In your report, please clearly indicate the questions you are addressing.1. What is Costco's business model? Is the company's business model appealing? Why or Why not?2. What are the chief elements of

******** Case ************* ******** *********** **** a membership-only ********* **** ******** ***** ********* *** * ********** *** to ****** *** ******** ******** ******** ** ****** ****** ****** Costco *** *** ***** ** *********** ********** ***** ***** and ******** *********** *** ******** ********** ** ********** to ********** and ******** people **** ****** sales ******** business ******** or ***** evidence of business proof A business ********** also comprises a **** ****** **** ******* most ******** ******* ***** ** Costco *** ********** ******** ********** *********** *** **** ***** the ********** ** *** ****** ********** cards for ** to *** associates ** ******** ** *** ***** businesses *** annual ********** fee *** ********** *** Business membership ** *** ** the ** *** Canada *** varies across ********* ** other ********* ********** Any ********** ****** *** ** ** ****** who **** not ******* *** * business membership *** ******** ** ********** ********** including a ********* **** *** ******* family member Any registered ****** thus shops ** ****** but *********** are *** ******* ** **** ****** **** ********* ******** ************** ******** model ** ********* ******* it ** ***** ** a *********** ***** *********** that ******** ***** *** ******** ******* it ******** the ********* with ultra-low ****** on Costco's ************* ******** ********* ***** ******* ******* product ********** ******** *** ***** ******* ********* access ********* ******* ******** ****** the ***** allows ********* to ****** *********** ******** ******* ********* **** ******** daily ***** and continuous ******* ********* **** * ***** ********* ** ******* ********* which has ****** ******** ** ****** **** a ************ **** Since ****** *** founded *** ********** *** ********* ******* that shopping ** *** Costco ***** ******** ********** ***** to **** *** ******** members ***** *** drive *** ********** growth **** year The membership-only ********* **** ******** ***** has ******* ****** ** ********* * ***** inventory ******** *** high sales ****** ** all ********** ******* ** ***** *** global ************ ********** **** have **** useful ** Costco's ******** model because **** ****** the ******* *** adequate ********** ******** ** ******** ******** ******* profitability to ************ ****** *********** ******** income **** *** ********** **** *** ********* *** ********* net profit by **** ** implies that ******** global ******** ********** **** ************ ******** ***** *** ********* basis As a result ******** ****** **** become remarkably *********** ******** ** *** ***** **** Costco's ******* would pay when *** ******** ** *** ****** Besides the ******** ***** ** ********* ******* ***** was rapid ********* ******** *** high ***** volume ******* ******** ** *********** Therefore ****** *** **** *** receive **** *** ********* ****** ****** **** ** the *********** ******* ********* times when ******** *** made ** *** ******* ***** to **** ********* ** early ************ ********* ***** ******** ******** ***** helped the ******* ******* * large ********** of the *********** ********* ***** ** ******* ***** ******* ** ******* instead ** ********** a substantial working capital *** ******** for well-timed payment ** merchantsChief ******** ** ******** StrategyThe ******* ******** ** ******** strategy are ***** on ************* ****** * limited ********** ** *********** ******* and *********** ******** ********* ******** ***** ** varied ******* categories ***** ******** on ***** ********* costs * ******** **** ******** ******* **** ** ***** ** * continuously ******** ********* ** close ** *** ******* ****** *** *** constant geographic ********* ** its store locations Costco's ******* ********** is ******* ** ******* ********* ****** ** ***** stores and ********** **** with the ***** ****** thus generating * ****** sales ****** *** ******* ** **** ******** ***** ****** that *** part ** *** *** ****** ******** ****** ******* ****** *** ***** ** ****** diamond carats ** **** The ***** ******** increasing sales ****** **** **** **** ********* ******* ***** *** ** low ******* ****** ********* ** *** members ******* Costco's strategy also focuses ** ******* ********* In ********** * ******* *********** ****** ***** to ***** ***** ******** strategy ** to ******* *** members **** * selection ** specific items *** ******* Costco ******** ***** **** ****** ******** ****** ** ******* levels therefore ****** *** ******* *********** cost ******* *** ** the ****** ***** *** are ************ brand-name ***** while *** *** **** Costco's private-label ******** Signature ***** *** ******** ********* label appears on **** items **** ***** ***** ****** *** ***** ******* ********** toilet ****** cookware ****** ***** ********** ******** beer ***** oil and health *** beauty ******** ***** ***** goodsAccording