Expertly Crafted Case Study On Costco

Nowadays Costco Wholesale Corporation is the leading American warehouse club. Costco’s method of doing business is different from the one of other trade corporations. James Sinegal, Costco’s CEO, started the company in 1983.
In Costco’s stores customers can enjoy buying products for lower prices comparing to other stores. Moreover, the store offers only a few items of the same kind which makes it less difficult for the customers to make a choice, and stimulates them into buying. Usually, people spend more in Costco stores that they have planned before entering them. This can be explained by the unique trade principle called “the treasure hunt”, meaning that people have to find the products they are interested in without the help of any pointers and signs. This makes them wander around different aisles in the store and put a lot of other products to their basket.
Costco sells everything: from hotdogs to fine jewelry. In these stores there is also a thoughtful selection of fine wines that are imported directly from Bordeaux in France. Annette Alvarez-Peters is Costco’s wine expert having a profound influence on the global wine market. She selects only the best wines for Costco in different price categories. Again, the variety of wine supply in Costco is not as great as in specialized stores which makes the customers think less before buying.
Costco sells a lot of toys and select only the ones of highest quality. The retail stores strive for cooperation with Costco. Costco’s leading product is toilet paper. It is sold in immense quantities every years. Surprisingly, this product is the most tested one.