After watching the at least the first 20 minutes of the video: "The Costco Craze: Inside the Retail Giant," write an essay/short paper (approximately three page typed) regarding the following questions:
FYI: Make sure to take notes while watching the video.
YOU MUST CONSIDER ALL OF THE FOLLOWING QUESTIONS IN YOUR ANALYSIS: (Be specific with your responses) What are Costco's various sources of revenue?
Does Costco sell only a certain type of product or do they sell many different types? What are these different types of products?
What is their main business strategy (strategies) with regard to luring in customers and generating sales on an ongoing basis? (Be specific)
Why is Costco regarded as an "unusual retailer?"
How has the company been able to minimize overall labor costs?
What is their advertising strategy? What method(s) does the company use to drive customer sales? (There should be some elaboration here).
Who's Costco's target market (with regard to the type of customer they appeal to)?
How does Costco's markup on products compare with competitors?
How has Costco minimized the cost of some products they sell? Give a specific example.
What is gray market buying? Why has Costco engaged in this practice? Is it legal?
The hot dog is rendered the most profitable product. How has the company achieved this enhanced profitability? Are employees happy with working for the company?
What has happened to Costco's stock since 1985? Why has this occurred?
Key Question: How does this Costco video relate to topics that you have learned in Managerial Accounting & Control? Discuss two or three topics that you have learned throughout the course that is applicable to the information discussed in this video.
https://www.hulu.com/watch/368405