apple's retail sales remained flat compared with the same quarter last year. Clearly, something has to change.
And change it shall. Apple recently installed former Burberry CEO Angela Ahrendts to breathe new life into its stagnating retail operation, while also handsomely rewarding her for her services.
But is she worth it?
Few question Ahrendts' track record. At the helm of Burberry, she worked wonders on overall sales by savvily tapping into several key trends that fit beautifully with Apple's long-term growth strategy. However, in an age where plenty of other retail names have moved quickly to parrot Apple's in-store strategy, Ahrendts is probably in for the challenge of her career in returning the magic to Apple's retail business.
So, with a $68 million dilutive price tag and so much uncertainty, did Apple investors get a good deal?
In the following video, tech and telecom specialist Andrew Tonner argues that really only time can tell whether this already-expensive hire will bear further fruit for Apple and its shareholders.
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The article Is Apple's New $68 Million Retail Maven Worth It? originally appeared on Fool.com.Andrew Tonner owns shares of Apple. The Motley Fool recommends Apple and Burberry Group and owns shares of Apple. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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