• Paradachshund@lemmy.today
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    23 hours ago

    It’s true, and I think a big factor is they have a genuinely brilliant business model.

    Basically they sell everything in bulk and roughly at cost, and make their whole profit from membership fees. This is brilliant because it creates upsides for all 3 parties involved:

    • the consumer gets cheap items
    • the brands selling things get large bulk sales negotiated in advance
    • Costco gets a stable and extremely popular store