Tiffany & Company is a luxury jeweler and specialty retailer that sells timepieces, sterling, china, crystal, fragrances, and accessories through its retail stores worldwide. Signet Jewelers Ltd. operates a number of well-known retail stores (Belden Jewelers and Kay among them) that sell moderately priced jewelry and other items. Selected financial on about each company for the year ended January 31, 2015, follows:

	Tiffany	Signet
Sales	$4,249.3	$5,736.3
Net Income	$484.2	$381.3
Return on Assets	10.5%	7.8%
Profit Margin	12.3%	7.0%
Asset turnover	0.86 times	1.11 times

REQUIRED:

(a) The profit margin at at Tiffany & Co. is higher than at Signet Jewelers. What is it about each company's strategy and positioning that might explain the profit margin difference? You may want to visit each company's website before answering this question.

(b) The asset turnover at Signet Jewelers is higher than at Tiffany & Company. What is it about company's strategy and positioning that might explain the asset turnover difference?