to *** ********** *** working ********* ******** by *** ******* ********* ** that *** ******** ********* ******** **** ** ****** **** ** equal ** *********** ****** *** ****** ****** the members ******* ******* Costco's ********** *** this strategy *** **** ************* and increased *** ******** ** ******** ******* ***** ** a minimum of 30% ** *** total ***** In **** *** ******** branded ******** ***** ********* *** ** all ***** Besides Costco's ******** ****** **** souring ******** ********* products ********* looks *** **** ** **** the labelled ******** **** ************ ****** *** better **** ***** ***** ***** ********* ****** ******** **** ***** ******* the ******* know **** they *** ******** high-quality ******** ********* ***** at ****** ************* lower than **** ***************** ******** strategy **** entails ************* ************* ***** out ** *** **** ****** items ** *** ****** about 25% of the product ********* *** constantly ******** Costco's ******* buyers **** are *********** ****** * ******** ******** ** ******** that **** appeal ** the consumers *** **** * **** *********** of ******* ******* **** of *** ******** offers are ******* ************ ** ******** ******** that ***** **** ***** **** **** as ** ** ***** big-screen ********** sets ******** ******** *** ********* ** **** *** ****** ******* *** ************* ******* ******* **** *** ***************** ******** ** **** * ****** approach ******* it entices ******* ** ***** more **** **** *** need ** ** ********* ************ ***** on name-brand specials ** big-ticket products ******* *** ************* *** * *** of ******** ******** ************ ******** allow *************** ********* ** ***** Costco more often ******* of ******** periodically for stock ** ******** ******* have thus ******* **** **** **** ** purchase ************* ****** **** ******** them ******* **** products will ****** ** *********** on their **** shopping ******** ** **** cases ****** **** *** ******* the ******** ******** **** ******** directly **** *** ************* **** ********* or ****** Klein ******* **** ******** ************* may *** **** ***** ******** ******** ** ultra-low ****** ** ******** ****** Therefore ****** ***** *** ************* and ******* items that are ******** ** *** **** *********** **** other ********** ********* *** *********** ******* ** get *** ** ************ or excess inventory ******* **** ******* Costco's ********** *** ******* ** **** *** ********* ******** minimal ******** ** ***** supermarkets *********** *** **************** *** ******** ******** *** kept ******** operation ***** ** * ******* thus ********* ********* ****** *** *** products ****** in stores Costco's low-cost ******** has **** ****** ** its strategy ******* it can ***** lower ****** **** a ****** value by ******** practically *** *** historical ***** ****** **** ************ ********* *** *********** like ***** buildings *********** ******** ******** receivable and ******* *** *** ** ****** ** ******* * ***** operation **** ************* *** ******** ****** allowing ****** ** **** ** huge ******* ** *** ******* Shopping ** ****** ***** *** members experience **** savings despite *** ****** ********** ******* ******* and Craig Jelinek PerformancesJim ******* *** ** ********* *** *** * ****** ******* *** more ******* ** *** ****** ***** ** considered as critical ****** ** ****** *** example ** ****** ********** **** ********* based ** ***** ** ********* ****** ******** ******* **** **** taking **** of *** ********* *** ********* *** *** business ******* ********** that *** ******** ***** **** ******** service would ******* ** ********** ****** **** ** *** ********* **** realizing Costco's vision *** mission ******* listened ** *** employee's *** managers' suggestions and never ***** with ****** ********* ***** ** *** actions ******* ******** an ** ******* *** ***** hand Jelinek has ********* pursued Costco's ******* ********* vision and **** values ********** as ********* successor ******* set ********** that he **** were ******** ** *** ******* The ********** ******* with ********* strategies and Jelinek ******* ** ***** the ********** based ** *** ******* needs *** ** ******** ******** *********** ******* thus ********* Costco's ****** *** ensures *** company achieves increased ****** *** ***** Based on *** **** ***** ***** is ** ****** ******** **** Jelinek **** contrary ** ******** ********** *** ****** *** continued to ******* * good *** ** ******* ********* ******* ******** ** ** believe **** **** ****** *** grades because from *** ********* ** ****** ** has expanded ************* *** ****** **** competitors ****** ** ******* and the ********* Costco ***** ***** *** ***** and ****** *** *** *** ******* and ** *** stores worldwide ******* **** * *********** framework *** ******* *** was **** ** step ** and ******** *** ****** *** success ** *** company ******* ***** ********** ** ****** the ******* has ***** globally thanks to the *************** ********* **** ******** ***** *** ******** business ********