How is Costco able to offer such low prices on food items?
Costco buys in bulk, which allows them to get discounts from suppliers.
Costco has a minimal advertising budget, which keeps costs down.
Costco charges membership fees, which allows them to offer lower prices.
Costco operates on a low margin, which allows them to offer lower prices.
Costco has a efficient distribution system, which keeps costs down.
Costco has a high volume of sales, which allows them to get discounts from suppliers.
Costco has a efficient operating model, which allows them to offer lower prices.
Costco has a streamlined operation, which helps them keep overhead costs down.
Costco locations are typically in out-of-the-way locations, which reduces costs.
Costco has a no-frills approach to selling, which reduces costs.