Costco Swot Analysis

Figure 2.1. shows that total revenue and operating income at Costco from 2003 to 2006 is increasing, and the company has a steady expansion. These numbers can prove Costco's success and Jim Sinegal, CEO and cofounder, does a great job in the company. Sinegal saves on operation costs in order to provide low price while still keeping high quality products for customers such as constructing warehouses with inexpensive concrete floors, providing each product with only one size, carrying less variety than other competitors to keep inventory costs down, as well as offering customer boxes for carrying instead of plastic bags. Sinegal also attracts customers to spend more than they may anticipate by offering treasure-hunt merchandising with limited