Analysis of Costco

SITUATION ANALYSIS: Since the launch of Costco in the 1980s, the company has been genuinely successful. With 278 members-only warehouse clubs in 24 states, the U.K, Mexico, Canada and Asia. Members included businesses who paid $35 a year and the general public who as gilt Star members paid $40. By its 1997 fiscal year, Costco had a give notice income of $312 gazillion on sales of $21.5 billion and from its 16 million member households, it earned almost $400 million in fees. However it was considering delving into deeper waters, by trying out a portfolio of serve much(prenominal) as auto and home insurance, mortgage and real(a) estate services, long distance telephone plans, credit visiting card processing and check and business forms printing, which would be available to holders of a new executive membership, for a $100 annual fee. trade DESCRIPTION: Costcos market consists of consumers who are looking for spectacular bargains and low prices. The company offers popular products in sizes that are offered the scoop up value. The company has a no frill shopping environment, so shopping is extremely simplistic. It also caters to customers that definitely want to subvert in bulk and high volume and also view the value of money.

For instance if a customer wants to buy some Advil, the only option available is the 250 count bottle which is mighty priced at $11.95. The customers being targeted know their needs, do not of necessity need service and like national brands, but favored economy to brand loyalty. To reiterate, the kinds of products offered by the company include sundries such(prenominal)(prenominal) as health, snack foods and cleaning supplies, dry and fresh foods, hardlines such as major appliances, furniture, as well as softlines such as apparel, small appliances and pharmaceutical supplies. Depending on the Costco warehouse, they all interchange in the types of products offered. Some roast their consume coffee, have their own gas station or chocolate shop. OFFERINGS AND BENEFITS: As a reminder, Costco offers... If you want to get a full essay, order it on our website: Ordercustompaper.com

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