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Costco actually sells most products at or near cost. Most of their profit is in memberships. https://www.fool.com/investing/2017/05/05/how-costco-wholesale-cor
by cestith 8y ago
Costco actually sells most products at or near cost. Most of their profit is in memberships.
https://www.fool.com/investing/2017/05/05/how-costco-wholesale-corporation-makes-most-of-its.aspx https://www.fool.com/investing/2017/05/05/how-costco-wholesa...
- baddox 8y agoInteresting point, I wouldn't have guess that. Although, it sounds like they would still rather their members buy products, based on this sentence: > If you examine the company's sales, it brought in $56.59 billion in net sales with a merchandise cost of $50.21 billion and sales expenses of $5.92 billion. I don't think that sales expenses would vary much depending on how many members were buying products.