With women's athletic wear doing extremely well, Chip Wilson, founder of lululemon athletica, is thinking about launching a menswear line to capitalize on the popularity of the lululemon brand. However, he has to weigh the costs of being distracted from his company's main concern - athletic yoga wear for women. This case is the third in a series of seven lululemon athletica cases that focus on decision-making using real-options analysis. Other products in the series are: 9B06M036, 9B06M037, 9B06M039, 9B06M040, 9B06M041 and 9B06M042.
