Costco Is A Membership Warehouse Club

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COMPANY ANALYSIS Company Description Costco is a membership warehouse club that wants to charge the lowest prices on quality brand-name merchandise. With hundreds of locations worldwide, Costco sells a wide selection of merchandise. Costco has specialty departments and exclusive member services. (Costco) Mission “To continually provide our members with quality goods and services at the lowest possible prices.” In support of this mission, Costco has identified the following five responsibilities: 1.) Obey the law 2.) Take care of our members 3.) Take care of our employees 4.) Respect our vendors 5.) Reward our shareholders (Miller) Human Resources Most of Costco’s current home and regional office team members are home grown. This means…show more content…
Costco sells many items under the brand name Kirkland. Kirkland items range from two loaves of bread separately packaged and then packaged together in a plastic bag to a package of three pounds of raw almonds. (Edleson) These are the categories of products that Costco sells: Appliances; Auto & tires; Baby, kids & toys; Clothing & handbags; Computers & printers; Electronics; Furniture; Grocery & floral; Hardware; Health & beauty; Gift baskets & gift cards; Home & décor; Jewelry & watches; Office products; Patio & outdoor; Sports & fitness; Travel & luggage; Funeral; and Pet supplies. Costco has tires from Bridgestone. There are TVs from LG, Samsung, Sony, Vizio, and more. (Welcome to Costco Wholesale) Company History Costco opened its first location in 1976. It was called Price Club name and was located on Morena Boulevard in San Diego. Originally serving only small businesses, Costco found it had the potential to achieve greater buying clout by also serving non-business members. With that change, the growth of the warehouse club industry was happening. In 1983, the first Costco opened in Seattle. Costco became the first company to grow in sales from zero to $3 billion in less than six years. When Costco and Price Club combined in 1993, they were called PriceCostco. PriceCostco had 206 locations generating $16 billion in annual sales. Costco always had a simple operating philosophy. Their operating philosophy is to keep costs low and pass the savings on to the
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