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Given that you have to pay an annual membership fee to get access to that gas, it's likely subsidized by the fee and used as a loss-leader to bring people to sh
by kspaans 9y ago
Given that you have to pay an annual membership fee to get access to that gas, it's likely subsidized by the fee and used as a loss-leader to bring people to shop at Costco.
- Baeocystin 9y agoCostco does not subsidize its gas sales. It makes money from them: https://www.fastcompany.com/60019/tiger-costcos-tank https://www.fastcompany.com/60019/tiger-costcos-tank It's an older link, but they still do much the same. There have been court cases brought against them by consortiums of other gas stations here and there, but AFAIK Costco has emerged victorious so far.