As a seller of something that many people want, but nobody really needs, Coach (NYSE:COH)
is an interesting economic barometer in its own right. Like so many
other semi-luxury or luxury brands, Coach knows how much of its future
growth rests in China, but the company must also find that sustainable
niche of "affordable luxury" that is so hard to maintain in the North
American market. While economic weakness is going to have a
disproportionate impact on Coach, this stock is a name to watch as a
rebound play for when conditions and sentiment turn more positive.