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Costco Influences

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The way Costco markets their products and store has made a huge impact on how people shop for their groceries. Being that they have over "600 [different] store locations," a sum of "$93 billion a year in sales," and "64 million […] Costco members" ("The Costco Craze EDITED," 2013), Costco corporation is obviously a successful leader in finical management. The co-founder and former CEO of Costco, James Sinegal, has produced numerous ways as to how this store is able to attract millions of customers and consumers to the Costco warehouse. From elements such as the mandatory purchase of a membership card, to consistently low prices, Costco definitely stands out compared to other stores such as Sam's Club and BJ's. Unlike other stores, Costco requires customers to purchase a …show more content…
With Costco, it is said that their prices are lower compared to other stores such as Sam's Club and BJ's because Costco is able to sell their items in bulks. For example, Costco sells their "waffles in bulks of 60" and "eggs is bulks of 90" ("The Costco Craze EDITED," 2013). With this, customers are able to purchase more than they actually payed for. Another interested strategy that Costco uses is the prices of the food they sell at the food court. For example, Costco "hot dogs are sold at $1.50 for one" ("The Costco Craze EDITED," 2013), while others would think it would be at least $5.00. Using this tactic attracts customers to what Costco as a corporation has to offer their customers and at what price. Large corporations with many members who support it is the key to developing a sustainable foundation for the company. Costco achieves this goal buy using strategies as providing a membership fee to all customers and having their products sold in bulks. With these tactics, Costco is able to remain as a leader in financial

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